British Airways reaches union deal to avert crippling strike

BRITISH Airways reached an agreement with check-in employees, heading off a strike that threatened to cause further disruption after the carrier scrapped thousands of flights amid a staffing crunch.

The Unite union will now ballot members involved in the dispute on the proposed offer, which includes higher pay, according to the worker representatives. Bloomberg first reported late on Wednesday (Jul 6) that an agreement was close.

The threat of a strike by check-in workers at London Heathrow airport had raised concerns that labour trouble might spread to other groups of British Airways workers. Shares of International Consolidated Airlines Group, the parent of British Airways, rose as much as 4 per cent after the accord was announced.

The European aviation industry has suffered unprecedented bottlenecks and check-in chaos at airports from Heathrow to Brussels to Dusseldorf. The disruptions have been brought on by a blend of labour disputes, staffing shortages and cost cuts during the pandemic that are now coming back to haunt airlines, just as travel roars back for the busy summer period.

The threat of a strike by British Airways check-in workers had raised concerns that labour trouble might spread to other groups of workers at the carrier.

Shares of the airline's parent, IAG, rose as much as 3.9 per cent. BLOOMBERG