BA warns cabin crew over strike

London - British Airways chief executive Willie Walsh warned his cabin crew Monday that he will not compromise on cost-cutting measures ahead of possible strike action next month.

Walsh told the Financial Times that voluntary redundancies and other measures aimed at saving £130m were vital to the future of the loss-making airline.

He said the latest dispute was "very, very different" to one in January 2007 when a last-minute settlement with flight attendants averted a walkout.

"In 2007 I saw things that I wasn't happy with," Walsh told the paper.

"I saw there was some merit in the arguments that were being made."

But no one should "look for parallels" this time around.

Unions last week started balloting more than 12 000 BA staff on a strike that closes on December 14, with possible action just before the Christmas holiday season.

Walsh also showed a renewed interest in creating an alliance with Australia's Qantas, saying "you could look there again," according to the newspaper. Talks on a planned merger ended without agreement late last year.

BA and Spain's Iberia this month sealed a deal on a £4bn merger to create one of the world's biggest airlines, as the two groups grapple with huge losses.

BA posted a loss after tax of £217m during the six months to September 30 compared with a loss of £49m during the equivalent period in 2008.

- AFP