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Old Oct 26, 17, 1:56 am
Join Date: Jun 2010
Location: London
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Posts: 1,351
Originally Posted by TheBOSman View Post
Basically what I was getting at. Job cuts are often roundly applauded by the folks in those locations (with apologies to the folks posting here who spend a lot of time in those locations, and the handful I met flying BA 1 a while back, my intent was not to put you in a box and do not take offence as the characterisation does not apply to every individual), no matter whether it is actually a smart move to do so or not. Sometimes wage/job cuts are best for business, sometimes they aren't. Some wage/job cuts cut the fat, some cut the bone. But many of the trader types act as though most wage/job cuts are cutting only fat no matter the underlying realities. As noted, there is a major cost involved with recruiting, and then training new employees. There will always be a natural turnover of employees with any business, from BA to M&S to the corner pub, but creating artificial turnover can drive these less visible costs up significantly. Paying people the rates BA is advertising here, considering the cost of living anywhere near London, is unlikely to engender loyalty. BA has clearly decided that these rates make sense for their business model, and that the job market replies favorably enough to these rates. Whether it is shortsighted or not only time will tell.
I am way too old and thick skinned to take offence (and in any case this is the internet, so usual internet rules apply). But I would say this. I am in fact one of those 'City / Canary Wharf / Wall St' type folks and frankly when I see job cuts these days it's quite possible that where I am seeing them is in my own office, or those of my friends and colleagues. Now while that may not engender much sympathy amongst non finance folk (can we say 'schadenfreude' boys and girls), the notion that all bar a fairly narrow handful have that Gordon Gecko type view of cost cutting is, I think, a tad distorted. It's a service industry. Yes I do a job that is extremely complex and, after 20 years getting steadily better and more experienced at it I get paid reasonably well for my troubles, but it's a customer service profession like any other.

I have a family and a mortgage and I pay all my taxes, and that is the same for the people around me. And in my firm for example, the cost cutting has a huge impact on the quality of product I can deliver. Which irks. And in my industry what we're seeing is a 'juniorisation' of the skill base. Who do you cut? an MD? or 10 jnr employees for the same saving?

Given the fact that this latest seal cull effectively started in 2008, I think we are long past cutting the 'fat'. And so I appreciate the fact that this is true of other industries also.

But the applications to join don't seem to be drying up. So there is one less natural brake on this trend. And I guess we get to find out whether that's still true for airlines too. See what the CC and Pilot applications look like in a few weeks time.
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