Hundreds of British Airways workers at Heathrow Airport have voted to strike during the school summer holidays over a pay row.
The GMB trade union balloted its BA members working at the west London airport on Thursday morning, with 95 per cent of them voting for strike action this summer.
The union warned of “massive disruption” to travel over the coming months.
A separate vote of BA workers at Heathrow who are members of the Unite union is under way, with results expected on Monday.
The dispute over pay could lead to a walkout by 700 check-in and ground handling staff at the UK’s busiest airport.
The airline's refusal to reverse a 10 per cent pay cut imposed at the height of the Covid-19 pandemic is at the centre of the row, the unions said. BA said it has offered a 10 per cent one-off bonus to employees but refused to give in to demands for a return to pre-Covid pay.
BA has been struggling to recruit staff quickly enough to cope with an increasing demand for travel since Covid restrictions have been eased. The airline has been widely criticised for cutting 10,000 jobs during the pandemic.
The announcement of strikes among BA staff comes during the largest rail strikes in Britain in more than 30 years. About 40,000 members of the Rail, Maritime and Transport Workers' (RMT) Union are on their second of three days of industrial action.
The RMT is embroiled in a bitter dispute with the government over pay, jobs and conditions. Talks are continuing but union bosses have warned of further strikes if an agreement is not reached, giving rise to fears of a summer of travel chaos in Britain.
BA urged to 'save the summer holidays'
Nadine Houghton, GMB national officer, hit out at BA’s offer of “crumbs from the table” and questioned how the airline could have thought its proposal would be accepted by employees.
"With grim predictability, holidaymakers face massive disruption thanks to the pigheadedness of British Airways," she said.
“BA have tried to offer our members crumbs from the table in the form of a 10 per cent one-off bonus payment, but this doesn’t cut the mustard. Our members need to be reinstated the 10 per cent they had stolen from them last year with full back pay and the 10 per cent bonus which other colleagues have been paid.
“GMB members at Heathrow have suffered untold abuse as they deal with the travel chaos caused by staff shortages and IT failures.
“At the same time, they’ve had their pay slashed during BA’s callous fire-and-rehire policy.
“What did BA think was going to happen?"
Urging the airline to reconsider, Ms Houghton said "it’s not too late to save the summer holidays" and pointed out that BA employees in other locations have had their pay cuts reversed. If the airline adopted the same policy for their Heathrow-based staff, the industrial action would be called off, she said.
Another union official, Russ Ball of Unite, said BA had only itself to blame.
"The problems BA is facing are entirely of its own making," he said. "It brutally cut jobs and pay during the pandemic, even though the government was paying them to save jobs."
BA voices disappointment
A BA representative called the strikes "extremely disappointing" and said the company was committed to finding a solution.
"We’re extremely disappointed with the result and that the unions have chosen to take this course of action," the representative said. "Despite the extremely challenging environment and losses of more than £4 billion [$4.9bn], we made an offer of a 10 per cent payment that was accepted by the majority of other colleagues.
"We are fully committed to work together to find a solution, because to deliver for our customers and rebuild our business we have to work as a team. We will of course keep our customers updated about what this means for them as the situation evolves."
A representative for UK Prime Minister Boris Johnson urged both sides to reach an agreement.
"We don't want to see any further disruption for passengers and strike action would only add to the misery being faced by passengers at airports.
"We expect BA to put in place contingency measures to ensure that as little disruption [as possible] is caused and that where there is disruption that passengers can be refunded."
The strikes are the latest problem to blight the UK flag carrier. In March, BA passengers were stranded at Heathrow after an IT glitch forced the airline to cancel and postpone flights. And this month, a panel of British politicians was told by Sue Davies, head of consumer rights at consumer watchdog Which, that the airline had presided over a "blatant flouting" of its obligations to passengers.
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New UK refugee system
- A new “core protection” for refugees moving from permanent to a more basic, temporary protection
- Shortened leave to remain - refugees will receive 30 months instead of five years
- A longer path to settlement with no indefinite settled status until a refugee has spent 20 years in Britain
- To encourage refugees to integrate the government will encourage them to out of the core protection route wherever possible.
- Under core protection there will be no automatic right to family reunion
- Refugees will have a reduced right to public funds
THE SPECS
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Labour dispute
The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.
- Abdullah Ishnaneh, Partner, BSA Law
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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Three stars
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Publisher: Konami
Platforms: PlayStation 5, Xbox Series X/S, PC
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Dubai launched the pilot phase of its real estate tokenisation project last month.
The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.
Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.
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Temple numbers
Expected completion: 2022
Height: 24 meters
Ground floor banquet hall: 370 square metres to accommodate about 750 people
Ground floor multipurpose hall: 92 square metres for up to 200 people
First floor main Prayer Hall: 465 square metres to hold 1,500 people at a time
First floor terrace areas: 2,30 square metres
Temple will be spread over 6,900 square metres
Structure includes two basements, ground and first floor
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The specs: 2018 Opel Mokka X
Price, as tested: Dh84,000
Engine: 1.4L, four-cylinder turbo
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Power: 142hp at 4,900rpm
Torque: 200Nm at 1,850rpm
Fuel economy, combined: 6.5L / 100km
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EMERGENCY PHONE NUMBERS
Estijaba – 8001717 – number to call to request coronavirus testing
Ministry of Health and Prevention – 80011111
Dubai Health Authority – 800342 – The number to book a free video or voice consultation with a doctor or connect to a local health centre
Emirates airline – 600555555
Etihad Airways – 600555666
Ambulance – 998
Knowledge and Human Development Authority – 8005432 ext. 4 for Covid-19 queries
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