IAG Backs Arbiter’s Iberia Job-Cuts Plan After Compromise on Pay

Lock
This article is for subscribers only.

British Airways parent IAG backed a mediator’s plan for about 3,140 job cuts at unprofitable Spanish unit Iberia after offering concessions that won union backing.

IAG’s board voted to approve a deal that pares job losses from the 3,807 it had pledged to drive through in the absence of a negotiated settlement, according to a statement today. Most labor groups accepted a package that also prunes pay cuts and shortens a salary freeze, though pilots have yet to sign up.