British Airways announced last night that its top executives are taking pay cuts of up to 50 per cent because of the downturn in the airline's prospects after the US terror attacks.
The company's 12 executives are each taking a 15 per cent reduction in basic pay from next month. This means that the salary of BA's chief executive, Rod Eddington, will fall by £78,750 to £446,250.
But Lord Marshall of Knightsbridge, the BA chairman, and his eight fellow non-executive directors, have agreed to halve their pay. Lord Marshall's salary will drop from £250,000 to £125,000. The other non-executives, who include Raymond Seitz, the former US ambassador to Britain, are currently paid between £19,000 and £43,000.
A further 600 senior managers on salaries of between £50,000 and £100,000 have been asked to take a 10 per cent reduction in salary.Reuse content