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BA faces deadline in catering row

Tuesday, 23 August 20053 min read

British Airways faces a deadline of 17.00 today to complete a new deal with its in-flight food supplier or face the possibility of the firm entering administration.

US-owned Gate Gourmet has warned that administrators will be called in unless an agreement is made with the airline.

The company has been at the centre of a dispute after dismissing 670 workers – action which led to a walk-out by BA ground staff, paralysing the airline’s services from Heathrow for two days.

Unions have accused the catering company of using the threat of administration as a way of pushing BA into a new deal, the BBC reported.

There are concerns that further industrial action could spread to the airline unless the sacked catering workers are reinstated.

Report by Phil Davies