BA job cuts plan unchanged despite furlough extension

Plans to make 12,000 British Airways workers redundant remain unchanged despite the UK government's extension of the coronavirus furlough scheme to the end of October, the airline's owner has said.

IAG chief executive Willie Walsh, in a letter to the Transport Select Committee where he gave evidence on Monday, said that British Airways had processed cash refunds on 921,000 bookings, with vouchers given on a further 346,000 bookings.

The furlough scheme is designed to help people put on leave due to the coronavirus outbreak and to prevent employers having to make mass redundancies.

UK Chancellor Rishi Sunak announced on Tuesday that employees would continue to receive 80% of their monthly wages up to £2,500 ($3,050) until October.

But he said the government would ask companies to "start sharing" the cost of the scheme from August.

A quarter of the workforce, some 7.5 million people, are now covered by the scheme, which is costing £14bn a month.