British Airways to cut one-third of managers

British Airways to cut one-third of managers    British Airways will cut 35 percent its managerial staff by March 2008, firing nearly 600 of its 1,715 managers in an effort to save '50 million ($86 million).
   The cutbacks are part of BA’s cost reduction program announced last year, designed to save '300 million ($353 million) by March 2007.
   The 597 job losses will involve a 50 percent reduction in senior managers, from 414 to 207, and a 30 percent reduction in middle managers from 1,301 to 911.
   The company plans to carry out the reductions in three phases with 94 of the top executives (23 percent) leaving the airline by next April, with the remaining leaving over the following two years.
   “We are restructuring the airline to remove duplication, simplify our core business and provide clearer accountability. Managers will have greater accountability for making decisions, delivering results and leading the business,” said Willie Walsh, new BA chief executive officer. “We must lower our costs so that we can fund future investment in our business. Today marks the start of a renewed effort to deliver our goal of a 10 percent operating margin.”
   Walsh replaced former CEO Rod Eddington in October.
   BA’s has reduced its workforce by about 14,000 to 46,000 in the last five years.