Money Matters

Friday May 23rd 2008

Last Friday, the round-faced Chief Executive of British Airways, Willie Walsh, declined his whopping £700,000 bonus. Walsh felt that it would be “inappropriate” to accept it because of the Terminal 5 opening fiasco.

Some say he deserved the bonus, after BA’s profits rose 45% last financial year (compared to the previous 12 months).

But Walsh knows this year won’t be as easy.

BA admitted, at the beginning of April, that the T5 problems had already cost them £16m. On top of that, pilots are threatening strike action and fuel prices continue to rise.

Good press aside, could it be that Walsh is looking to the long-term? It’s not going to look good for him if he starts accepting vast bonuses at the
beginning of a difficult time for BA – he’ll only be criticised when profits fall.

Sorry, Willie – it’s difficult not be cynical at a time like this.

Let’s hear your opinions…