LONDON, Nov. 30 (UPI) -- British Airways will cut nearly 600 management jobs, more than one-third of its managerial posts, in a bid to save $86 million.
The staff reductions will reduce the number of senior managers from 414 to 207 and shrink the number of mid-level managers from 1,301 to 911, Sky News reported Wednesday.
The target date, March 2008, is the one set for BA's move to Heathrow's new Terminal Five, which is currently under construction.
"I said when we reported our second quarter financial results last month that our costs were up in most areas and that, as a result, we need to re-energize our efforts to deliver a competitive cost base," said BA's new chief executive, Willie Walsh.
"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."