British Airways restores inflight retail service

Gavin Lipsith

5-Sep-2005

The ongoing problems at Gate Gourmet have hit the UK airline's duty-free sales

UK flag carrier British Airways will resume inflight duty-free sales tomorrow after the service was suspended as a result of the recent strike action by Gate Gourmet staff. The airline has been unable to sell on board since August 10.

Employees at inflight caterer Gate Gourmet's London Heathrow airport operation, which provides about 80,000 hot meals a day for BA passengers, are protesting against the sacking of almost 700 employees last month. The action was followed by a sympathy strike by airport workers and BA ground staff, which resulted in the company being unable to offer its usual retail service.

BA has not disclosed how the loss of inflight sales for almost a month has affected its revenues.

Gate Gourmet is seeking to enter a new arrangement with BA after reporting a loss of £25m in the UK last year. The company could face administration if it does not reach a deal soon. Hot meals on BA were reintroduced two weeks ago, although Gate Gourmet has yet to resolve problems with its employees.

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