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Industrial relations | Branson plays it tough

Virgin boss Sir Richard Branson has seemingly dispensed with his nicey-nicey image and has started talking tough to airline staff threatening to strike in a pay row.

In a letter to Virgin Atlantic cabin crew, Branson delivered a stark New Year message, telling them that if they didn't like the money on offer they should resign.

Members of the Unite union had voted for two 48-hour strikes later this month in protest over pay levels. The union claims Virgin crew are paid less than rivals such as British Airways.

While Branson admitted that other airlines offered better pay, but working for Virgin had other perks. He wrote: "For some of you, more pay than Virgin Atlantic can afford may be critical to your lifestyle and if that is the case you should consider working elsewhere."

Unite has naturally called the letter provocative and unhelpful in resolving the dispute, but Virgin Atlantic remains unmoved.

Branson's approach is a refreshing one for a top business figure during an industrial dispute. Rather than tiptoe around the issue and release bland, unemotive statements, has told it like it is: We can't afford any extra cash, so either put up or leave.

It remains to be seen whether his tactics will work and the strike will be called off, undermining the union, or whether staff will be galvanised and carry on regardless.

If it does work, then we may have stumbled upon a new negotiating technique to be used by employers when talking to staff - like it or lump it.

Mike Berry |

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Comments (2)

Janice Still:

Well Done, Mr Branson!.

I have a deep suspicion that Mr Branson ignored all the advice given to him by his personnel team not to issue the letter!

Gwen Kates:

Well Done Mr Branson
Someone has to tell it like it is, although not always pleasant.

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