BALPA continues to help members directly affected by the collapse of XL Airways. And BALPA has been pressing Government on the wider issues of the failure. This includes how the company was being run prior to its collapse, how the repatriation of passengers was undertaken and the ways in which Government can help individual pilots and the industry at large as the economy tightens. The issues raised in these exchanges go far wider than XL and BALPA welcomes feedback and suggestions from all members which can be sent to jimmcauslan@balpa.org 

Following the collapse of XL Airways BALPA wrote to the Secretary of State making a number of points and Government has now responded:

The BALPA commentary follows.

1. The issue of how the company was being run and questions over the actions of the Directors is something the Secretary of State suggests we raise with BERR (DTI as was). XL members, believing there was corporate failure (at best), have asked that we pursue this with vigour in order that other BALPA members don’t have the same experience.

The Administrator, who is responsible for carrying out enquiries and who must report within 6 months on the Directors’ actions, has met with BALPA to take input to his report which, regrettably, must remain confidential to BERR. The Administrator is keen to get as much information as possible (in confidence if necessary) to allow him to produce his report. BALPA is co-ordinating XL members’ suggestions, thoughts and leads. In addition information has been arriving at BALPA House from others in the industry and any member with information can e mail jimmcauslan@balpa.org.

This BERR enquiry is distinct from:

• the creditor’s report which will outline all the transactions including the sale of the French and German operations on the eve of the collapse and give a sense of whether there are funds to help repay unpaid wages and redundancy pay to members and

• the accountancy regulatory body’s review of the way in which the XL auditor’s signed off the accounts

2. The way in which the aftermath of the collapse was handled is being investigated and Department for Transport (DfT) are leading. Why XL pilots and XL aircraft stood idle as taxpayer’s money was being spent on bringing home tens of thousands of passengers is a key question.

DfT are speaking to individual XL members on their first hand experience and BALPA is considering a submission – members can again send views to jimmcauslan@balpa.org

3. BALPA regrets that the Government has not been prepared to involve itself directly in helping members find jobs. The situation has gotten worse in the short 7 weeks since the closure with offers of help and possible job opportunities made in the immediate aftermath now drying up. BALPA is continuing to press Government and BALPA’s President (Lord Stanley Clinton-Davis) will be raising the matter in the House.

4. The Government has left an open door on challenging the new taxes due to hit the industry right at the time when we are at our lowest. We will be pressing our case, in conjunction with others.