Unions reject regional airport owner's pay offer

State-owned Highlands and Islands Airports Limited (Hial) has confirmed a pay offer to staff has been rejected by members of three unions.

Hial runs regional airports in the Highlands, Western Isles, Orkney, Shetland as well as Dundee's airport.

The company said it had made an enhanced offer, but this had been turned down by the PCS, Prospect and Unite.

Hial said it would meet again with the unions to try and resolve the matter.

On the table was a 5% basic pay award to all staff earning less than £80,000 and a 4% basic pay award to all staff earning more that £80,000.

In addition it proposed a 5% increase to fixed allowances not automatically updated by the 5% increase in basic pay.

Managing director Inglis Lyon said: "The offer was the result of an extensive exercise on cost savings and the generation of additional income to allow an enhanced pay award that was affordable from within our existing finances.

"We will now meet with union colleagues to try and reach a solution following the disappointing result."