British Airways has come under renewed pressure to keep any further job losses to a minimum after announcing a 70 per cent increase in annual profits.

The airline said its Future Size and Shape strategy had delivered annual savings of £869 million, chiefly through the loss of 13,082 jobs.

That was against pre-tax profits of £230 million for the 12 months to March 3 which were higher than City forecasters expected.

However, spiralling oil prices, higher employee costs and competition from low-cost airlines such as easyJet have taken the gloss of the figures.

BA has already announced a further £300 million of cuts are needed in the next two years, a move unions fear could lead to 3,000 more job losses.

Brendan Gold, the Transport and General Workers' Union national secretary for civil aviation, said: "It is staff across all parts of the operation who have delivered annual savings of more than £850 million.

"This means their co-operation in increasing productivity and delivering different ways of working as well as enduring more than 13,000 job losses has put BA in today's profitable position.

"Nobody would pretend the aviation market is anything but tough but these figures show what has been achieved.

"Our members have played their part and we would expect this to be recognised in our on-going talks with BA on pay, pensions and productivity."

At a media conference yesterday, BA chief executive Rod Eddington said employee costs were still "under review".

He said: "We are working with the unions and the workforce to find acceptable ways to reduce staff costs and that's ongoing."

BA, which employs 4,000 workers at Gatwick, finds itself in a quandary.

While it has exceeded its saving target by £200 million, rising oil prices are expected to cost it a further £150 million this year alone.

And stiff competition from low-cost airlines, particularly on short flights, means further job losses might be in the pipeline.

Tuesday May 18, 2004