The performance of organizations in various industries is highly depended on the satisfaction of their employees. employee satisfaction can affect the employee performance, which is also closely related with the organizational performance (Nebeker et al., 2001, p.29). In service firms this issue can have particular importance. in fact, these firms the behavior of the employer towards the employees is expected to set the criteria on which the employees’ behavior towards the customers will be based. for this reason, in the services sector, the ways that employees are treated need to be carefully reviewed and monitored (Jackson et al., 2009, p.279). On the other hand, the relevant practices of competitors have to be taken into consideration – in most cases, the HR plans promoted within an organization need to be supported by additional policies and schemes. For instance, in the airline industry, the introduction of low-cost services has to be followed by incentives to the firm’s employees to support the specific schemes (Harvey et al., 2006, p.330). The above task is often difficult to be developed – especially because each firm is likely to have different ethics and culture which can result to different measures for supporting the introduction of change in one or more organizational departments (Hunter, 2006, p.315). In accordance with the above, employee relations plans in organizations worldwide should be carefully examined both as of their feasibility – in terms of resources and organizational culture – and their flexibility – being able to be adapted to different market trends and needs. The criteria mentioned above should be also used in the case of British Airways: the decline in the firm’s performance should be effectively faced through appropriately customized employee relations schemes. the policies currently used by the firm’s managers – as analyzed below – cannot be expected to benefit the firm in the long term even if in the short term the increase of the firm’s profitability is achieved.