The cutbacks come a week after the company reported a sharp fall in first quarter pre-tax profits.

The BBC's Greg Wood: BA says it must cut costs in order to avoid making a loss

The posts affected are all at managerial level. BA is anxious to avoid undermining morale among pilots and cabin crew, following a damaging dispute two years ago.

It had been thought as many as 2,000 jobs would be lost, but the company confirmed the lower figure on Sunday.

The airline announced last week it is to cut capacity by 12% and switch to smaller aircraft, in a bid to counter tough market conditions which have seen operating profits fall to £94m, from £173m a year earlier, for the three months to 30 June.

BA chief executive Robert Ayling said: "Nobody anticipated market conditions as bad as this.

Tough competition

"As a result, we will find additional savings of £225m this year in order to deliver the profits the City expects.

"In the past, British Airways has generated significant numbers of new jobs every year. This is likely to stop.

"We always adjust our overheads in line with the business cycle."

The company has been struggling in the face of tough competition and price-cutting from other carriers.

The profitable international business and first-class market has been hit by the slowdown in the Far East last year, and a sluggish European economy this year.

Businesses have cut back on international travel budgets, leading to industry-wide overcapacity, especially on trans-Atlantic and long-haul routes.