Workers at Prestwick airport are to be consulted on the possibility of industrial action after pay talks with staff unions broke down.
The Prospect union called on the Scottish airport to mirror the pay deals being promised to public sector workers.
The airport is currently in public ownership, although ministers in Scotland insist it is run at arm’s length from government, the BBC reported.
Prestwick’s human resources director said the offer made to staff was “the maximum amount that could be given”.
Staff were offered a 2% pay rise earlier in the year, but Prospect submitted a counterproposal mirroring the public sector pay deal outlined by Scotland’s finance minister Derek Mackay in his latest budget.
Mackay said public sector workers earning £36,500 or less would be guaranteed a 3% pay rise, with 75% of staff groups in line for above-inflation increases.
The Edinburgh government is currently the airport’s sole shareholder, but Prestwick bosses stressed that it “operates as a separate commercial entity at arm’s length to the Scottish government”.
They said the 2% proposal they had made “reflects affordability” and was the most that could be offered.
Human resources director Sonia Rafferty said: “At the beginning of discussions, it was made clear that the business continues to face a number of financial challenges and that this was the maximum amount that could be given.
“As part of this year’s offer, we have also extended our no compulsory redundancy pledge for a further 12 months. In addition, we are paying the national living wage with a commitment to increase this to the Scottish living wage by 2020.”
Prospect’s national secretary for Scotland, Richard Hardy, said it would only cost the airport £50,000 to meet the union’s counterproposal.
He said: “The pay policy isn’t simply about toeing the line, it’s about sending a signal that the airport wants to recruit and retain the key staff it needs to succeed.
“We will now consult our members on the next steps including a possible strike ballot.”
The airport, which is used mainly by Ryanair, was taken into public ownership in 2013 but has continued to be loss-making.