THE boss of an aerospace company bracing itself for huge job losses was today slammed for receiving a huge pay rise.

Mike Turner, chief executive of defence giant BAE Systems, which employs thousands of East Lancashire workers, was paid a total of £1.23million in 2003, the company announced to shareholders.

This is compared with the £709,000 he earned in 2002 when he took over from John Weston.

His basic salary rose to £675,000 from £577,000 and he was paid almost £500,000 in bonus. This is despite the group's results barely scraping back into positive territory, with a net profit of £6million for 2003, compared with a net loss of £686,000 in 2002.

The news comes as union officials and personnel bosses hammer out a deal to try and save as many jobs as possible at sites in Samlesbury and Warton, where jobs will undoubtedly go.

Yesterday, the company announced it was shedding 760 jobs, with 720 of those going from a BAE shipyard at Barrow-in-Furness.

BAE employs more than 8,000 people in Lancashire, hiring thousands more at sub-contractors and suppliers dependent on the defence giant.

It is felt many jobs will go as a result of the delay in the ordering of the second tranche of the Euro Typhoon by the Government.

Recent reports have suggested that relations with the Ministry of Defence (MoD) are still fraught and that BAE Systems may lose its position as preferred prime contractor on the programme.

Instead, it is understood that the MoD is seeking to set up an alliance with Thales and BAE that would see its responsibilities limited, although it would still get the majority of the work.

Nigel Evans MP for the Ribble Valley said: "This is very poor timing.

"A lot of people will be somewhat staggered to see these telephone number pay deals at the same time that jobs are hanging in the balance.

"Perhaps if it had been on the back of five new orders and not job losses it would be have been more acceptable. I am not happy about this at all."