Govt urges Irish Ferries to delay controversial restructuring proposal

THE Government has urged Irish Ferries to hold off implementing its restructuring plan until it considered a report proposing additional tax breaks for the industry.

Marine minister Pat “the Cope” Gallagher said the shipping sector’s development agency, the Irish Maritime Development Office, recently reviewed the sector’s existing State aids and considered the case for new or modified aids. That report is now with the Minister for Finance for consideration.

“This decision by Irish Ferries is, of course, a regrettable one and I am extremely disappointed that the company felt the need to resort to such extreme measures. My thoughts at this time go out to those employees and their families facing into an uncertain future,” Minister Gallagher said.

While Minister Gallagher said he was disappointed with Irish Ferries decision, there was furious reaction to the proposals to replace Irish workers with cheaper labour.

The Labour party’s marine spokesman Tommy Broughan said Irish Ferries was trying to turn the company into a no-frills transport service.

“The move to employ foreign labour on the Rosslare-France routes has been notorious for the totally unacceptable pay and conditions on offer, as revealed in the case of a Filipino woman earlier this year who was contracted to work onboard a ferry at a fraction of acceptable pay,” Mr Broughan said.

The Green Party TD Eamon Ryan said the offer to Irish staff of the company was appalling but was also an “insult” to the foreign workers who will replace them.

“The announcement by Irish Ferries sounds yet another warning bell for the Government and is symptomatic of its persistent failure to address escalating costs,” Deputy Ryan said.

“Fuel costs, one of the principal reasons cited by Irish Ferries for the need to lay off its workers, will continue to rise unless the Government takes measures to provide Ireland with alternative, renewable energy sources.”

Under the plan future pay increases for workers who want to stay with the company will not be linked to national pay agreements and will be reviewed annually. Irish Ferries also plans to determine how many crew staff each ship.

It is not known if workers will ballot for strike action.

The company said it will withdraw the voluntary redundancy programme if industrial action is taken.