Union concerns over fate of Aer Lingus

AER LINGUS could yet be re-nationalised, according to the country’s largest trade union which said privatising the airline was a “tragic mistake”.

The comments came on the same day Aer Lingus recommended that its shareholders reject proposals from Ryanair to cut executive pay at the company’s annual general meeting next week.

Ryanair has recommended that Aer Lingus slash its chairman’s pay by 80% and trim directors’ fees.

SIPTU general secretary Joe O’Flynn told Limerick City Council that the union warned at the time of the Aer Lingus IPO that it was vital for Ireland as an open economy on the periphery of Europe with transatlantic links to North America to maintain public ownership of the national airline.

“We warned that keeping a Government minority share would not protect it adequately from predators, or ensure that the broader national interests would be protected when commercial decisions were being made.

“We already have commentators from across the political spectrum debating the need to re-nationalise eircom in order to restore our broadband connectivity to something approaching international standards. I wonder if we may not have to look at aviation next?”

Yesterday Ryanair chief executive Michael O’Leary said Aer Lingus should seek a successor to chief executive officer Dermot Mannion from within the airline to save recruitment costs.