Cabinet to discuss Aer Lingus privatisation plans

Minister for Transport Martin Cullen will bring plans for the part privatisation of Aer Lingus to the Cabinet table today.

With the support of Minister for Finance Brian Cowen, a sell-off of the chunk of the state airline will be put forward, with a possible date in the autumn being earmarked for the deal.

The move, however, is destined for trouble unless union leaders get assurances that jobs will be secure, working conditions protected and the pensions issue addressed.

Taoiseach Bertie Ahern yesterday gave his backing to the proposal and said the troubles faced by Aer Lingus in recent years all came when it was in State hands.

“The fact of the matter is their losses, the lack of investment, the unemployment, its whole future, that was all happening when it was in State hands,” he said.

“I think now we are preparing for a different position when we are preparing for 30 million passengers through Dublin Airport and obviously Aer Lingus having a large share of that.”

The Taoiseach added that, while the sell-off was the right thing to do, concerns of staff, including pensions, would be addressed.

SIPTU chiefs, led by national industrial secretary Michael Halpenny, met Mr Cullen last night but warned strike action was on the cards unless workers got the assurances they needed.

Mr Halpenny added that a SIPTU delegation would still attend the Oireachtas Transport Committee on Thursday regardless of how the Cabinet reacted to the sell-off plan.