Ryanair and Bank of Ireland cut jobs as impact widens

Ryanair and Bank of Ireland have announced more than 300 job cuts between them as the business fallout from the spread of the Covid-19 pandemic increases.
Ryanair and Bank of Ireland cut jobs as impact widens

Ryanair and Bank of Ireland have announced more than 300 job cuts between them as the business fallout from the spread of the Covid-19 pandemic increases.

Ryanair has cut more than 250 staff in offices in Dublin, London, Madrid and Wroclaw in Poland.

“While we expect to re-open our offices from June 1 next, we will not require the same number of support team members in a year when we will carry less than 100 million passengers, against an original budget of 155 million,” Ryanair’s people director Darrell Hughes said.

Ryanair has operated less than 1% of its normal flight schedules during April, May and June, and this week announced that only 40% of its normal schedules would operate from July.

The company is continuing to meet its pilot and cabin crew unions across Europe to finalise up to 3,000 job cuts and 20% pay cuts with further announcements on crew job losses and pay cuts expected before the end of May.

At the beginning of this month Ryanair said it may lay off up to 3,000 people and not see a return to normal passenger demand and pricing levels until the summer of 2022 at the earliest.

"Ryanair is also facing intense price competition across Europe as we are forced to compete with flag carrier airlines who have received over €30bn in unlawful state aid subsidies from their governments, and who will be able to engage in below low cost selling for many years with the benefit of this illegal state aid," Mr Hughes said.

Meanwhile, Bank of Ireland is cutting more than 100 call centre-based non-permanent contract staff by not offering them contract renewals as they expire.

The bulk of the workers are based at a call centre in Kilkenny, with the remainder located at a call centre in Tallaght.

The permanent employees at both centres will not be affected. The contract workers – who work in customer service, or ‘direct channels’ - are employed by Bank of Ireland through recruitment firm CPL Resources.

The bank said it has, along with CPL, set out a range of supports including workshops and HR clinics.

Bank of Ireland said the Kilkenny and Tallaght operations remain “an extremely important” part of its overall customer service operations.

However, it added that in recent months the impact of Covid-19 on customers and its business has been seen “in a range of ways”.

"Prior to the onset of the current pandemic, attrition levels in direct channels were at a level where we would often be able to offer permanent positions with Bank of Ireland to contract staff at the end of their contract period," the bank said.

"However, since Covid, the number of vacancies arising within the business has significantly decreased.

"This development, coupled with expected efficiencies in our processes, unfortunately means that a number of contract positions will come to an end from late June 2020 to January 2021," it added.

More in this section

Budget 2022 Logo

What impact will this  year's budget have on you and your business.

The Business Hub
Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
Puzzles logo
IE-logo

Puzzles hub

Visit our brain gym where you will find simple and cryptic crosswords, sudoku puzzles and much more. Updated at midnight every day. PS ... We would love to hear your feedback on the section right HERE.

Lunchtime
News Wrap

A lunchtime summary of content highlights on the Irish Examiner website. Delivered at 1pm each day.

Sign up
Revoiced
Newsletter

Our Covid-free newsletter brings together some of the best bits from irishexaminer.com, as chosen by our editor, direct to your inbox every Monday.

Sign up