Airline job cuts plan gets all-clear

AER LINGUS management was given the all-clear by the Government yesterday to cut jobs and costs, as the board of the State airline approved a plan to lay off 1,300 workers.

Angry union representatives will meet with management at the company today to discuss the plan aimed at pitching Aer Lingus against Ryanair in the low-fares flights market.

Despite confirming it was on target to make a €95 million profit this year, after its scheduled monthly meeting yesterday, the board said it had approved a three-year business plan.

The proposed management buyout by Aer Lingus chief executive Willie Walsh is on hold while still being considered by the Government.

While not going into the detail of the plan, the board said it contains "strategic, commercial and financial actions" essential to ensure the continuing viability and growth of the business as it moves into the low-fares environment.

The job losses will result in the shedding of 1,300 posts or more than a quarter of the workforce, with redundancies coming in the check-in, baggage handling and cabin crew areas.

But unions say they will fight any attempt to enforce redundancies, arguing that staff have played a vital role in saving the airline in the past.

Ahead of the meeting with Aer Lingus bosses today, SIPTU national industry secretary Mick Halpenny said no clear case for any redundancies had been made and unions expect to be consulted.

"We will resist any attempt by the company to force chance, whether it be by virtue of compulsory redundancies or any other method," he said.

Transport Minister Séamus Brennan said he supported efficiency and cost reduction measures.

While he said if there were job cuts, he did not see any reason why they should not be on a voluntary basis, Mr Brennan didn't rule out support for compulsory redundancies.

Despite Government backing for the board's course of action, IMPACT and SIPTU, the airline's biggest unions, oppose any compulsory redundancies.