Semi-State companies headache for Coalition
In addition to the prospect of 2,300 ESB workers downing tools on Monday, and the possibility of 1,300 Aer Lingus job losses if the company is privatised, the Government's legislation to break up Aer Rianta has also run into unexpected difficulties.
As well as further legal complications, highlighted by Labour leader Pat Rabbitte yesterday, it emerged last night that the Seanad will have to postpone its summer break and reconvene next week to consider the State Airports Bill.
The Government had promised to pass the controversial legislation before the end of this week, but Seanad leader Mary O'Rourke told the Department of Transport there were no available slots and the bill would have to wait until after the summer.
A spokesman for Transport Minister Seamus Brennan said negotiations were ongoing with the Seanad office and the Government chief whip's office.
However, Government sources last night indicated Mrs O'Rourke had been told to find time for the legislation which will now be put before the Seanad next week. In another glitch, Mr Rabbitte yesterday released legal advice received by Aer Rianta which indicates the company's creditors would have to have a say in any break-up plans.
The advice, received by Aer Rianta's chief executive, warns of serious implications for the Government's restructuring plans.
Although Taoiseach Bertie Ahern yesterday said any legal issues were being addressed, the latest semi-State crises come at a make-or-break time for the Government as tension continues between the Coalition partners over privatisation and competition of semi-States.
Mr Seamus Brennan yesterday announced the establishment of a Cabinet sub-committee to consider a request by Aer Lingus chief executive Willie Walsh and two colleagues to buyout the airline.
The committee - composed of the Taoiseach, Tánaiste Mary Harney, Finance Minister Charlie McCreevy, Mr Brennan and Arts, Sports and Tourism Minister John O'Donoghue - will meet in 10 days' time.
Meanwhile, around 2,300 members of the ESB Officers' Association (ESBOA) will not be turning up for work next week, if their dispute over pay and their stake in the company is not resolved.
Power cuts are feared because other ESB workers are expected to refuse to pass ESBOA pickets placed outside generating plants.
: Senior managers want to buy out the company - a move likely to result in 1,300 job losses.
: Further difficulties with Government's break- up plan emerge.
: From Monday 2,300 workers threaten to walk out in a row over new internal partnership arrangements.
