SIPTU unhappy with Aer Lingus cutbacks

Workers at the state-owned airline Aer Lingus will not be bullied in any future development plans, union bosses warned today.

Jack O’Connor, president of the Services, Industrial, Professional and Technical Union (SIPTU) said the airline must follow a sensible policy approach after it was reported a radical new programme involving 1,300 job cuts may be planned.

Aer Lingus chief executive Willie Walsh is expected to outline cutbacks involving slashing a quarter of the workforce including cabin crew, baggage handlers, cargo, catering and check-in staff.

In a statement, Mr O’Connor said: “The employees of Aer Lingus must not allow themselves to be bullied in this situation.

“There are social partnership models in place by agreement with both the Government and the company which are designed to take account of the interests of all stake holders in the development of policy in Aer Lingus, informed by the primacy of the national interest.

“We will be insisting on adherence to these.”

The proposed job-cuts would bring the workforce down from over 4,000 to 2,700 across Dublin, Shannon and Cork airports over the next three-years, according to a report in the Sunday Business Post.

A team of executives, including Mr Walsh, who recently proposed a management buy-out of the company, is presenting the business plan to the board tomorrow.

The union president said: “We have no interest in facilitating the enhancement of the wealth of a few individuals or participating in rationalisation plans for the sole purpose of preparing the company for privatisation for its own sake.”

The team is expected to warn the board that the company needs to cut costs by 10% to rival competitors including budget-airline Ryanair.

If the plan is put in place it would be the second job-cutting business plan for the airline, as a major survival programme launched in 2001 involved 2,000 redundancies.

Mr O’Connor said the workers had already undergone extensive job losses.

“This has resulted in the radical transformation of the commercial fortunes of the company, restoring healthy profitability, contrary to experience generally in the airline industry internationally,” he added.

The rapid expansion plan is also believed to outline 24 commercially viable European routes, which the management favour flying to, including Malta, Cyprus and Athens.

Ministers are considering last month’s request by Mr Walsh to buy-out the state-owned company and will make a decision on the company’s future in the autumn.

Transport Minister Seamus Brennan has said the Government has not ruled out a management buy-out but if they were taking the privatisation route, all options would be considered.