Plans to sell Aer Lingus 'fundamentally flawed'

Plans to sell-off part of the State airline Aer Lingus are fundamentally flawed, union leaders told Transport Minister Martin Cullen tonight.

Following frank exchanges with the minister, Siptu national industrial secretary Michael Halpenny said no guarantees were made on three burning issues - job security, pensions and working conditions.

And he said strike action was a threat that workers were willing to use.

“We told him [Mr Cullen] what we thought, we expressed our disappointment. We told him that despite the fact that he issued instructions to the company to consult with us they have not done it,” he said.

“We are no further near resolution than we were four weeks ago. It is a fundamentally flawed decision”

Government ministers are due to discuss the sell-off plan tomorrow. It is understood a stock market flotation is being lined up for the autumn, with only a part of the company up for grabs.

Following the private two-hour meeting, Mr Halpenny warned that even if a Cabinet decision in favour of the sell-off was made this week, unions would still be attending the Oireachtas Transport Committee to air their grievances.

“The spotlight will then firmly be on the industrial relations side of the house,” he said.

Aer Lingus workers last week voted in favour of industrial action if the Government presses ahead with the sell-off.

Around 94% of 2,100 members of the Siptu union voted for a possible strike.

Mr Halpenny, said it was evidence of workers’ determination to defend their job security and conditions of employment if management push through privatisation without addressing concerns.

The Government, however, believe the deal would offer Aer Lingus the financial muscle and commercial flexibility to realise its ambitions in the aviation industry.

Mr Cullen is expected to go to Cabinet tomorrow, along with Finance Minister Brian Cowen to allow for an investment transaction.

Siptu, which represents mainly ground staff, clerical workers, cleaners and a small number of cabin crew at the airline, warned that it would be a good deal for the better paid members of staff at the company.

It is understood the 500 pilots at Aer Lingus are quite gung-ho about privatisation and ready to buy up shares.