Brennan to go ahead with Aer Rianta break-up

TRANSPORT Minister Seamus Brennan is to push ahead and seek final Cabinet approval for plans to break-up Aer Rianta today, despite assurances to unions that he would consult with them fully beforehand.

The move looks set to re-ignite bitter tensions between Mr Brennan and the Aer Rianta unions which came close to an all-out strike earlier this year.

Crippling industrial action was only narrowly averted by the last minute intervention of Taoiseach Bertie Ahern who promised unions would be fully consulted.

However, Mr Brennan wrote to Irish Congress of Trade Unions (ICTU) general secretary, David Begg on Friday to inform him that he was not prepared to wait any longer.

In the letter, seen by the Irish Examiner, Mr Brennan says he has met his obligations to consult with unions and will now proceed to Cabinet for approval of the break-up plan today.

"I believe I have honoured the commitment which I gave and which the Taoiseach has endorsed regarding a reasonable opportunity for their trade unions and their advisors to examine and respond to financial and other information regarding the restructuring," the letter reads.

"I strongly believe that essential reform in the governance of the state airports cannot be delayed any longer," Mr Brennan continued.

Having promised to do so in February, the Government forwarded a copy of its final business plan to the union's financial advisors on April 29 this year.

Among other things, the confidential plan compiled by Pricewaterhouse Coopers (PwC) calls for airlines based at Dublin Airport to be charged up to 50% more in airport charges to cover the cost of the break-up.

Economic consultancies Mazars and Farrell Grant Sparks have been examining the plan on behalf of ICTU and have indicated that "on the information currently available there is no basis on which a decision could be made regarding the proposed restructuring of Aer Rianta."

Both consultancy firms were understood to be last night working on a last minute document in order to forward the union side of the issue to the Government before today's Cabinet meeting.

Mr Begg wrote to Mr Brennan yesterday dismissing his view that unions had now been properly consulted as promised.

"I regret that I cannot agree with your view that you have honoured the commitment to allow us reasonable opportunity to examine and respond," said Mr Begg's letter.

A spokesman for Mr Brennan could not be contacted last night.