Aer Lingus Strike

Aer Lingus Logo

[Digg] The plans by Aer Lingus to cut costs across the board within the company have unsurprisingly resulted in widespread unrest. In a statement in early October the board said it had decided to proceed with a cost cutting plan “to deliver the substantial savings which are necessary to ensure the company’s long-term viability as an independent airline.” At the time the board did not publish details on the planned cost cuttings which shave €74 million off the operating costs of the airline.

“The board has agreed the need for this fundamental change in the cost base to ensure that the company remains competitive and is appropriately positioned to take advantage of future growth opportunities,” – Aer Lingus – 3 October 2008

The airline had proposed the outsourcing of about 1,500 jobs from its ground operations in Dublin, Cork and Shannon along with a raft of other savings including hiring crew from North America for transatlantic flights and closing international staff bases.

Unsurprisingly the unions (Impact & SIPTU) strongly opposed such draconian methods and accused Aer Lingus of participating in a race to the bottom. The plans to employ international cabin crew on cheaper contracts were compared to the Irish Ferries case of a number of years ago. SIPTU, which represents around 1,700 staff at the airline, stated that its members were furious at the proposals. The union said it will co-operate with a process involving the Labour Relations Commission aimed at producing alternatives. However, it is also to ballot for all-out industrial action.

“Nobody in the company will emerge unscathed from this exercise. Even those who keep their jobs will have to sign up to new contracts, ‘a merit and performance based culture’ and a pay freeze until the end of 2009. The company has also told us that it will continue to seek further savings so that surviving staff face the prospect of further reductions in pay and conditions, not to mention redundancy,” SIPTU – 6 October 2008

Aer Lingus by FotoJunkie

Aer Lingus said it would offer a voluntary severance or early retirement package, and those who do not take redundancy may transfer to a new service provider. Meanwhile the Unions don’t really seem to understand that nobody will sacked:

“SIPTU has agreed to contact the other social partners and the relevant Government Departments to find alternative measures to the mass sacking of over 1,300 SIPTU members” SIPTU.ie 6 November 2008

Subsequent talks between Aer Lingus and SIPTU broke down at the Labour Relations Commission during late October. Both sides were quick to apportion blame with SIPTU stating that “the company withdrew from the process because it claimed that it could not see any viable alternatives to its own outsourcing agenda.” Meanwhile Aer Lingus stated: “following four weeks of discussions, it is frankly disappointing that SIPTU has failed to engage in any meaningful way to produce alternative proposals to meet this imperative.”

SIPTU National Industrial Secretary Gerry McCormack strongly rejected claims by management that the Union had failed to engage in meaningful discussions at the Labour Relations Commission.

“We would also question how much they would save from outsourcing. Over the past decade our members have contributed massive cost savings. Productivity levels have increased 340 per cent, staff cost ratios to passengers have improved by 23 per cent and our members are up to 65 per cent more productive than some of the ground operations competitors to whom the company is considering outsourcing the work.” Gerry McCormak – 30 October 2008

Dermot Mannion stated in a webcast to staff on 7 November 2008 that the planned job cuts through out-sourcing, voluntary redundancy or early retirement were unstoppable. Mr Mannion stated that the financial position of the airline had deteriorated significantly over recent months and while fuel prices had improved, consumer demand had worsened significantly. Aer Lingus were facing operating losses for 2008 and had forecasted significant operating loses going forward.

An article in the Irish Independent, dated 13 February 2007, claimed that non-skilled Aer Lingus staff working at Dublin Airport are earning up to €110,000 a year according to a confidential internal company document. It also claimed that employees currently move up the pay scales too quickly to the point where there are now more supervisors than people to be supervised in certain areas of the operation. In some divisions of the company, an average Aer Lingus employee takes up to 20 days sick leave per year. If these figures are true, (SIPTU claim they are unconfirmed) it is not surprising that steps are being taken to outsource jobs.

“SIPTU wrote to Aer Lingus management on foot of this report seeking confirmation of the figure of €110,000” – SIPTU – 19 February 2007

In the last number of days, SIPTU have served Aer Lingus with strike notice which would result in the full withdrawal of labour from November 24th if the airline pressed ahead with the cost cutting plans. SIPTU members had voted by an “overwhelming majority” to take strike action if the company unilaterally attempts to introduce the planed job outsourcing.

The National Implementation Body (NIB) is set to hold talks this morning between management and unions at Aer Lingus in an effort to break the deadlock. Both sides accepted invitations to talks with the NIB which is the main troubleshooting body in Ireland. While the door is open to last minute negotiations, the damage that Aer Lingus is doing to both the tourism industry in Ireland and the trust among its customers cannot be quantified. Any strike by Aer Lingus will affect everything from companies offering car rental at Dublin Airport to hotels and everything else.

“We would be hopeful that common and commercial sense would prevail and the issues would be resolved prior to any strike taking place.” Gary Curtin – Atlas Car Hire Ireland

This author has a flight booked with Aer Lingus on December 17th to catch an onward long haul connection. Unfortunately my flight with Aer Lingus and subsequent onward connection are not part of the same ticket. Aer Lingus takes the position that they are only responsible for getting me to their destination which is reasonable, but they are unable to give me any other information at this time about what happens if the airline goes out on strike.

I have taken the insurance policy of booking a Ryaniar flight to Beavais where I’ll have to overnight in Paris and travel to Charles de Gaulle to catch my connection. To date Aer Lingus have told me:

“…at the moment our schedule is due to operate as normal and normal terms and conditions apply. If you wish to cancel a booking you will have to contact a member of our Web Helpdesk Team on 00353 (0)818 365 044. They are available from 08.00 – 20.00 daily. You will be entitled to claim back the taxes from the ticket only minus a refund fee of Eur20.00 from the taxes.” – Aer Lingus Help Desk – 11 November 2008

Obviously this is little or no help to me or the thousands of others who no face uncertainty over their holiday plans. I for one will not be booking with Aer Lingus again and I can only presume there will be plenty of other people out there thinking the same way.

Bookmark This:

Aer Lingus Plan to Save €74m

Controversy and Aer Lingus are never too far apart, particularly when it comes to cost saving practices and Unions. Aer Lingus have just announced plans to axe 1,500 jobs and plans to save €74 million annually. Details on the savings were not presented at the time of the announcement, but it is believed the company wants to shave €74million off current costs.

“[The cost reduction plan was]… a matter of urgency to deliver the substantial savings which are necessary to ensure the company’s long-term viability as an independent airline.” – Aer Lingus Board

Among the plans, Aer Lingus is set to outsource all ground staff at Dublin, Cork and Shannon Airports. Ground staffs include baggage handlers and catering staff and the move would see Aer Lingus virtually no longer directly employing ground staff in Ireland. Aer Lingus is also planning to outsource check-in staff, loaders and staff working in the cargo terminal. With regard to cabin crew, Aer Lingus proposes to close down its bases in Shannon Airport and London Heathrow Airport and in 2009 services to Boston, New York and San Francisco would be operated by cabin crew recruited in the US under revised terms and conditions. For staff remaining at Aer Lingus, a pay freeze would be introduced until the end of 2009 and new performance based contracts would be introduced.

“These proposed job losses… will effectively reduce Aer Lingus to a shell of its former self. Why should the people of the Midwest and indeed the whole western sea board have any confidence or loyalty in Aer Lingus when the company wants to shed its entire workforce who have for decades given loyal server to Aer Lingus” – Jan O’Sullivan – Limerick East Labour TD

Representatives from SIPTU, the biggest trade union within Aer Lingus met management on Wednesday (2nd October 2008) under the auspices of the Labour Relations Commission and told the company they will oppose outsourcing of any part of the application. Taoiseach Brian Cowen said recently he hoped the industrial relations process would provide a forum to enable management and staff representatives discuss the issues and come up with solutions.

“The company also reiterated its intention to implement significant cost reductions across all of its operations. Following the board meeting, meetings will be arranged early next week at which the company will outline the specifics regarding their cost cutting proposals.” – SIPTU

It is widely understood that Aer Lingus informed SIPTU and the craft unions that it was forecasting a substantial loss during 2009 and that the forecasted revenue streams for Aer Lingus had deteriorated badly in recent months. Stockbrokers believe that Aer Lingus could lose up to €40million this year and up to €90 million during 2009.

“The board has agreed the need for this fundamental change in the cost base to ensure that the company remains competitive and is appropriately positioned to take advantage of future growth opportunities.” – Aer Lingus

Gerry McCormack, National Industrial Secretary for SIPTU said the union will wait for further details on the cost cutting proposals, but the union will not accept mass layoffs by Aer Lingus.

It has now emerged that SIPTU sill analyse legislation introduced after the Irish Ferries controversy in their fight against layoffs at Aer Lingus. The legislation (Protection of Employment) came into force last year and allows an independent panel to consider whether redundancies as opposed to situations where existing workers are replace by lower paid staff. If this is found to be the case, the issue can be referred to the Labour Court. If the Labour Court finds that an exceptional collective redundancy situation exists but employees are dismissed in any event, it is open to the workers to claim unfair dismissal and possibly receive compensation of up to five years’ pay.

Under the legislation, a Union has to be in dispute with a company before it can seek to refer a case to the independent panel which would explain the decision by the union to ballot members immediately for all-out industrial action.

“The country is in recession and unemployment is rising. To export jobs during a recession is unacceptable, and we will fight any attempts to do that. That fight begins by talking with management.” – Christina Carney, Impact Union

Whatever the developments over the next two months, Aer Lingus is no stranger to strike actions and standing up to unions in recent times. Any proposed strike action will have devastating effects on the tourism economy in Ireland during this recession with hotels and car rentals at Dublin Airport service providers

Please subscribe to our RSS Feed

Related Stories
- Siptu may use new law to oppose job cuts at Aer Lingus
- Aer Lingus agrees cost-cuts ‘as matter of urgency’
- Aer Lingus to shed 1,300 in €100m savings plan
- SIPTU members to ballot on ‘Irish Ferries’ Mark II move by Aer Lingus management

Bookmark This:

Cork Airport – Vital Information

Cork Airport is Ireland’s second largest airport. It is located near the center of Cork City, just off Kinsale Road. Cork Airport began its operations in 1961. More recently, the airport opened its new terminal with state-of-the-art features. Cork Airport services more than 3 million passengers every year to various destinations all over the globe with Ryanair, Aer Arann and Aer Lingus being the principal carriers.

From Cork Airport you can travel to Cork City by several means, buses (Skylink and Bus Eireann), train and taxis which are available outside the main terminal and cost around €15 for the journey. Counters for different car hire companies are also available in the Arrivals area with operators such as Avis, Budget, Hertz, Thrifty and Atlas Car Hire Ireland.com. If you are planning to rent a car, you may find it cheaper and more convenient to book ahead of time rather than arranging it at the airport.

Both short-term and long-term parking facilities are available near the airport, with more than 4,600 parking spaces that can be used. For those with disabilities, an easy access parking area located on the first floor is available. If you should require any help, contact the assistance providers of the airport.

Right across the terminal of the airport, connected by a covered walkway, is the Cork International Airport Hotel. The hotel has more than 150 rooms, with a spa, a hair salon and a lounge facility that is perfect for the weary traveler. Another hotel that lies within the complex is the Radisson SAS Hotel. The hotel’s Riverstix Restaurant and Bar serves simply delightful dishes.

The information counter of the Cork Airport is located in the Arrivals Hall, beside Londis . Meanwhile, the check-in area can be found in the Departures area of the new building.

Before reaching the terminal, several security checks will have to be passed through. Remove sharp objects, such as scissors, knives, razors, and even knitting needles, from your hand luggage; otherwise, these items will be confiscated. The European Union also limited the amount of liquid that can be brought into the airport; anything beyond 100 ml will be confiscated. Laptops should also be opened and the keyboard revealed before it can be brought inside the building. Only one piece of hand luggage is permitted per person.

Because of the opening of the new terminal in Cork Airport, there was also an increase in the number of shops and restaurants available in the airport. Popular dining places in the airport include Subway, Sports Bar and Starbucks. There is also a food court, Cork’s Food Market. Meanwhile, shops include Hughes and Hughes Bookshop and Londis. The Travel Value Store carries both local and high-end international brands.

Near the Departures area is the Jack Lynch Departure Lounge. For a cost of €25, you can relax at the lounge for 3 hours while waiting for your flight. The lounge also has a meeting room for four people.

Inside the Cork Airport and beside the bookstore is a Bank of Ireland, which is open during the weekdays. Bureau de Change is located beside it. There are also two ATMs there, one of which dispenses currency in both Sterling and Euro. A Tax Refunds Office, which is open during weekdays, can also be found on the first level, beside Subway.

There are three custom channels at the Cork Airport. The Blue Channel is for those coming from an EU country. The Green Channel is for those on flights coming from non-EU countries without any prohibited goods. Meanwhile, the Red Channel is for those on flights coming from non-EU countries carrying more than what they are allowed or carrying restricted goods.

For more information regarding Cork Airport, visit http://www.corkairport.com/.

Related Stories
- Cork airport – Ireland’s best?
- Travelling to and within Ireland
- Cork Airport Debt Issue
- New Terminal at Cork Airport

Bookmark This: