Pressure on State to save airline

The Government is coming under pressure from Fianna Fβil back bench TDs to bail out Aer Lingus.

The Government is coming under pressure from Fianna Fβil back bench TDs to bail out Aer Lingus.

The Taoiseach Mr Ahern said yesterday staff at the national airline would have to be "realistic" about the crisis facing the company. However, Fianna Fβil TDs in north Dublin said they believed the Government should step in to assist Aer Lingus, given the economic situation it faced following the attacks in the US last week.

The matter was raised at a meeting of the parliamentary party in Ennis, Co Clare, which is being attended by Mr Ahern and Government Ministers. .

Mr Ivor Callely, Dublin North Central TD, said something would have to be done to ensure Aer Lingus came through the crisis. "If we need X amount to keep Aer Lingus afloat, we have to make sure X amount will be there," he told The Irish Times yesterday.

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Mr Ahern said the initial assessment on the Aer Lingus situation was "not good". The board of the company had yet to come to a firm decision on what cutbacks were necessary, he said.

The Taoiseach admitted it was likely that more than 600 temporary staff would be laid off. "It will have to be more but there is no point in putting a figure on it until management has completed its assessment." He had "no doubt" the issue of State aid for airlines would be discussed at EU level, since it raised similar issues for our European partners, but felt it was unlikely it would be discussed at tomorrow's special EU summit in Brussels.

The airline industry around the world, he said, was anticipating a dramatic reduction in traffic. "It is becoming clear that the finances of airlines worldwide are now in a perilous state." Mr Ahern said the options to secure the company's future were being examined but this would not be an easy task and would require "realistic responses" from all staff in all regions.

Another Fianna Fβil TD Mr G.V Wright said north Dublin TDs and senators were seeking a meeting on the future of Aer Lingus. "In the US, major funding has been announced for airlines. I am certainly hoping that before we leave Ennis we will have some commitment for funding of our national airline," said Mr Wright.

Dublin North West TD Mr Pat Carey said he would also be raising the issue. His constituency colleague Mr Noel Ahern said the Government could not be seen to be "bailing out" the company, which was "already in a mess".