Trade union Impact has lodged a pay claim on behalf of Ryanair pilots less than a week after the airline made its €1.4 billion offer for Aer Lingus.
The trade union, which represents cabin crew and pilots, has submitted its claim to the Labour Relations Commission (LRC). The union wants the pay of Ryanair pilots to come into line with rates enjoyed at Aer Lingus. Ryanair has so far rejected the claim.
Impact described the LRC as one of the premier industrial relations bodies in the State and said that it was the right forum to submit such a claim.
Impact said it expected Ryanair to reject an LRC intervention and the claim would then be referred to the Labour Court, which is considering other Impact claims against Ryanair.
Impact lodged the pilots' pay claim with Ryanair management last month at which time the company rejected it. A union statement said: "Impact now believes that Ryanair's bid to take over Aer Lingus substantially strengthens the union's claim for a closer alignment of pilots' remuneration and working conditions in the two airlines.
Last week, Ryanair chief executive Michael O'Leary told journalists that Aer Lingus would continue to recognise union arrangements if a takeover occurs.
In October 2005, the High Court rejected Ryanair's claim that the Labour Court did not have jurisdiction under the 2004 Act, which allows the Labour Court to set pay and conditions in companies that don't engage in collective bargaining. The company has appealed to the Supreme Court, and a ruling is expected shortly.
Ryanair recently lost a separate High Court case against Impact members, whom it had accused of "bullying" other staff.
The court ruled that there was no evidence of bullying and awarded costs against the company. Dismissing Ryanair's application, the judge said evidence given by a senior Ryanair manager was "baseless and false".
Ryanair could incur even higher costs if it loses its current Supreme Court appeal, Impact claimed yesterday.
Ryanair for its part said the jurisdiction of the Labour Relations Commission under the 2004 Industrial Relations Act is currently the subject of Supreme Court proceedings. "This is just the first of (what we are sure will be) many feeble attempts by Impact to distract from Ryanair's generous offer for Aer Lingus, which if it proceeds will lead to lower costs and lower fares for Aer Lingus customers.
"In any event, most Ryanair pilots would have to take a pay cut to align themselves with their equivalent opposite numbers in Aer Lingus," the airline added.
The pay claim comes at a time when pilots are emerging as a key group in the battle for Aer Lingus.
A group of pilots has teamed up to buy shares in recent weeks in the airline. This group Tailwind Nominees may decide to buy more shares as part of an attempt to block the Ryanair takeover.
However, securing funds to buy these shares could prove difficult, as the earlier purchases are believed to have been highly leveraged.