DAA to put most of its 3,500 workers on a four-day week

The State company responsible for Cork and Dublin airports will cut staff pay by 20%

DAA, the State company responsible for Cork and Dublin airports, will put most of its 3,500 workers on a four-day week for almost two months from April 26th, cutting their pay by 20 per cent.

Airports remain open for cargo and other essential flights, but air travel has collapsed following global restrictions aimed at halting the spread of Covid-19.

Dalton Philips, DAA chief executive, told staff in a note on Thursday that the company would move to a four-day week from April 26th until June 20th. "Due to the reduced hours, the amount you will be paid will be reduced to 80 per cent of its current level," his update says.

The cut applies to most of the 3,500 people that the DAA employs in the Republic. Mr Philips said a small number of “highly-skilled designated essential frontline staff” at Dublin Airport would work full-time through the crisis, and continue to receive their normal pay.

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“I know that this is a huge level of pain for everybody to take, and it is not a decision that we have taken lightly,” Mr Philips adds.

He notes that the company looked at various options, but had to make significant further cost cuts. His letter states that it costs the DAA around €10 million a week to run its business, but has almost no revenue coming in.

Wage subsidy scheme

The company has applied for the Government’s Covid-19 temporary wage subsidy scheme, which runs until June20th and will cover 25 per cent of the DAA’s wage bill.

The update says that the company is hugely grateful for the scheme, but points out that it is complicated and not nearly as wide-ranging as it initially appeared.

“At this point it is impossible to predict what the world will look like by June 20th, so I’m afraid we can’t provide certainty beyond that date,” Mr Philips tells workers.

He adds that even if the pandemic eases the economic crisis could be another blow to the country, and points out that the situation is still evolving.

A DAA spokesman declined to comment.

Barry O'Halloran

Barry O'Halloran

Barry O’Halloran covers energy, construction, insolvency, and gaming and betting, among other areas