Unions question need for scale of job losses

Aer Lingus's plight is the result of "war crisis" and not trading difficulties, SIPTU's president, Mr Des Geraghty, said yesterday…

Aer Lingus's plight is the result of "war crisis" and not trading difficulties, SIPTU's president, Mr Des Geraghty, said yesterday.

He was laying down a marker for Government that unions did not regard current events as just a re-run of the Cahill Plan, or that the company could expect unions to accept its target of 2,500 redundancies by the end of November.

IMPACT, which represents pilots, middle management and most cabin crew, accused the company of "jumping the gun by announcing 2,500 more job cuts before it had completed its restructuring proposals and discussed them with staff representatives".

Its assistant general secretary, Mr Michael Landers, added: "It beggars belief to announce swingeing job cuts before the question of emergency Government assistance had been resolved in Ireland or by the European Commission."

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IMPACT would resist compulsory job losses and called for consultation on restructuring plans. The union's call for measures to maintain strategic routes and minimise job losses "appeared to have been ignored.

"The company had not put forward any details of its operational plans - or which jobs it planned to shed."

Tomorrow, SIPTU national industrial secretary Mr Noel Dowling will represent the union at a social dialogue committee meeting in Brussels.

The meeting has been called under the EU Treaty as part of the consultation process between the Commission, the unions and employers.

The Transport Commissioner, Ms Loyola de Palacio, has said she is not concerned at the employment fall-out from the crisis in the industry, but other elements in the Commission may join forces with employers and unions in seeking a rethink of her "free skies" strategy.

Last night, the assistant general secretary of the European Transport Workers Federation, Ms Brenda O'Brien, described Ms de Palacio's attitude as "shocking".

It also ignored "the huge distortion of the market by US state aid to American carriers."

Mr Dowling said the European Commission package was "virtually of no use to most of the European airlines flying the Atlantic. However, it will not impact as heavily on the larger airlines.

"Given what has emerged today, my strong suspicion is that the European Commission has decided that there is over-capacity in the European airline industry and that this current crisis will lead to a rationalisation, with British Airways, Lufthansa and Air France emerging as the only survivors.

"The question now is whether this scenario is acceptable to the Government, given the strategic importance of Aer Lingus to our island economy?

"Given the acknowledgement by Government of this strategic importance, SIPTU expects the Government to act and to do everything that is necessary to ensure the future of Aer Lingus, while minimising job losses."

Referring to the meetings held between management and unions during the day, Mr Dowling said "a process is now under way whereby the unions' financial advisers, Mr Paul Sweeney and Farrell Grant Sparks, will get access to relevant Aer Lingus financial information".

SIPTU's Shannon Aviation branch secretary, Mr Tony Kenny, said the airport had to be saved.

"The economic importance of Shannon Airport and its key transatlantic routes to the west, mid-west and south-west of Ireland is well known," he said.

"Any attempt at such a diminution of the status of Shannon Airport would be catastrophic, not alone for the airport and employment therein, but also for industrial and tourism development. The status of Shannon is an Irish political issue.

"We will not countenance a situation whereby politicians hide behind European dictat. Politicians are answerable to us, the electorate."