A decision on future funding for Aer Lingus has been deferred by the Cabinet until the new year in a move described by Fine Gael as another "broken promise".
The Minister for Transport, Mr Cullen, is to begin talks on the company's future this week with unions and management but a decision on how outside investment can be introduced into the company was due today.
However after the Cabinet's weekly meeting a statement was issued saying Mr Cullen would report back at the end of January.
Fine Gael spokesperson on transport, Ms Olivia Mitchell said the failure to make a decision condemned the airline and its staff to further uncertainty.
"Uncertainty in the airline business can be terminal. It is impossible to run a business in such a volatile industry without a clear strategic plan, a confirmed budget and a motivated management team," Ms Mitchell said.
She said the situation was particularly pressing because the chairman, Mr John Sharman, is stepping down in January and three senior members of the management team including chief executive, Mr Willie Walsh, are leaving in May.
"This serious absence of leadership can do nothing but harm to the company and further diminish its potential to attract investors.
"However difficult the decision, the Government must give some direction and stability to this airline before it goes into freefall," Ms Mitchell said.
Aer Lingus needs an estimated €1 billion to invest in new planes by 2008 and a Government policy to facilitate outside investment is required to raise the finance.