Shannon restructuring gets under way

Restructuring is to get under way at Shannon Airport after a deal was reached last night between unions and management.

Restructuring is to get under way at Shannon Airport after a deal was reached last night between unions and management.

The Shannon Airport Authority (SAA) is to immediately implement a survival plan for the airport, which will see cost savings of €10 million annually and include up to 200 voluntary redundancies.

The SAA will also cease operating catering facilities in Shannon. HMS Host has won the contract to provide catering in the terminal building while EFG Inflight will provide the service onboard.

The resturcturing moves follow a deal struck between unions and management at the Labour Relations Commission (LRC).

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The 350 workers who will remain at the airpot are to receive €16,000 each in two stages. The first €10,000 will be paid on June 20th and the further payment will be made early next year. Those opting to take redundancy with 24 years experience or more will receive more than €100,000.

An SAA spokeswoman confirmed that the restructuring programme will "proceed to implementation immediately". She said 185 people had already signed up for redundancy and management was already agreeing leaving dates with some workers.

"The decision to proceed was taken following a meeting yesterday with unions held under the auspices of the LRC where clarification was being sought by both parties regarding the interpretation of a number of sections of the original LRC agreement," she added.

Patrick  Logue

Patrick Logue

Patrick Logue is Digital Editor of The Irish Times