More than 900 Aer Lingus staff are believed to have applied for voluntary redundancy at the airline in advance of today's deadline for applications.
The company is seeking 1,325 redundancies and staff must submit a formal application by the close of business today or they will not be eligible. It is understood up 150 staff have already left the company as part of the restructuring programme.
Traditionally, there is a late rush on the last day of redundancy programmes and sources speculated yesterday that the total would be 1,200-1,300.
Submitting an application does not oblige a staff member to accept the airline's offer. Once an application is made, a one-on-one meeting is arranged with human resources and a decision must be made within about a week.
Staff are being offered nine weeks of pay for every year of service subject to certain ceilings. The redundancy programme is expected to cost the airline €80-€90 million.
The recent Labour Court decision to recommend two substantial changes to the redundancy offer is also expected to boost the numbers coming forward.
The Labour Court said the maximum payable under the severance programme should be increased to 145 weeks pay. The company originally proposed a 130-week cap.
The court also said the maximum lump sum payable to those opting for early retirement should be raised to 78 weeks for everyone. The airline has accepted the changes.
The airline said the deadline for applications was today and there would be no extensions.
It is not clear whether the numbers coming forward are spread relatively evenly throughout the company. Certain staff in the airline are believed to have strongly resisted the job cuts, most notably the catering unit.
The Government has steered clear of the issues, with most Ministers simply declaring that redundancies should be voluntary in nature. The airline's management believes staff numbers must to be reduced so Aer Lingus can come into line with other airlines, such as easyJet and Ryanair.
Aer Lingus chief executive Mr Willie Walsh has told union representatives in various briefings that, while the airline is on target for an operating profit in excess of €90 million for 2004, there is likely to be pressure on the company's turnover in the period ahead. This is mainly because yields across the aviation sector are expected to drop sharply.
Meanwhile, the Government continues to study the Goldman Sachs report on the airline's future. A Cabinet sub-committee is expected to meet shortly to discuss the report.
Mr John Sharman has been asked to remain as chairman of the airline until the new year.
