A union official today dismissed as "premature" newspaper reports that Aer Lingus workers face compulsory redundancy and less than satisfactory pay-offs under a company survival plan.
Although the 2,026 workers whose jobs are under threat are expected to get significantly more than statutory redundancy pay the Irish Times reports they may get far less than under the Cahill plan.
So far no investors had come forward to take the offer of a minority stake in the beleaguered airline.
Transatlantic bookings have slumped 80 per cent since the September 11th terrorist attacks in the US and the company is losing over £2 million every day.
Today’s Irish Times says that a pay-off package for the workers amounts to between just £35 million and £40 million, with the bulk absorbed by pension reimbursements, unions tried to reassure workers this morning.
However Mr Michael Landers, assistant general secretary of Impact, the union which represents more than 2,500 Aer Lingus staff, told RTE radio: "I think it is very premature. We are not at that situation yet.
"There is still a long road to be travelled before we are looking at compulsory redundancies.
"We are now negotiating with the company to put alternatives to redundancy in place."
Mr Landers said unpaid voluntary leave arrangements had proved popular among cabin crew and pilots.
Around 170 people had shown an interest in the scheme which would enable staff to return to work when they wanted.
"This is a win for management and a win for ourselves. It allows the management to reduce their payroll and we reduce redundancies."
If compulsory redundancies were eventually made, Mr Landers said the company would have to adhere to "strict law" and ensure that there was a "last in, first out" arrangement.
He also said the Competition Commission had agreed that the airline market had been distorted by the US government's aid package to its national airlines.
He repeated calls for a of European Union restrictions on government aid for airlines.
Aer Lingus union dismisses forced redundancy claims A union official today dismissed as "premature" newspaper reports that Aer Lingus workers face compulsory redundancy and less than satisfactory pay-offs under a company survival plan.
Although the 2,026 workers whose jobs are under threat are expected to get significantly more than statutory redundancy pay the Irish Times reports they may get far less than under the Cahill plan.
So far no investors had come forward to take the offer of a minority stake in the beleaguered airline.
Transatlantic bookings have slumped 80 per cent since the September 11th terrorist attacks in the US and the company is losing over £2 million every day.
Today’s Irish Times says that a pay-off package for the workers amounts to between just £35 million and £40 million, with the bulk absorbed by pension reimbursements, unions tried to reassure workers this morning.
However Mr Michael Landers, assistant general secretary of Impact, the union which represents more than 2,500 Aer Lingus staff, told RTE radio: "I think it is very premature. We are not at that situation yet.
"There is still a long road to be travelled before we are looking at compulsory redundancies.
"We are now negotiating with the company to put alternatives to redundancy in place."
Mr Landers said unpaid voluntary leave arrangements had proved popular among cabin crew and pilots.
Around 170 people had shown an interest in the scheme which would enable staff to return to work when they wanted.
"This is a win for management and a win for ourselves. It allows the management to reduce their payroll and we reduce redundancies."
If compulsory redundancies were eventually made, Mr Landers said the company would have to adhere to "strict law" and ensure that there was a "last in, first out" arrangement.
He also said the Competition Commission had agreed that the airline market had been distorted by the US government's aid package to its national airlines.
He repeated calls for a of European Union restrictions on government aid for airlines.
PA