The new daily air service between Knock and Dublin, due to begin tomorrow, has been suspended because of industrial action by airport staff.
The State-subsidised licence for the service was awarded in December. The Minister for Public Enterprise, Ms O'Rourke, was in Knock last Friday to launch the service.
According to the airport chairman, Mr Cathal Duffy, workers at the airport are refusing to operate the new schedule without a 33 per cent pay increase. "That would work out as an additional £80 per worker per week and we cannot afford that," he said.
As a result of the dispute protective notice had been issued to 15 staff hired in December.
However, Mr Sean Nolan of SIPTU, the union representing the workers involved, said the union's claim was legitimate because of the shift hours involved and the fact that staff were getting only about £5.60 an hour at present.
About 30 airport staff, including ticket clerks, security personnel and fire crews, were involved in the pay claim. To cater for the operation of the new service, the airport board has trained about 15 new staff.
Mr Nolan said the union found it "incredible" that airport management only held one meeting, lasting a few hours, on such an important issue as the new service.
He pointed out that some of his members would have been working from 5.45 a.m., which meant they would be leaving their homes at 5 a.m. or earlier. "This would have been a hugely unsocial situation," Mr Nolan said.
He said it was beyond belief that a management team's first offer on such an important issue should be their final one.
The meeting between SIPTU and airport management took place on January 9th. Balloting on the 10 per cent offer took place on Monday.
Mr Nolan said he found it absurd that management should call in the Labour Relations Commission (LRC) after only one offer had been made.
"As far as we are concerned, that is an abuse of the LRC," he said.
Aer Arann is offering refunds to passengers who have booked seats on the service.