Irish Ferries is to proceed with plans to temporarily lay off 600 staff without pay and cease operating three of its four passenger vessels.
A deadline for unions to negotiate a cost-cutting agreement passed yesterday without talks having taken place. The company is to meet the two unions involved, SIPTU and the Seamen's Union of Ireland (SUI), on Monday, to discuss the lay-offs.
Only the MV Ulysses service between Dublin and Holyhead is to be maintained by the company as long as the issue remains unresolved. Its other three vessels, the HSC Jonathan Swift, MV Isle of Inishmore and MV Normandy are all set to be taken out of service within a week.
A company spokesman said passengers who were booked to travel on those ships would be re-accommodated on other services, including those operated by competitors, or would be refunded the cost of their tickets.
The company is seeking to enter negotiations with the unions on savings it says are required to bring its costs into line with those of its competitors.
Talks have not taken place, however, because of a refusal by the SUI to accept a Labour Court recommendation that it negotiate jointly with SIPTU.
Mr Robert Carrick, SUI general secretary, said it had negotiated independently of SIPTU for the past 14 years. It was prepared to conduct "parallel negotiations", with SUI and SIPTU representatives in different rooms, but it would not take part in joint discussions. The SUI's stance was described as "crazy" by Mr Paul Smyth of SIPTU, who said negotiations on a major restructuring could only be carried out on a joint basis. Negotiating separately would be "ludicrous" and would allow management "to play one union off against the other".