Flying high, and free, on a director's chair

A seat on the board of Aer Lingus is described as "the one everyone wants" in the public sector, partly, it seems, because of…

A seat on the board of Aer Lingus is described as "the one everyone wants" in the public sector, partly, it seems, because of the attractive remuneration.

Along with an annual fee of €12,700 (£10,000), directors receive free travel on Aer Lingus flights for personal use, and discounted travel on other airlines.

The free-flights concession used to be lifelong. However, with the arrival of more stringent economic times, after leaving the board directors now receive complimentary travel only for a period similar to that served.

In Aer Rianta, an identical fee is paid to board members and the chairman, who nets a higher €19,050. Directors are entitled to "limited" complimentary travel on Aer Lingus services and can also claim "legitimate" expenses in line with Civil Service rates.

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An Aer Lingus spokesman said the company was reviewing such benefits as part of its cost-cutting plan. Last month all directors in the airline agreed to waive their fees until 2003 to aid its survival.

Other State agencies were eager to play down the rewards for directors. A spokesman for Bord Failte said its board members "don't get any free trips. They'd be lucky to get a lunch after each meeting." Some €61,000 was paid out in directors' fees and expenses last year by the tourism agency to eight board members and a chairman.

The ESB paid out €95,000 to 11 non-executive directors in 2000. Individual fees were doubled last year to €12,700 each. In return for their fees, directors attend on average 10 to 12 board meetings a year.

A director on the board of one major State body noted that the fees "were much less than you'd get if you were on the board of a PLC or a private company." However, he added, "it would be misleading to say the jobs weren't eagerly sought after."

Joe Humphreys

Joe Humphreys

Joe Humphreys is an Assistant News Editor at The Irish Times and writer of the Unthinkable philosophy column