Madam, - May I take the opportunity to rebut the claim by Padraic Murray (May 10th) that "the unions" were "only too happy to take the windfall from [the] privatisation" of Aer Lingus and that the unions also said EU legislation would not allow State funding for the national airline.
Siptu has consistently opposed the privatisation of Aer Lingus and, in a pamphlet produced as far back as July 2005, we pointed out that it would attract predatory takeovers from larger airlines.
It was also Siptu which exposed the myth, propagated by the Government and others, that EU rules prohibited the State from investing in the national carrier.
In fact it was Siptu which obtained written confirmation from the European Commission that the Irish Government could invest in Aer Lingus on the "market investor" principle. We circulated this confirmation to the Government and to all TDs. Unfortunately, the Government ignored it.
When it finally acknowledged the truth, the Government hinted darkly that such a step would likely be subject to a challenge in Brussels from a competitor, designed to drag things out. What an irony and what cowardice! Almost as ironic as the Government's failure of judgment, which, far from underpinning employment and competitiveness, could now eliminate competition and undermine employment.
All of this could have been avoided if the Government had been prepared to invest the €400 million Aer Lingus required to kick-start its capital programme.
We must now deal with the threat to our aviation industry that has emerged as a result of the Government's incompetence. This blunder means that Ireland's links with the outside world could very soon end up in the gift of Ryanair, unless something is done about it.
Mr Murray seems happy to let the market decide our fate. Thankfully, many ordinary members of the public think otherwise - and for sound reasons.
Nevertheless, I will send him a copy of our publication A New Flight Path for Aer Lingus: The Alternative to Selling Our National Airline, and also a copy of our circular covering the real EU position in the hope that future contributions to the debate may at least be on an informed basis. - Yours etc,
MICHAEL HALPENNY, National Industrial Secretary, Siptu, Liberty Hall, Dublin 1.
Madam, - The howls of outrage about Ryanair's bid for Aer Lingus are downright comical. What did people think would happen when Aer Lingus was floated? That the market would gladly cough up €2.20 a share and then go quietly home basking in the warm glow of its philanthropy?
For the benefit of those who don't seem to understand the ramifications of a flotation, a publicly quoted company is subject to market forces and these market forces include the possibility of one company having the audacity to make a bid for another. Quelle horreur, but there you are. On the other hand, there is nothing to prevent Aer Lingus from putting in a counter-bid for Ryanair.
On another note, perhaps it is time to reassess the policy of privatising strategic national assets apparently for its own sake. Did the EU force Ireland to make this move?
Was it the only way Aer Lingus could fund its expansion plans? Was it to drag a bloody-minded workforce kicking and screaming into the 21st century? Was it to get rid of a crippling liability? Did the State need the cash?
The answers are all "No". So what then, was the driving rationale? To divert attention from electronic voting machines? - Yours, etc,
ARTHUR BOLAND, The Friary, Cecilia Street, Dublin 2.