Workers at Shannon airport yesterday voted against a restructuring and redundancy package aimed at cost savings of some €10 million a year.

The proposals were rejected by 80 per cent of Siptu members across all sections at the airport, and were also heavily rejected by members of the unions Impact and TEEU. The company was seeking more than 200 voluntary redundancies and increased flexibility in work practices. The proposals also included plans to outsource catering and other functions at the airport.

A redundancy package offered terms of up to 10 weeks' pay per year of service, extra incentives for over-60s, and a €10,000 payment to staff staying with the company. The plan was devised over two days of discussions at the Labour Relations Commission last month.

"The result bears out the union's analysis that the management's proposals did not meet the employees' concerns for job security and the future of Shannon," said Siptu national industrial secretary Michael Halpenny. "We will be reflecting further on the implications of the ballot result and trust that all parties concerned will do likewise," he added.

Fine Gael transport spokeswoman Olivia Mitchell said the Government must now intervene to bring representatives of management and workers back to the table. "This issue cannot be allowed to fester any longer," Ms Mitchell said.