Union to meet Aer Lingus over privatisation

Representatives of the Impact trade union are to meet Aer Lingus management today over Government plans to privatise the airline…

Representatives of the Impact trade union are to meet Aer Lingus management today over Government plans to privatise the airline.

The union will be seeking guarantees from management about job security, pay and pensions.

If the Government insists on selling Aer Lingus it must at least ensure that the company doesn't fall into the hands of speculators with no interest in aviation or the country's economic future
Impact deputy general secretary Shay Cody

Following a meeting of Impact members at Dublin airport last night, the union called on the Government to retain a 25 per cent "golden share" in Aer Lingus.

"If the Government insists on selling Aer Lingus it must at least ensure that the company doesn't fall into the hands of speculators with no interest in aviation or the country's economic future," Impact deputy general secretary Shay Cody said last night.

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"The only way to do this is to maintain a state holding of at least 25 per cent in the company for the long term," he said.

Mr Cody said the union favoured having the airline remain in State ownership. "But if there is a flotation, it must result in substantial new investment and the Government must keep a meaningful interest in this strategic national asset," he said.

Impact represents about 1,800 staff at the airline - about 1,200 cabin crew, 450 pilots and the remainder middle managers.

Siptu, the other main union representing Aer Lingus staff, has ruled out any support for privatisation and is conducting a ballot for industrial action.

Aer Lingus staff currently hold a 14.9 per cent share in the airline, which they would hope to maintain following any privatisation process.

The Government is most likely going to privatise the airline by issuing new shares - a move that would dilute existing shareholders like the staff group.

Impact is anxious that some mechanism is found to maintain the staff shareholding.