Aer Lingus says 1,600 staff interested in redundancy

Aer Lingus has said some 1,600 employees have expressed interest in the company's voluntary redundancy plan, the first step in…

Aer Lingus has said some 1,600 employees have expressed interest in the company's voluntary redundancy plan, the first step in a major restructuring of the State airline.

The deadline for the receipt of applications is 5 p.m. today. The Siptu union has insisted, however, that these applications are merely 'expressions of interest' in the severance package and that they do not tie workers to accepting redundancy.

In a statement, Aer Lingus said some 1,560 applications had been received from all categories of staff by 3 p.m. today.  If all of these staff opt to take the package, the redundancy plan will be over subscribed by nearly 25 per cent.

As at today, 175 staff members have already left the company and 54 more are awaiting confirmation of their exit dates, Aer Lingus said.

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"Of the total applications received, Aer Lingus expects that the vast majority of applicants will opt to accept the voluntary redundancy package."

Mr Willie Walsh, chief executive of Aer Lingus said: "Overall, we are very pleased with the general response and number of applications received from staff across the airline. This is an important day for Aer Lingus and for all our staff, both those who have opted to leave and those who have made their decision to stay.

"It is important to acknowledge the role that all of our staff have played and continue to play in Aer Lingus in transforming the airline from a highly vulnerable business to one that is more robust in the face of strong and sustained competition."

Mr Walsh said that in order to ensure the success of Aer Lingus in the future, it is essential for to deliver on the business plan.

"Today's take-up is a key milestone in the delivery of the plan. This will greatly assist the achievement of our aim of being a leading low fares carrier in Europe and a pioneering, profitable long haul low fares airline providing consumers with even better value and greater choice."

"In the coming weeks we will continue to engage with our staff and their representatives on the management of the transition phase post-departures."

Aer Lingus has put in place information workshops, career guidance, CV preparation, interview skills, taxation information and pension advice programmes to assist those taking the redundancy package.

The chief executive said those staff who have opted to remain with the company will play a "significant role in achieving this vision".

The company is seeking 1,300 redundancies - around a third of its workforce - in a major restructuring. The package offers nine weeks' pay per year of service, but the minimum package is expected to be around €40,000.

Mr Michael Halpenny, Siptu's national industrial secretary, said the company's deadline on voluntary severance/early retirement is nothing more than the last opportunity for them to "express a possible interest" in the package.

"There will be no compulsory redundancies or redeployments", he said. "And there are no agreements on exit dates, as we are still within 'due process and procedures' dealing with all aspects of the three-year plan affecting members.

"Members do not have to engage in the application process, nor should they feel pressurised into attending 'one-to-one' meetings with management to agree exit packages while we are processing issues through procedures. There is a serious range of issues which still have to be dealt with," he said.

Mr Halpenny said a 'stock check' would be conducted on the progress, or otherwise, in each area during talks with industrial relations facilitator Mr Kevin Foley today.

"We will then identify the next steps to be undertaken. A lot of work remains to be done despite our six weeks of intensive talks."

Mr Halpenny said an information bulletin from the Three Airport Strategy Committee (TASC) will be issued to members on Monday to update them on the 'stock check', including issues that require further discussions at local level, or through the Labour Relations Commission and, or the Labour Court.

An Aer Lingus Central Review Committee delegation has met the new Minister for Transport, Mr Cullen, to relay what Mr Halpenny said were the concerns of the workforce about the company's business plan and the conduct of industrial relations generally in the company.

"The Aer Lingus unions have also accepted an invitation from the Joint Oireachtas Committee on Transport to attend a hearing on Wednesday 20th October. This follows the Committee's recent session with Aer Lingus chief executive, Mr Willie Walsh," a statement said.