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19/11/2009
Aer Lingus Reveals Possible Redundancies
Aer Lingus may have to enforce compulsory redundancies if their level of savings cannot be agreed at the Labour Court, it has been revealed.
The Board of Directors at Aer Lingus met today to review its delivery of €97million of cost savings required as part of its Transformation Plan.
In a statement this morning, the Board and Management said that if the savings plan could not be met then it would be forced to make further reductions in capacity leading to "additional redundancies beyond those included in the Plan".
A spokesman for the airline said: "While the preference will be for such redundancies to be on a voluntary basis, compulsory redundancies cannot be ruled out."
A spokesperson for Aer Lingus said it was clear the operating environment for Aer Lingus and airlines remained extremely challenging adding that the Board has re-affirmed that if Aer Lingus is to maintain its present scale of operations, it is essential that it urgently achieve the full €97million in savings.
The talks are due to conclude on 30 November when the Board and Management will meet to review the results.
The Company said it had accepted an invitation from the National Implementation Body to conclude negotiations with employee representatives in the Labour Relations Commission ('LRC').
The Board said it will closely monitor progress at the LRC talks over the coming week and that a further announcement may be made "as appropriate".
(DW/GK)
The Board of Directors at Aer Lingus met today to review its delivery of €97million of cost savings required as part of its Transformation Plan.
In a statement this morning, the Board and Management said that if the savings plan could not be met then it would be forced to make further reductions in capacity leading to "additional redundancies beyond those included in the Plan".
A spokesman for the airline said: "While the preference will be for such redundancies to be on a voluntary basis, compulsory redundancies cannot be ruled out."
A spokesperson for Aer Lingus said it was clear the operating environment for Aer Lingus and airlines remained extremely challenging adding that the Board has re-affirmed that if Aer Lingus is to maintain its present scale of operations, it is essential that it urgently achieve the full €97million in savings.
The talks are due to conclude on 30 November when the Board and Management will meet to review the results.
The Company said it had accepted an invitation from the National Implementation Body to conclude negotiations with employee representatives in the Labour Relations Commission ('LRC').
The Board said it will closely monitor progress at the LRC talks over the coming week and that a further announcement may be made "as appropriate".
(DW/GK)
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