| 12°C Dublin

Union will not back Aer Lingus profit deal

Close

Siptu is to recommend that Aer Lingus staff vote to reject a deal on a profit-share scheme which the trade union hammered out with management after months of tortuous negotiations. Stock photo

Siptu is to recommend that Aer Lingus staff vote to reject a deal on a profit-share scheme which the trade union hammered out with management after months of tortuous negotiations. Stock photo

Siptu is to recommend that Aer Lingus staff vote to reject a deal on a profit-share scheme which the trade union hammered out with management after months of tortuous negotiations. Stock photo

Siptu is to recommend that Aer Lingus staff vote to reject a deal on a profit-share scheme which the trade union hammered out with management after months of tortuous negotiations.

An internal trade union memo, seen by the Sunday Independent, said that "following much discussion", it had been decided to recommend that Siptu members reject a Labour Court proposal in a ballot to be held over 10 days next month.

The memo also raised concerns about moves by the airline to close down a disputes resolution mechanism.

The mechanism was established between unions and management in 2016 to reduce conflict and the potential for industrial action.

The union memo also flagged concerns about moves by the airline to deal with security issues that were raised by now departed chief operating officer Mike Rutter. Rutter had proposed installing CCTV and introducing private security to staff areas.

"Aer Lingus have also indicated that they see the IDRB [Internal Dispute Resolution Board] as closed, and they will not reopen it," said the memo.

"This is a unilateral move, and not one supported by the union. We are also concerned that the recommendation to engage on security issues would see Aer Lingus propose policies in this area which are excessive to staff," the union memo added.

The Labour Court recommended in January that instead of the lucrative profit-share scheme sought by the airline's staff in 2017, Aer Lingus should give a 1pc pay rise and pay each staff member €300 in vouchers on a one-off basis.

The trade union memo said that a 1pc increase "does not come close enough to satisfying the claim for a profit share" and would mean just a €400 payment to someone earning €40,000 a year.

"Siptu have also recently agreed a profit-share scheme with another major employer in Dublin Airport, which is far in excess of the proposal on offer to Aer Lingus members," it said.

Because of changes to existing voucher schemes, the union suggested in some cases, when personal tax was considered, the deal on the table would result in "no net gain at all to an individual".

Sunday Indo Business