Oireachtas Joint and Select Committees

Thursday, 12 February 2015

Joint Oireachtas Committee on Transport and Communications

Proposed Sale of Aer Lingus: (Resumed) IAG

2:00 pm

Photo of Seán KennySeán Kenny (Dublin North East, Labour) | Oireachtas source

I will not repeat the questions asked by the Chairman and Deputy Dooley except to reiterate the importance of the Heathrow slots and the importance of connectivity to tourism and industry. I represent the constituency of Dublin North East, where many Aer Lingus employees and retirees and their families live. Many of them have expressed concern to me about their future in the context of a bid by IAG to take over Aer Lingus. I have a number of questions arising from that.

Do Mr. Walsh and IAG accept that Aer Lingus staff have made many concessions and efficiencies that vindicate the use of direct labour at Aer Lingus in the past number of years and will they commit not to outsource further the functions there? Would Mr. Walsh and IAG be prepared to enter into a legally binding collective agreement which would support the current flexible nature of existing agreements for staff at Aer Lingus which would give Aer Lingus workers certainty over their future? Are Mr. Walsh and IAG aware of the residual discontent among former Aer Lingus employees who are now classed as deferred members of the IASS scheme? I think Mr. Walsh said he is a deferred pensioner himself so he is probably in that category. They have concerns following pension arrangements passed by the EGM of Aer Lingus before Christmas. Would IAG have strategies for addressing those concerns?

When Mr. Walsh was CEO of Aer Lingus between 2001 and 2004, he discontinued all cargo services except those services to Frankfurt and the US. I am informed that those cargo services were not unprofitable at the time. These services were put back and built up again by Mr. Walsh's successors. Would Mr. Walsh do the same again?

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