Oireachtas Joint and Select Committees

Wednesday, 16 June 2021

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Reactivation of Economy Following Pandemic Restrictions: Discussion

Mr. Liam Berney:

On the question on the opening of aviation, Congress's view has been consistent. We have recognised aviation as a problematic sector and have been encouraging the Government to act to open aviation as quickly as possible within the parameters of the available public health advice. All the time, the view of Congress is guided by the public health advice. The Government has taken a decision to open aviation or allow non-essential travel from 19 July. We support that and believe there should be continued support for employers and employees in the aviation sector until it recovers. As I pointed out in response to a question by Deputy Bruton, there are varying forecasts as to when there will be a full recovery of aviation.

With respect to the attitude of IAG to Aer Lingus, I would only be speculating. I do not believe it is useful to do that. Aer Lingus comprises 5% of the IAG group. It is a small component of what is a very large organisation. As everybody at this meeting will know, large business is very unsentimental in making business decisions. I would genuinely be careful about decisions that may be taken strictly on the basis of revenue generation and such matters in boardrooms outside this country. Whether IAG would be open, or the State would be willing, to take a shareholding in Aer Lingus is an interesting question. I remember being in discussions with Deputy Paschal Donohoe and the current Tánaiste when the State was desperate to get rid of the last 15% of its shareholding in Aer Lingus. Various individuals, including me, have said decisions made in the past were mistakes. Depending on how circumstances unfold, maybe we will reflect in a little while on whether the Government's selling of its 15% share in Aer Lingus was not also a mistake. I would not like to speculate, however, on what IAG thinks of Aer Lingus at the moment. It would not be worthwhile and I could possibly be wrong.

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