Seanad debates

Tuesday, 10 November 2009

10:30 am

Photo of David NorrisDavid Norris (Independent)

I received the Cathaoirleach's ruling in respect of the matter I proposed to raised on the Adjournment relating to Aer Lingus pensions. I accept that ruling in light of the fact the Cathaoirleach's knowledge of the matter may be incomplete. I wish to ask if he might obtain for me further legal information with regard to whether the Minister has responsibility in this area. I am of the view that a strong case can be made to the effect that he does have such responsibility.

I raise this matter because Aer Lingus has applied for a certificate to allow it to develop a new, UK-based airline. The company will then transfer its aircraft into this new venture and when it has done so to a sufficient degree, it will make its staff in Ireland redundant and suggest that they apply for jobs at its new UK operation. This will have the effect of negating these people's pensions and they will be obliged to negotiate in respect of new pensions. The Minister was obliged to sign off on this matter and therefore he has responsibility in respect of it. He is also a significant shareholder in Aer Lingus.

The Government should be concerned with regard to a situation which may duplicate that which obtained - quite disgracefully - in the case of Irish Ferries. In that instance, the services of Irish workers were dispensed with and foreign workers were brought in and paid much lower rates of pay. In addition, SR Technics also engaged in such behaviour. That company was permitted to sell off profitable elements of its business and one of its workers, who was ten weeks short of a full pension and who had been employed by it for 45 years, discovered his pension had been reduced by 50%.

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