Seanad debates

Friday, 26 February 2021

Covid-19 (Aviation): Statements

 

10:30 am

Photo of Fiona O'LoughlinFiona O'Loughlin (Fianna Fail) | Oireachtas source

I thank the Minister of State for being here to engage on this important topic.

While level 5 restrictions have caused all sorts of issues and challenges for our economy, it has been particularly difficult in the aviation sector and for those employed in it. Many years ago, a job with an airline was always thought to be the best one could get. My aunt was one of the first Aer Lingus air hostesses. As a child growing up, it was the most glamorous job anyone could have. There was always excitement when one knew somebody who was going to be a pilot.When we look at where we are now, it certainly is a very different type of career. We know that the number of people passing through our airports in Ireland fell, understandably, by more than 80% in 2020. Dublin Airport had 23.5 million fewer passengers in the 11 months to the end of November 2020 than during the same period in 2019.

We rely heavily on air travel in Ireland. I was surprised to learn that the industry is responsible for as many as 140,000 direct jobs. That is very significant. The national secretary of Fórsa, Ashley Connolly, told the Joint Committee on Transport and Communications Networks recently that thousands of aviation jobs remain at risk unless immediate supports are given to the sector. I am aware that she referred to an aviation income support scheme in Germany, which enables employers to reduce hours rather than laying off staff, with government income support being provided for the time that employees cannot work. It seems to make sense. Such support has also been called for by the SIPTU aviation sector organiser, Neil McGowan.

According to some media reports, it is estimated that even considering the employment wage subsidy scheme, EWSS, Aer Lingus alone has been losing approximately €1 million a day since April 2020. That is a very significant loss for one of our airlines. We are all aware that Irish airlines rely on summer bookings to make enough money to tide them over the winter season, which is loss-making. Obviously, there will be no air travel this summer again, so it is most urgent that we support airlines that are facing dwindling cash reserves. According to the president of IALPA, Captain Evan Cullen, the €80 million support package for the aviation sector, which was announced in November 2020, was welcome but was essentially a grant for Ireland's airports, the majority of which are owned by the State. The funds left over for the airlines may, at best, have covered a few days' worth of losses. Therefore, we must really look at the airlines as being separate to the airports.

When Captain Cullen spoke, he pointed to the role played by airlines in supplying economic lifeblood to the country by bringing foreign direct investment and an estimated €10 billion into our economy annually. Every aircraft that leaves Ireland represents lost jobs and lost GDP. It is an economic fact that if our airlines are allowed to go out of business, the consequences for the Irish economy will be devastating, taking into account the amount of exports that we have. Looking around the world, it is clear that most governments have recognised such dangers, and have accepted that if they are to intervene to prevent airline operations for the sake of virus suppression, they must ensure those airlines do not go out of business as a result.

The window remaining for decisive action is closing fast. Airlines plan and budget for their vitally important summer schedules at this time of the year, and they will soon have to make hard decisions - indeed, many of them already have - based on the expected market conditions. A number of people working in the airline industry have contacted me. I have no doubt that they have also contacted all of my colleagues. For example, a letter that I received from an Aer Lingus pilot outlined how his own life had been affected by the events of the last year. He wrote that his pay and working hours were reduced by 50% from 1 April 2020. During that time, his pay was subsidised by the temporary wage subsidy scheme, TWSS, and subsequently, by the EWSS after 1 September 2020. He stated that has not gone above the 50% threshold since, and will not do so for the foreseeable future. The pilot also outlined the very difficult times that he has been through. He mentioned that he and his colleagues work on a variable roster with a fixed pattern, but on different days and hours each week, which is obviously very difficult.

Therefore, much clarification is needed. We must look at the extra supports that can be put in place. I know that next week we will have an opportunity to debate the Health (Amendment) Bill 2021.It provides for the introduction of mandatory quarantine at designated facilities for all passengers arriving from countries where there are variants of the Covid virus that represent a particularly high risk. This is very important, as are the enforcement measures in respect of regulations which prohibit non-essential travel abroad. People travelling abroad without an essential purpose can be subject to fines and prosecution. The enforcement of this is welcome and necessary when one sees people taking these risks on an ongoing basis.

I thank the Minister of State for her time and I look forward to having the opportunity to comment on the travel restrictions and mandatory quarantine next week.

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