15/01/2010
Pilots Agreement To €30M Cuts Welcomed
Aer Lingus has welcomed a decision by its pilots to accept cuts of €30 million in their pay as the airline continues its battle with the challenging market.
Aer Lingus pilots instructed their union, the Irish Airline Pilots' Association (IALPA), to enter discussions with the company to address the proposed €30m cost savings.
Last night pilots voted to accept the cost reduction package put forward by arbitrator Kieran Mulvey. The package includes a 10% pay cut and up to 76 redundancies.
Aer Lingus said it welcomed the pilots' acceptance of the tribunal recommendations of €30m sustainable annual reductions in pay.
A spokesman for the carrier said: "The company has already invited IALPA to immediate talks on the final elements of arbitration with a view to agreement on 21 January as set out in the arbitration document. In this regard we recognise the Pilots may require certain clarifications and the company will be happy to respond to this.
"The arbitration finding is balanced and thoughtful. The redundancy recommendation, pay and allowance cuts, pension changes and pay freeze are all part of one integrated package, which must be implemented in full along with changes in work rules."
The spokesman added that the part state controlled airline felt the IALPA statement was a "constructive" step forward for Aer Lingus shareholders and employees and that the company looked forward to an early resolution of the outstanding issues and immediate implementation.
In a motion passed at the meeting, the pilots acknowledged that some aspects of the arbitration report had given rise to concern, which include outsourcing, pensions and increments.
IALPA says it has taken specific legal advice on these matters and says that this precludes them from recommending acceptance of those elements of the report.
The pilots have instructed their union to say any final proposed agreement will be subject to a ballot.
(DW/BMcc)
Aer Lingus pilots instructed their union, the Irish Airline Pilots' Association (IALPA), to enter discussions with the company to address the proposed €30m cost savings.
Last night pilots voted to accept the cost reduction package put forward by arbitrator Kieran Mulvey. The package includes a 10% pay cut and up to 76 redundancies.
Aer Lingus said it welcomed the pilots' acceptance of the tribunal recommendations of €30m sustainable annual reductions in pay.
A spokesman for the carrier said: "The company has already invited IALPA to immediate talks on the final elements of arbitration with a view to agreement on 21 January as set out in the arbitration document. In this regard we recognise the Pilots may require certain clarifications and the company will be happy to respond to this.
"The arbitration finding is balanced and thoughtful. The redundancy recommendation, pay and allowance cuts, pension changes and pay freeze are all part of one integrated package, which must be implemented in full along with changes in work rules."
The spokesman added that the part state controlled airline felt the IALPA statement was a "constructive" step forward for Aer Lingus shareholders and employees and that the company looked forward to an early resolution of the outstanding issues and immediate implementation.
In a motion passed at the meeting, the pilots acknowledged that some aspects of the arbitration report had given rise to concern, which include outsourcing, pensions and increments.
IALPA says it has taken specific legal advice on these matters and says that this precludes them from recommending acceptance of those elements of the report.
The pilots have instructed their union to say any final proposed agreement will be subject to a ballot.
(DW/BMcc)
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