Statement by the National Implementation Body in relation to Aer Lingus

The National Implementation Body has met with Aer Lingus management and

unions to discuss the current industrial relations issues at the company.

The Body was briefed on the ongoing constructive discussions between IMPACT and the company.   The NIB was also briefed on the recent discussions between SIPTU and the company, under the auspices of the Labour Relations Commission (LRC), and noted the imminent possibility of industrial action following the break-down of these talks.

In its statement of 21st December 2007, the NIB stressed that the crucial factor, from a competitiveness viewpoint, is that unit labour costs should be consistent with airline industry norms and acceptable employment standards generally.   How unit labour costs are constructed offers scope to the parties for creative thinking to see if the objectives of the unions and management can be achieved within this competitiveness template.

In the context of a deteriorating operating environment, on 3rd October 2008 the company tabled a series of proposals, including outsourcing, aimed at achieving its objectives in relation to necessary reductions in costs and addressing legacy issues.  

The NIB has noted that the staff side is of the view that it would be possible to achieve the necessary cost savings by alternative measures to those which have been proposed by the company.

Having heard from both of the parties, the Body remains of the view that there is a need to achieve a competitive standard in the airline in order to ensure viability. 

Accordingly, the Body recommends that:

§        As a matter of urgency and at the request of the NIB, that contact would be made with both SIPTU and the Company by the LRC to allow the LRC to become familiar with and explore the potential of all aspects of alternative measures now being considered.

§        This exploration and assessment by the LRC would take place without prejudice to the position of either party.

§        The NIB should be briefed by the LRC on the outcome of its work no later than Monday 17th November.

§        In finalising its assessment to the NIB, the LRC should also take account of the progress being made in discussions continuing in parallel between IMPACT and the company.

The Body believes that solutions need to be urgently found to the current difficulties.  In this regard, the Body notes that the parties are agreed that such solutions must offer long-term viability and stability for both the company and its workers.  On receipt of the LRC’s assessment, the NIB will explore with the parties what assistance, if any, it can offer in achieving a final resolution of those issues where differences remain.

13th November, 2008

ENDS