Airport bosses in talks about 400 job cuts
Dublin Airport bosses today began talks with unions over a new cost-cutting package involving 400 redundancies.
Some 3,600 staff today received letters about the job losses in the morning post and officials from Siptu, Impact and Mandate immediately began negotiations with management.
The Dublin Airport Authority said a potential €70m funding shortfall could affect its viability and its ability to pay current salaries and benefits.
Management is believed to be seeking a €55m package of savings including 400 redundancies, a pay freeze, career breaks and reduced hours for some staff.
The DAA also wants to negotiate new terms and conditions for employee contracts.
A DAA spokeswoman said the letter to staff was a confidential internal communication but she confirmed a reduction of up to 400 jobs is being sought.
“Management is now entering into a phase of negotiations with unions on the issue,” she said.
The DAA believes the number of passengers using its airports will fall by more than 10% this year.
It is also financing a major €1.6bn redevelopment plan of Dublin Airport.
A record 23.5 million passengers used Dublin Airport last year, a rise of 0.8% on 2007.
Revenue at the airport’s shops, bars and car parks has also been declining in recent months.
The DAA’s annual report last month showed a 28% fall in profits for 2008.
It said it expected passenger numbers at Dublin, Cork and Shannon airports to decline by 11% this year.
It also forecast an “earnings shortfall” of €60-70m as a result of the recession.
One Dublin Airport worker said: “We knew all of this was coming but we were expecting around 320 job cuts to be announced.
“This is all because of the new terminal getting built, but that will make money in the next five to 10 years.
“They are another company jumping on the bandwagon of the recession.”
Siptu represents the majority of the 3,200 workers while Mandate has dozens of members in the duty free shops and bars. Unite and the TEEU also represent employees.
