Ryanair urges Aer Lingus employees to accept takeover
Budget airline Ryanair tonight attempted to lure Aer Lingus workers into accepting its audacious takeover offer by insisting it was worth €60,000 a head to staff.
Amid speculation over job losses at the newly privatised airline, Michael O’Leary reiterated he was prepared to make cuts if he seized control.
But he claimed the deal would be worth €220m to employees, an average of over €60,000 per person.
The carrier lodged an audacious €1.4bn attempt to seize control of Aer Lingus earlier this month offering shareholders €2.80 a share.
As the battle for control of the airline continued union chiefs insisted Aer Lingus management had not suggested job cuts were inevitable.
“The difference between Ryanair’s offer and the alternative reported Aer Lingus management offer is that at least with the Ryanair offer Aer Lingus employees stand to realise an average of over €60,000 per person,” Mr O’Leary said.
“With Ryanair, Aer Lingus will have a strong financial partner and a secure future. As a small, standalone airline, Aer Lingus’ only alternative appears to be further cost cuts, more job cuts, but without any average payment of €60,000 to Aer Lingus employees.”
Aer Lingus refused to comment on reports that the airline had to cut staff numbers following privatisation.
But Mr O’Leary said: “If these developments are true, it’s clear that the best interests of Aer Lingus employees are served by accepting Ryanair’s generous offer, because their future as a small, uncompetitive, standalone Aer Lingus looks even bleaker today than it did yesterday.”
Ryanair has now built up a 19.2% stake in the former state airline.
SIPTU has been calling for a meeting with Aer Lingus management to discuss any plans for cost-cutting. It is understood Aer Lingus chief executive Dermot Mannion told representatives of the airline’s workers that he wanted to examine all costs at the company.
Michael Halpenny, from Siptu, said: “We met with the company (Aer Lingus) a couple of weeks ago against the backdrop of recent events and they confirmed to us they fully intended to honour all agreements and we have commitments from the company, indeed, signed off by the chairman of the company, and we would expect the company to honour those.”
