Aer Lingus making cuts to survive

According Ireland’s transport minister, Noel Dempsy, Aer Lingus must push through the planned cuts in spending they revealed earlier this month if they are to survive for the long haul. The airline has apparently been spending much of its savings recently and has been keeping afloat, but they look like they are planning on cutting 20 per cent of their 4,000 workers.

The aim is to cut yearly operating costs by a massive €97 million. However, it seems that their shareholders will not make it easy for them to make the planned cuts, which the carrier hopes to complete by the middle of November.

Mr Dempsey believes that if the cuts in spending are not made soon they could only survive for maybe another two years and then they would be no more Aer Lingus as we know it. The airline already has a multiple ownership system, with Ryanair having a 30 per cent stake, the Irish Government 25 per cent, and the staff at the airline around a 14 per cent stake. Aer Lingus are also bracing themselves for a possible strike after news broke to their staff of the estimated cuts in jobs. Cabin crew, ground staff and technical workers are all on the list for the cut backs, something the unions that represent them are not happy about.

The Impact union said they were expecting the worst and received the worst news on planned job cuts. They will consider their approach before making a response to the airline and hope to sit down and talk with bosses at the carrier in order to come to a better deal or other options on saving money.