Cost-cutting ballot for Shannon staff

STAFF at Shannon Airport are set to ballot on a deal on cost-cutting, reached between the Dublin Airport Authority (DAA) and unions at the Labour Relations Commission last week.

There are approximately 300 DAA employees at Shannon, including 25 permanent staff at the airport’s Catering College.
Under the proposals, 450 jobs would go across the three State airports, Cork, Dublin and Shannon.
However, it is thought that Shannon will not be hit very hard by the job losses, with Cork and Dublin bearing the brunt, as the Clare airport had a restructuring programme in 2007.
Staff in Shannon will, however, be hit by graded pay cuts. Those earning less than €30,000 will not see their pay cut but the remainder of workers will see their pay cut by up to 12%. According to the DAA, the average cut will be in the region of 5.5%.
There will also be a pay freeze for two years and changes to work practices.
It’s expected that the union’s verdict on the proposals will be delivered early in the New Year.
Under the terms of the agreement, there is a scheme called the Employee Recovery Contribution Plan, which would mean that employee’s pay levels could be restored, should the DAA meet certain targets.
It’s projected that the DAA could face a shortfall of some €70 million in 2010, while the agreement has the potential to cut costs by €38 million, if it is passed by staff.