Unions in Aer Lingus and Dublin Airport Authority will meet on Friday to discuss the latest proposals to end the deadlock over the €780 million shortfall in the pension scheme operated by both companies.
The trustees of the Irish Airline Superannuation Scheme (IASS) last week published proposals aimed at ending the three-year dispute that included 20 per cent cuts in accrued benefits and a clawback from retired staff already drawing pensions from the fund.
The proposal was issued against the background of a strike threat from trade union Siptu, whose members in Aer Lingus and Cork, Dublin and Shannon airports voted in favour of industrial action last week, claiming that other parties involved in the dispute were dragging their heels over a solution.
Friday meeting
All unions in the airline and airports company whose members are affected will meet on Friday under the auspices of the Irish Congress of Trade Unions to discuss the the trustees' proposals.
Aer Lingus has reaffirmed its commitment to putting €110 million into a new defined contribution scheme for current employees in the IASS and €30 million for deferred members, ie those who have left but not retired.
The airline said yesterday its actuaries had confirmed that this measure, combined with the trustees' proposals, would achieve the targets set out by the Labour Court last year designed to resolve the issue.
The company urged the trustees to put a formal funding proposal to the Pensions Board, saying that getting the regulator’s approval was a “crucial first step” towards a viable solution.
