Aer Lingus has told staff that its controversial €97 million cost-saving plans will have to be implemented in full.
In a memo to all employees this afternoon, the airline's chief executive Christoph Mueller and his management team said that it was critical for the viability of the business that the plan was fully put in place.
The move comes as cabin crew at Aer Lingus are set to embark on industrial action from August 25th in protest at new rosters imposed unilaterally by the company to give effect to its cost-saving plan which is known as Greenfield.
The memo stated that neither the travelling public nor shareholdings in the company were amused that only weeks into the major change process set out under the cost-saving plan, and before a consultation process was completed, strike notice had been served.
Management said in the memo that everyone in the company had to continue to work the new business model as agreed when all sides backed the implementation of the Greenfield plan. "It is neither fair nor equitable that any staff group should seek a veto or to opt out".
"To thrive, Aer Lingus relies on teamwork and we all have a responsibility to our customers, our shareholders and to each other to seize this opportunity to transform Aer Lingus in a sustainable way."
The company also indicated that a pick –up in business in recent months did not mean that the cost-saving scheme could be watered down.
"The agreements reached came about because all sides were prepared to address the airline's challenges with a new approach. These challenges have not receded. A few busy months in the summer do not equate to an easing of the operating environment and a return to pre-recession demand levels. We are only weeks away from the Winter season, traditionally the toughest period for any airline. Aer Lingus is no exception and, as we all know, Irish economic conditions remain precarious".
"Some suggest that the improved revenue performance can be used to offset some of the cost savings. This is not possible".
As part of the Greenfield plan, the number of hours spent by cabin crew in the air – known as block hours or flight hours – is to be increased to 850 per annum.
Aer Lingus has maintained that the changes it introduced last month to traditional rules governing issues, such as time off between flights and break periods, were necessary to allow for all cabin crew to be rostered in such a way that they operate the new 850 flight or block hour requirement.
Impact has contended that the changes introduced by the company went far beyond the terms agreed as part of the new cost-saving programme
It has contended that under the new rosters imposed unilaterally by management last month cabin crew have to work in some cases from 5am to 3pm and complete possibly four flights without being allowed a break.
In the memo, Aer Lingus manangement said that the introduction of 850 flying hours for all cabin crew would in some cases only result in minor changes to the roster.
However it said that in other cases the changes would be significant. Management said that the "rostering quality" in Aer Lingus had been poor for a long time.
It said that the old work rules - governing issues such as time off between flights, breaks etc – were "not compatible with our business plan". It said that therefore the old regulations which were set out in its "black book" ceased to exist last May.
The management memo maintained that in the last 12 months, employee shareholders in the company had gained €45.4m in value via their employee share-ownership schemes.
However, it said it was regrettable that almost 10 per cent of that gain was lost in a few days since the strike threat or warning
