Aer Lingus has told staff it intends to shed 1,500 jobs as part of a €74m cost cutting strategy.
Up to 280 jobs will go at Shannon airport as part of the plan, which also involves a redundancy and early retirement programme, outsourcing of many ground operations, and the use of American cabin crew on transatlantic routes.
SIPTU shop stewards have decided to ballot their 1,700 members for all out industrial action in protest at the proposals.
This radical combination of redundancies, early retirements, outsourcing and hiring foreign staff would see up to 1500 people end direct employment with Aer Lingus. Cabin crew bases in Shannon and Heathrow will be closed.
Staff in outsourced areas may transfer to the new provider - but there will be no redeployment within Aer Lingus.
All remaining employees - including management - face a pay freeze until at least the end of 2009 - as well as new performance based contracts.
Shannon will lose up to 280 jobs, due to closure of the cabin crew base and outsourcing ground operation. However, the Co Clare airport will retain a hanger and some maintenance operations.
Aer Lingus will now commence a consultation process chaired by Labour Relations Commission Director of Conciliation Kevin Foley. Implementation of the new regime is scheduled for December 1.
Unions described the plan as draconian drastic and devastating. SIPTU is to ballot members for all out industrial action.
So far there has been no comment from the Government, which owns around 25% of the company.
Rise in passenger numbers
Aer Lingus' total passenger numbers grew by 3.7% in September 2008 compared to September 2007.
The airline said its short haul load factor last month was 79.8%. This was down by 4.3% on the same time last year but Aer Lingus claimed this was in the context of a capacity increase of 16.7%.
Long haul load factor fell to 68.9% from 69.8% in 2007, with capacity increasing by 4.6%.
