Aer Lingus likely to lose out on new jets as latest round of pilot pay talks end

Aer Lingus looks set to lose out on delivery of the first Airbus A321 XLR jet that was due to join its fleet this year after it failed to reach a pay agreement with the Irish Airline Pilots’ Association (Ialpa).

The airline and the union are set to meet at the Labour Court as it begins considering the pay dispute on April 22. That followed failed efforts to reach agreement at the Workplace Relations Commission.

But the two sides have held discussions within the past couple of weeks to see if a resolution could be achieved before a decision on the painting of the new aircraft in Aer Lingus livery must be made by April 28.

They met again this week.

“The discussions concluded without agreement,” said Aer Lingus in a statement. “Ialpa continued to demand pay increases for pilots that are significantly higher than the 12.25pc increase in consolidated pay and 1.5pc of unconsolidated pay that had been recommended by the independent Pilot Pay Tribunal in its report in December 2023.”

Ialpa’s pay proposal includes a 20pc pay rise and the additional 7pc covering the cost by pilots of a 2019 crewing agreement. The 12.25pc proposed by the carrier included a 3.75pc to pay for that crewing agreement.

Aer Lingus added: “Given the tight lead times, it now looks unlikely that the inaugural A321XLR aircraft delivery can be allocated to Aer Lingus, with decisions on the remaining XLRs being required in the coming months. Aer Lingus is now assessing the implications of this for future jobs and investment in the business.”

Aer Lingus, whose chief executive is Lynne Embleton, is part of the IAG group that also owns British Airways, Iberia and Vueling.

Aer Lingus had anticipated receiving two of the jets in the final quarter of this year, but IAG chief executive Luis Gallego said in February that without a pilot pay agreement at the airline, those jets might now be deployed elsewhere within the group. The XLR aircraft can be used to serve the United States from Ireland.

The airline warned pilots in a letter earlier last month that the potential loss of the planned A321XLR aircraft scheduled for delivery to Aer Lingus this year would immediately reduce its pilot requirement by 80 and its command requirement by 40.

“This will also have a cascading effect on all other associated staff groups,” the airline warned.

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