SIPTU accepts DAA cost recovery programme
26-Jan-2010 SIPTU members at the Dublin Airport Authority (DAA) have voted by two to one to support the Cost Recovery Programme (CRP) agreed after months of discussions with their Union representatives.
Under the programme, SIPTU has accepted the loss of 275 permanent and 100 temporary jobs at Dublin, Cork and Shannon airports and a pay freeze until 2011.
The programme was agreed after it emerged last year that the DAA was facing losses of €55 million, a figure that has since risen to more than €70 million.
The agreement also includes an Employee Recovery Investment Contribution (ERIC) scheme which will be introduced as an alternative to pay cuts with effect from the 1st February 2010.
Under the scheme employees will invest a percentage of their earnings and will recoup the monies after three years or when the company is restored to profitability.
The agreement also includes a Voluntary Severance Scheme while the Union will enter discussions with the company on the pay, terms and conditions which will apply to new staff recruited by the DAA.
A €1m once-off fund will be set aside and will be paid out to participating staff if the agreed cost recovery target is met.
An Internal Disputes Tribunal will be established which will comprise of one senior trade union official, one senior manager and an independent chairperson, to be agreed. The purpose of the tribunal is to adjudicate on any disputes between the parties regarding the CRP.
According to SIPTU Organiser, Dermot O'Loughlin the cost recovery programme was accepted by 1121 to 541 votes in a ballot of members at the three airports."I welcome this decision by SIPTU members at the DAA. We sincerely believe these proposals have the potential to provide sustainable quality jobs. In addition, they provide a realistic platform to ensure that staff are favourably positioned for all future challenges," Dermot O'Loughlin said.