Aer Lingus redundancies in difficult times

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dieter1

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Correct me if I am wrong, but if you started in Aer Lingus in 1991 and had 17 years service with the company, you will now be entitled to 156 weeks pay (say €1000 a week), so €156,000.

If an employee in any private company is let go after 17 years service, the employee is entitled to just €21,216.

What the hell is going on? This seems grossly unfair.

Surely someone needs to put a stop to this sort of craziness?
 
dieter1 said:
If an employee in any private company is let go after 17 years service, the employee is entitled to just €21,216.
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You're assuming that a private company will only pay statutory redudancy. Many companies (including Aer Lingus) will pay above that. For example, my employers, an American IT company, would pay 85 weeks for 17 years service, my wives employers, a bank, pays 102 weeks for 17 years whilst I know of someone in another company who got 120 weeks for 15 years service
 
dieter1 said:
Correct me if I am wrong, but if you started in Aer Lingus in 1991 and had 17 years service with the company, you will now be entitled to 156 weeks pay (say €1000 a week), so €156,000.

If an employee in any private company is let go after 17 years service, the employee is entitled to just €21,216.

What the hell is going on? This seems grossly unfair.

Surely someone needs to put a stop to this sort of craziness?
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Aer Lingus is a private company. Its not semi state anymore. The package is generous but as pointed out above it is not uncommon to hear about similar packages in other companies. The ongoing savings that the company will make more than pays for the cost of the package.
 
PaddyW said:
Is it not restricted to 600 euro per week for redundancy?
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Thats statutory redundancy. Company is free to offer what it wants on top of that. I am sure there is a pension available for the people taking the early retirement option and the lump sum is available for others. I know the figures are high but I reckon Aer Lingus will be happy to get older more expensive workers off their books without incurring industrial action and the Union are now allowing new people to be hired on lower pay and conditions. Its a good deal for the workers and the company. I wouldn't begrudge them the deal. I wish I could get one just like it!
 
Aren't Aer Lingus entitled to claim back 60% of these redundancy payments from the taxpayer? or is that the bone of contention akin to the Irish Ferries dispute ??
 
Havealaugh said:
Aren't Aer Lingus entitled to claim back 60% of these redundancy payments from the taxpayer? or is that the bone of contention akin to the Irish Ferries dispute ??
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I am open to correction but I thought it was 60% of the statutory amount
 
Sunny said:
I am sure there is a pension available for the people taking the early retirement option and the lump sum is available for others.

Just trying to get clarification on the offer - is it pension or lump sum? How does this work?
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To be honest, for many private companies, although they may offer 5/6 weeks per year of service, this is very often capped at say a max of 50/60 weeks and doesn't continue to run into mad figures which appears to be on offer at Aer Lingus.
S.
 
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