Ryanair Cost-cutting?
From today's Sunday Times:
THE Ryanair boss Michael O’Leary is attempting to persuade staff to accept a pay freeze as part of a cost-cutting drive.
Michael Cawley, deputy chief executive, said the airline was considering a pay freeze to be agreed this month. It would apply to all employees, including senior management, and save the airline between €3m and €4m a year, he said.
“We have just had a profit warning and we are looking at the possibility of recording the first (quarterly) loss in the company’s history,” said Cawley.
O’Leary is understood to have met pilots based at Stansted and Dublin to outline his latest cost-cutting plans. Other moves under consideration include making pilots pay for their own annual medical check-ups, their aviation licence renewal fees, uniforms and changes to pension contributions.
The measures would be introduced only if the company did not introduce a pay freeze, Cawley said.
Ryanair is this week expected to announce it has agreed a deal that will allow it to remain at Charleroi, its Belgian base. The airport will make Ryanair’s terms of business — which were ruled illegal by the European Commission — available to all airlines.