Aer Lingus Could Move to UK to Fend Off Labour Issues

Aer Lingus is reporting that they may consider pulling their business out of Ireland and moving to somewhere within the UK. The move would come as a solution to their current labor issues. The move would aim to cut costs and avoid unsavory issues with Irish labor unions.

The budget airline just applied for a UK civil aviation authority which would give them an operating license for London, where they are considering moving their headquarters.

Essentially, the airline would continue to operate in a similar manner but would be moving their legal proceedings to the UK, allowing them to reapply their workforce under UK guidelines.
At present, Aer Lingus is negotiating the elimination of up to 676 jobs which many Irish labour unions have been aggressively opposed over. The company, however, says it must save upwards of $150 million by the end of 2011 or risk going under.

The airline has already said that if it cannot reach an agreement with unions by November 30, that they will look to other outlets to solve the pending issue. Aer Lingus’ biggest issue at present is the increasingly large salaries and pensions of their long-haul pilots which make up to $500,000 per year on contracts that are difficult to renegotiate, especially with the recent union involvement.