Daily Mirror (Northern Ireland)
Ryanair hits turbulence New pilots row and higher fares loom
RYANAIR boss Michael O’leary flew into a fresh row with pilots after branding their demands “laughable”.
The budget airline announced plans in December to recognise pilots’ unions for the first time in its 32-year history.
The U-turn came after Ryanair was forced to hike pilots’ wages after a rostering fiasco caused it to cancel thousands of flights. But talks with some unions in Europe have broken down and strikes are possible at Easter.
O’leary said: “We have some jurisdictions where we are getting laughable demands. Frankly we will never agree to those.
“If we have to take strikes or disruptions then we will take those.”
The threat comes weeks after Ryanair confirmed it had signed a formal recognition agreement with pilots’ union BALPA in the UK.
O’leary also warned passengers to brace themselves for higher fares next year after the wholesale costs of oil jumped to around $70 a barrel.
However, that would only begin to reverse a fall in Ryanair’s average fares, which dropped 4% to just over £28 in the final three months of 2017.
The cuts helped passenger numbers rise 6% to 40.4million.
Profits during the final quarter increased by 12% to £93.5m despite the cancelled flights disruption and compensation payments.
Laith Khalaf, senior analyst, at brokers Hargreaves Lansdown, said: “The dials are moving in the right direction at Ryanair, but Michael O’leary has switched the fasten seat belt sign on.
“The low-cost airline is bracing for a significant increase in staff pay, continued low air fares, and the potential for industrial action as it negotiates with pilot unions across Europe.”
Ryanair recently announced plans to begin flights to Jordan in the Middle East.