asked the Minister for Transport if he is aware of the proposal by the board of Aer Rianta to hand over the provision of food and drink at Dublin Airport to a foreign concern; his views on the matter; if he is prepared to make extra capital available to Aer Rianta for the improvement of the above facilities to Irish workers and management; and if he will make a statement on the matter.
Ceisteanna—Questions . Oral Answers . - Dublin Airport Catering .
20.
: I am aware of the proposal by the Aer Rianta Board to transfer the management and operation of catering services at Dublin Airport to an outside concessionaire.
Aer Rianta have incurred heavy financial losses on catering operations at Dublin Airport for many years now. Despite many efforts by the board and management of the company to eliminate those losses, the situation has continued to deteriorate to the extent that it is no longer acceptable.
Aer Rianta have examined many alternatives and have considered proposals from a number of Irish and international firms to rectify this unsatisfactory situation. The proposal which has finally been adopted by the board involves the taking over of the existing staff by an international firm specialising in airport catering. This firm is also willing to invest a considerable amount of capital on improving the present facilities available to passengers and to the public.
I understand that the Aer Rianta Board regards these proposals as being in the best interests not only of passengers and the public but also of staff inasmuch as the new arrangements envisage an expansion of the range of catering activities with consequential prospects of additional employment. I also understand that the proposals involve continuity of employment for existing staff without any worsening of their conditions of service.
In the present economic climate I can only welcome a proposal which will not alone eliminate losses and generate revenue for Aer Rianta but which also holds out prospects of increased employment. I also welcome the proposed investment of capital by the new concessionaire. Aer Rianta requirements for additional capital at Dublin Airport over the next five years for operational purposes are considerable and the proposed investment by the new concessionaire will relieve the burden on the Exchequer.
: I find it absolutely incredible that a Minister of a Coalition Government involving a Labour Party would make a statement that he welcomes this, a foreign company——
: A question.
: —— SAS, Sweden, Norway——
: The Deputy will have other opportunities for making speeches.
: Does the Minister agree that it is ludicrous for the Aer Rianta board to go ahead with this proposal when they and other State bodies are trying to secure contracts for similar concessions in other airports in the Middle East and in the Third World?
: The board of Aer Rianta have a job to run their company as efficiently as possible on behalf of the State and I am satisfied that the board are doing what they consider right.
: Would the Minister agree that the right course is for the board to proceed on the proposals put forward by the work force and for the Government to provide the extra capital, about £75 million, necessary to improve catering facilities at the airport so that the travelling public can have good facilities, but that the bars and restaurants at Dublin Airport should be under Irish control? It is not Sweden of the welcomes, it is Ireland of the welcomes we are talking about. The Minister is involved in a ludicrous situation.
: It would be a new philosophy indeed if we in this country were to reject foreign investment which offered the opportunity of additional employment over and above protecting present employment. I am rather taken aback by Deputy Burke's observations in this regard in view of the fact that it is in his constituency. The board of Aer Rianta are a very representative board who were appointed by one of my predecessors and a member of the Deputy's own party. The board are representative of the trade union interests. The board, with whom I met recently, have made this decision. It would be wrong for me to interfere in the running of the company. Also I believe that the board have made a very good case for the decision at this stage.
: The fact that it is in my constituency is a matter of deep concern to me because I am well aware of the concern of the work force at the airport. Is the Minister aware of the concern of other workers at the airport that, if this concession goes ahead, if the board of Aer Rianta get their way and hand over the food and catering facilities at the airport, other areas of activity at the airport such as security can be given away? Cleaning, baggage handling, in-flight meals and other areas can equally be handed over to concessions. Is the Minister suggesting seriously that that is in the interests of Irish workers or of Irish semi-State bodies generally?
: I would not wish to add to the fears of workers at the airport. Of course, in periods of change and uncertainty workers have these fears. On the subject matter of the question, the fact is that employment is guaranteed for the present staff and the possibility of further employment is there without cost to the Exchequer. The Deputy should agree — he may not agree — that this is perfectly good and it is in the interests of the workers concerned, and also of the Exchequer of course. I only wish that we could get many other deals like this whereby jobs were protected and the prospect of additional employment was possible.
(Interruptions.)
: Further arising——
: Deputy Haughey has been trying to get in for some time.
: I am asking for one final supplementary. Would the Minister agree that the way to handle the situation of the improvement of facilities and the protection and expansion of employment at Dublin Airport is for the semi-State sector and the Government to invest in bringing in multinationals or semi-State bodies of foreign Governments to handle a basic facility, such as the serving of food and drink. That is one thing the Irish should be able to do and make a profit, without putting workers at risk.
: Apart from the new philosophy Deputy Burke is suggesting, that we would reject foreign investment, he has ignored the abominable situation the Exchequer is in. The Deputy knows there is not money available. He was a Minister for some time. It is very sad——
: What the Minister is trying to do is very sad.
: I am sure the Minister is aware that Aer Rianta have been handing over money to the Exchequer in recent years, the first time for a long period. The Minister may recall that at one time the restaurant at Dublin Airport was of such quality and excellence both in regard to food and service that it set a headline for the rest of the country. Would he ask the board of Aer Rianta to recall that time and possibly reinstate such a situation? The airport restaurant was known throughout the world and was a great advertisement for Irish food and the high quality of the Irish hotel and restaurant service.
: I am glad Deputy Haughey was given an opportunity to get in, despite the efforts of the backbenchers.
: The Minister is not protecting the interests of Irish workers.
: What the Leader of the Opposition has said is correct. Aer Rianta are paying money into the Exchequer. They are a successful company because they make good decisions. I am satisfied that the decision they are making here is a good one. I agree that they should try to get back to the situation when the catering facilities in Dublin Airport set a headline. That is precisely what the board of Aer Rianta have in mind.