As I indicated in response to private notice questions on 26 May 1998, I had stressed that day to the executive chairman and senior management of Aer Lingus and TEAM the importance of assessing the implications of the previous evening's response of the TEAM workforce to the FLS proposals. I had asked the executive chairman to submit to me at an early date his assessment of the future direction of TEAM in light of the current circumstances. I said I would be conveying essentially the same message to the TEAM unions when I met them.
I met on Friday last, 29 May 1998, with a large representative grouping of the TEAM unions — 24 in all. I listened carefully to their views and conveyed my own views to them. For their part, a range of views were expressed. Some indicated that they regarded the consultation process which had led to last week's outcome as being finalised and that they did not require any further clarification on issues which had arisen in that process. Others, however, felt that important issues such as pension arrangements had not been sufficiently clarified. A common position that was expressed on behalf of the unions was that they were willing to engage on a partnership basis with Aer Lingus management and the Government to find a solution for TEAM that would secure its future.
For my part, I reiterated that my overriding concern at all times has been to secure the maximum level of employment in TEAM into the future and that any strategic developments in relation to the ownership of TEAM would only take place with the concurrence of the TEAM workforce. I also expressed the personal views which I had expressed in this House last week that, first, the letters issued in 1990 to each Aer Lingus staff member transferring to TEAM were letters of guarantee of employment in Aer Lingus but that the concept of a job for life was no longer valid in today's commercial world; second, that TEAM as a subsidiary of Aer Lingus did not have a viable future; and, third, that the best prospects for a secure viable future for TEAM lay with the proposals for the acquisition of the company by FLS Aerospace.
I urged the unions to enter into further talks with the management of Aer Lingus as soon as possible, in which all the concerns and viewpoints of both sides would be thoroughly addressed. I met yesterday with the executive chairman of Aer Lingus who informed me that talks are scheduled for 3 p.m. today.
It follows from the foregoing that I have not yet received any proposals from the board of Aer Lingus. I cannot predict when the process will be completed and a Government decision required. This issue should be addressed with urgency. The union representatives, almost to a person, said the use of the word "crisis" was inimical to the prospects of a deal. I have not attempted to put precise statistical parameters on what might represent workforce concurrence to any deal, as to do so would be unhelpful.
As to the question of alternatives to the proposed FLS deal, on Friday last, 29 May 1998, subsequent to the meeting I had with the TEAM unions, my Department was contacted by Mr. Ulick McEvaddy who indicated that his company may be interested in TEAM Aer Lingus. He said he would give further consideration to this idea and would contact the Department again on the matter this week. I informed the chairman of this yesterday. It remains to be seen whether and how Mr. McEvaddy follows up on this approach.
