Aer Lingus loses out on second new XLR jet as pilot pay turbulence continues

Aer Lingus, part of the IAG group that also owns British Airways, Iberia and Vueling, was also due to be the launch customer for the new Airbus jet.

But the first of six A321XLR jets that Aer Lingus was due to receive in September is instead going to Iberia as the pilot pay dispute continues, making the Spanish carrier the launch customer for the new aircraft type.

Aer Lingus was due to receive a second XLR sometime between November and December.

But because a decision on the livery in which the jet is to be painted must be made months before delivery, the airline told staff on Friday that the second jet is unlikely to join the Aer Lingus fleet either.

Aer Lingus has confirmed to the Irish Independent that staff were informed of the decision on Friday.

“Aer Lingus was unable to give IAG the confidence it needed in our cost structure, resulting in the inaugural A321XLR – originally planned for Aer Lingus – being allocated elsewhere in the group,” according to a spokesperson.

They added: “On the same basis and given the deadline for a decision on painting was this week, the second XLR aircraft will not be painted in Aer Lingus livery and will remain available to be allocated elsewhere within the group.”

Today’s News in 90 seconds – 31st May 2024

IAG chief executive Luis Gallego warned earlier this year that Aer Lingus would not be the launch customer for the XLR aircraft unless the pilot pay dispute could be resolved. The XLR jets had a list price of about $142m each in 2018.

Aer Lingus, whose chief executive is Lynne Embleton, also told pilots in a letter in March that the potential loss of the first planned A321XLR aircraft scheduled for delivery to Aer Lingus in September would immediately reduce its pilot requirement by 80 and its command requirement by 40.

“As we have always said, our capital allocation and growth plans are based on being able to do so profitably and sustainably, and until those [pilot pay] discussions are concluded we will be limiting investment in Aer Lingus,” said Mr Gallego in February.

Last week, a pilots’ union urged its 800 members at Aer Lingus to reject an interim Labour Court recommendation that would see them receive a 9.25pc pay increase. The airline has accepted the Labour Court proposal.

The Irish Airline Pilots’ Association (IALPA) has been holding out for a 27pc pay increase over three years, while Aer Lingus has offered 12.25pc. The proposal by the carrier included 3.75pc to pay for a 2019 crewing agreement, while the union’s demand included 7pc to cover the cost of the 2019 deal. That meant the union’s proposed net increases would be 20pc and the airline’s would be 8.5pc.

The Labour Court has sent the sides back to the Workplace Relations Commission to thrash out remaining details attached to the cost of the crewing agreement by the end of August.