Aer Lingus sale debate timing
Senator Darragh O’Brien seeks an immediate debate and motions opposing the proposed IAG purchase of the State’s Aer Lingus stake, citing strategic concerns and pensioners’ losses. The Cathaoirleach rules the motions out of order, while other Senators debate the timing and merits of the proposed sale and related protections.
I circulated two motions earlier this morning. The first was to the effect that Seanad Éireann calls on the Government to reject the offer from IAG to purchase the 25.1% stake in Aer Lingus, thereby protecting Ireland's strategic interests into the future. The second motion was that Seanad Éireann recommends that should the Government proceed with the sale of the 25.1% stake in Aer Lingus, the moneys received should be used to reduce the savage cuts imposed on Aer Lingus pension scheme members. Both of those motions were submitted this morning.
Comment on this
They were submitted this morning. They are not on the Order Paper because, in fairness, while it is not the fault of the Leader, the manner in which the debate on Aer Lingus has taken place in the Lower House has been nothing but farcical in terms of timing and when the debate will finish. We thought the Minister might come to the House yesterday evening but he did not. He could not. That is fair enough as he was in the Dáil. He is back in the House today at 5 p.m., 18 minutes after the Dáil will vote on the sale of Aer Lingus, to take statements on it. What is the point? The reason I tabled the motions this morning was that, in effect, at least the Seanad would have a voice in this and it would be able to give its opinion on the matter.
I ask the Cathaoirleach to strongly reconsider motion No. 1, which I tabled on my behalf and that of my colleagues in Fianna Fáil. I look for support from everyone else for the motion to be taken today, before the Minister, Deputy Paschal Donohoe, comes to the House.
A number of issues have arisen. I listened to Deputy Michael McNamara outline in the other House why he would not support the sale. I also note with interest that SIPTU will not support the sale. I am astonished that neither the Taoiseach nor the Minister for Transport, according to the Taoiseach, has had sight of the Nyras report, which highlights the potential for massive job losses within Aer Lingus. The Taoiseach said yesterday that he had not seen any of the documentation, yet the Cabinet made a decision on it. I discussed this with Senator Bacik yesterday.
There was a very good reason for selling 74.9% of the airline, namely, to invest money in it, new aircraft and making the airline viable. Under EU state aid rules, direct Government investment in the airline was not allowed. The reason 25.1% was kept was to ensure that the State kept a strategic interest in the airline and its direction, and to make sure that the sphere of influence for the airline stayed in Ireland.
A false process has been going on for two years or more, since the Tánaiste and Minister for Social Protection, Deputy Joan Burton, brought in the Social Welfare and Pensions Act 2013. That was the start of it, because it gave the Minister the power to remove people unilaterally from their pension schemes and reduce pension scheme benefits unilaterally without the permission of members. That was to make sure that Aer Lingus and the IASS knew they could build up the deficit. They doubled the deficit within two years because the Government had laid out the roadmap for the changes it intended to make.
The Government then brought in savage cuts in the State Airports Act, for which Fine Gael and the Labour Party voted, and took 60% of pension benefits from long-service members and six weeks' pay from retired people who had given their whole lives to the airline. The Government did that. Lo and behold, two weeks after that, an offer came in from IAG to buy the Government stake. I do not think it is a coincidence; it was all choreographed and had been coming down the track. I said that to the Tánaiste over two years ago and she denied it at the time. The Labour Party denied it at the time and it lied at the time. That is a fact, because this was all choreographed.
The reality is that the 5,000 workers in the airport and the 3,500 working in Aer Lingus are concerned about their jobs because the Government has not exercised proper due diligence on this offer and considered the Nyras report which highlights job cuts of 20% in ground handling, 40% in catering, 15% in maintenance and 25% in heavy maintenance, as well as cabin crew and pilots.
Comment on this
The problem is that all of this will not be discussed in the Seanad until the Government sheep in the other House march behind their Ministers and vote for what they said only two months ago they would not do. At the Labour Party conference, it was said if Aer Lingus was sold, the money would be used to defray the cuts to IASS members. That will not be done. The money will be put into a connectivity fund. Why is that needed if there is no threat to connectivity between Ireland, Britain and the rest of the world? It is absolute nonsense.
Comment on this
If I cannot get these two motions on the Order Paper, I will propose an amendment to the Order of Business to the effect that Seanad Éireann calls on the Government to reject the offer from IAG to purchase a 25.1% stake in Aer Lingus, thereby protecting Ireland's strategic interests into the future. I want that issue discussed before the Minister for Transport, Tourism and Sport comes before the House at 5 p.m., 18 minutes after the Labour Party and Fine Gael sell off the strategic interest of the State in Aer Lingus and give another slap in the face to the 15,000 members of the IASS who-----
Comment on this
If the Cathaoirleach does not put the motion on the Order Paper today-----
Comment on this
I have given very careful consideration to the motion, which I did not get until 10.30 a.m.
Comment on this
There are timeframes regarding motions and I have made my ruling. I have not agreed to the motion going ahead. The Senator is now proposing an amendment-----
Comment on this
I respect the ruling, as I always do. It is unfortunate and I am very disappointed in it. I am, therefore, proposing an amendment to the Order of Business to the effect that, directly after the Order of Business, not at 5 p.m., a debate take place in the Seanad for one or two hours - I will leave that open to my colleagues - in which we can address issues and the Seanad can have a voice in rejecting the below-cost offer which, if accepted by the Government, will do extreme damage to Aer Lingus and the State and copperfasten the savage cuts the Government has introduced affecting the 15,000 members of the IASS.
I want to be clear. I am proposing an amendment to the Order of Business to the effect that the debate should happen straight after the Order of Business. We can discuss the two motions I tabled, which the Government, unfortunately, has not accepted. One deals with rejecting the sale and the other with what should happen if the Government proceeds with it, namely, that the proceeds be used to defray the cuts in the pension scheme.
Comment on this
I am. It is extremely disappointing that the Seanad, because of the way business has been scheduled this week, will have no voice whatsoever in the sale of the stake of the Government and taxpayers in Aer Lingus. That is the reality of how the business has been scheduled.
Comment on this
Our voice will not even be heard. The problem is that the Seanad has-----
Comment on this
I have and you are not accepting them.
Comment on this
Yes, after the vote is taken in the Dáil.
Comment on this
That the statements are to take place after the vote happens in the Dáil makes them irrelevant because the decision will have been made. That is pathetic and it is the fault of the Government, not the Cathaoirleach, for listing the business that way.
Comment on this
Is the Senator's amendment to the Order of Business to bring forward the statements-----
Comment on this
It is to bring forward the statements in order that they will be taken directly after the Order of Business.
Comment on this
It is that No. 3a be taken before No. 1. Can I help the Senator?
Comment on this
The Leader can, but it would have been helpful if we had scheduled-----
Comment on this
We will be rejecting it, but I can help the Senator.
Comment on this
I thank the Leader. In fairness, people need to know where different groups stand on this issue.
Comment on this
My amendment is that No. 3a be taken after the Order of the Business. It is a grave disappointment to us that the Seanad will still not have a voice because the motions have been ruled out.
Comment on this
We should be voting on the motions.
Comment on this
It is very difficult to sit and listen to Senator Darragh O'Brien's brazen hypocrisy on the issue of Aer Lingus. As I said, his party, when in government, presided over the effective privatisation of Aer Lingus by selling off 74.9% of its share. It is brazen hypocrisy, and nothing less than that. Furthermore, the Senator has now spoken for nearly 20 minutes on the subject of Aer Lingus. I do not know why he is looking for-----
Comment on this
He still spoke for a lot longer than the time allowed. Given that the Leader has scheduled a debate on Aer Lingus today, as requested by many of us, and that the Minister will be on his feet in the Dáil for most of the day, I do not see how we can have the debate any earlier. I ask the Senator to read the letter sent by the CEO of Aer Lingus, Mr. Stephen Kavanagh, to the Minister of State, Deputy Gerald Nash, and Labour Party colleagues, providing reassurance on the register-----
Comment on this
He is benefiting from the sale.
Comment on this
He provided helpful reassurance on the issue of registered employment agreements, compulsory redundancies and outsourcing, three of the key issues which most concern many of us in the proposed sale.
I welcome the announcement by the Minister for the Environment, Community and Local Government today of a €91 million investment in housing. Senator Hayden will also welcome the announcement, as she has spoken eloquently on the issue on numerous occasions in this House. The fund is hugely welcome. It will make social housing available in greater quantities, which will improve housing for people with disabilities. The investment includes funds for retrofitting homes to improve energy efficiency. It will also ensure that more than 1,000 vacant social housing units will be refurbished for people who are on the social housing waiting list, at a cost of €20 million. Vacant units are known as voids, and this is one of the issues that many of us have raised here repeatedly. I ask the Leader to arrange a debate in early course on the issue of investment in housing. In the meantime, I welcome this important announcement.
Finally, I ask the Leader for a debate on prison and penal reform in light of the 11 reports by the prison visiting committees which were published yesterday by the Minister for Justice and Equality. Some of the reports were positive, certainly with regard to the refurbishment and greatly improved conditions at Mountjoy Prison. The reports also clearly identified many key challenges that remain, including the imprisonment of young people and the issue of drugs within prisons. I ask the Leader for a debate on prison reform, in light of those reports, before the end of the summer.