Irish airline Aer Lingus Group plc, under siege from nonunionized rival Ryanair Holdings Ltd., did not immediately respond to the €200 million ($254 million) sweetener Ryanair added to its €748 million bid for the company Friday. Instead it announced the outcome of a ballot of its own, unionized, workers, which came out in favor of efficiencies and reformed working practices. The former state airline believes the costs cuts will save €25 million a year.
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The announcement appeared to be designed to show the solidarity Aer Lingus enjoys with its work force, in contrast with the bad relationship employees would have with Ryanair. Ryanair, which owns nearly 30% of Aer Lingus, offered to recognize trade unions at the target as part of its revised offer, but the unions are reportedly ready to reject the bid. -
Jonathan Braude
