(12 May 2009) In the face of decreasing passenger numbers and a forecasted earnings shortfall in the region of €70 million during 2009, the Dublin Airport Authority (DAA) is seeing 400 redundancies. The DAA operates the three main airports in Ireland and last week forecasted an 11% decrease in passenger numbers for 2009 in their annual report. Minimal passenger growth is expected up to 2011 and losses are forecasted for both 2009 and 2010.
In a letter sent to employees this morning, the DAA is seeking up to 400 voluntary redundancies as part of a cost-containment plan from a workforce of 3,600 people. The DAA is also looking for more efficient work practices in a bid to reduce payroll costs and have opened negotiations with unions on proposals aimed at reducing costs.
The net debt for the DAA is expected to rise to the €1 billion mark by 2011. The capital investment plan at Dublin Airport has been halved to €400 million. While 2008 was a record year for Dublin Airport with 23.5 million passengers being handled, 2009 has seen reduced consumer activity. The car parking facilities at the airports have generated €4 million less during 2009 compared to the same time period last year.