Ryanair has reached a deal with its pilots in Ireland that will restore the 20% pay cuts the airline made during the Covid pandemic.
The four-year pay deal will also see low single-digit percentage rises for the carrier’s home nation pilots in the next three financial years until March 2027.
The settlement means Ryanair has now reached a pay deal with unions across Europe, excluding Belgium.
Ryanair slashed pay during the pandemic but retained more staff than at other carriers – partly as many were already employed on more flexible or seasonal contracts, reliant on flight pay.
That allowed it to expand in summer 2022, when many competitors were forced to make widespread cancellations and cuts to their schedules because they could not recruit quickly enough to meet demand once travel restrictions were lifted by governments after the Omicron variant.
However, Ryanair staff pay was restored to pre-pandemic levels somewhat slower than the chief executive’s, with Michael O’Leary’s salary returning to just under €1m (£880,000) in 2021-22.
About 6% of pilots’ pay in Ireland was restored in July, with the remaining 14% to bring it to 2019 levels now back in their December pay packets.
The deal came after months of negotiation with the Fórsa union over a long-term deal, with the company settling with all bar Ireland and Belgium early in the summer. Ireland’s Workplace Relations Commission (WRC) was brought in to mediate after talks reached a dead end in October.
The union will now ballot members to ratify the deal but has recommended they accept.
Ryanair’s people director, Darrell Hughes, said: “We welcome this pay restoration agreement with Fórsa and our Irish pilots which will see pay cuts previously agreed during Covid restored in the December payroll, in time for Christmas.
“This agreement, which includes annual pay increases for the next four years, now brings our Irish pilots into line with similar pay restoration deals concluded with our other pilot unions across Europe over the past nine months.
“We are grateful for the assistance of the WRC in reaching this sensible agreement with Fórsa and our Irish pilots.”
Fórsa’s assistant general secretary, Ian McDonnell, said: “The new collective agreement provides for improved pay and certainty for pilots over the next four years, and preparations for a ballot of our members on the terms of this proposed agreement are now under way.”
Ryanair only first recognised unions five years ago, a surprise move given O’Leary’s previously expressed antipathy.
Cabin crew in Spain held a series of strikes this summer, which the airline said caused minimal disruption.
• This article was amended on 22 December 2022 because an earlier version converted €1m to £880m. This has been corrected to £880,000.
