The figure includes the leasing of aircraft, as well as paying compensation to customers who were affected by the strike, but it does not include the full impact on forward bookings.
This is the first time the airline has put a figure on the cost of the strike, which was settled last month after it agreed to increase pilots’ pay by 17.75pc over four years.
“There was definitely a hit on bookings during the action, but it remains to be seen whether we can recover some of that gap,” said Lynne Embleton, the airline CEO.
“This is why we’re not giving a specific figure now. I was really pleased to see the bookings did come back really well once the industrial action was lifted.”
Last night the airline announced an operating profit of €92m for the second quarter of this year, down €29m year on year, in its latest set of financial results.
This followed an operating loss of €82m in the first quarter, and takes the operating profit for the first half of the year to €9m.
Results in the last quarter were affected by market pressures across the Atlantic as well as by the pilots’ strike.
Aer Lingus chief executive Lynne Embleton. Photo: Naoise Culhane
Members of the Irish Airline Pilots’ Association (Ialpa) began a work-to-rule industrial action on June 26 in pursuit of a 24pc pay claim on behalf of 800 members.
After an eight-hour strike, the issue was resolved on July 10 when the airline and Ialpa accepted a Labour Court recommendation. Members of the pilots’ union later voted in favour of accepting the deal.
Over 600 flights were cancelled as a result of the pilots’ action, disrupting the travel plans of about 84,000 passengers during the peak summer-holiday season.
“Following the resolution of the pilot pay dispute through a Labour Court recommendation which delivered structural change for the business, Aer Lingus is assessing the implications of the financial damage caused by the dispute in the context of the current competitive environment and the passenger cap at Dublin Airport,” a spokesman for the airline said.
“This will include a review of the weaker parts of the airline’s network and its cost base.”
Aer Lingus is assessing the implications of the financial damage caused by the dispute
The company has pointed out that American competitors increased their capacity into Ireland by 20pc this summer, which put pressure on Aer Lingus’ long-haul revenues, particularly in the economy cabin.
Before that, the airline had seen strong customer demand for major sun destinations and for European cities. While increased competition was seen in the economy cabin of transatlantic services, the airline said business class had continued to perform well.
The airline said it was looking forward to the arrival of fans in large numbers for the football game between Georgia Tech and Florida State on August 24 at the Aviva Stadium, which it sponsors. It expects over 20,000 fans to fly in from America for the game.
IAG, Aer Lingus’s parent company, reported an operating profit of €1.3bn for the six-month period, up €49m year on year.
The group said “continuing robust demand for travel in our markets supports positive unit revenue growth.”
Its board approved a 3c per share interim dividend.
Unions representing other groups of workers at Aer Lingus have met to discuss the implications of the pilots’ pay deal for their own members.
