Matt Shanahan urges urgent action to save aviation sector jobs
Matt Shanahan warned that Ireland's aviation sector faces severe damage from COVID-related travel restrictions and called on the government to reassess the sector's importance, provide contingent funding and prioritise retraining for displaced workers. He criticised current testing and quarantine plans and raised concerns about regional airports and international connectivity.
Aviation sector at risk
The deputy highlighted the scale of the problem - more than 140,000 people employed across aviation and ancillary services, a pre-COVID sector value of $4.1 billion and 38.1 million passengers in 2019. He recounted letters from pilots, cabin crew and ground staff struggling financially and unsure if jobs will remain when travel returns.
Calls for government intervention
He insisted the government must reassess the sector's role in national economic recovery and provide contingent funding to help aviation survive through the year. For workers who cannot be re-employed in aviation, he urged prioritising new training and access programmes to facilitate return to gainful employment.
Testing, vaccination and travel restrictions
The deputy criticised mixed messaging on reopening and noted dependence on the European Digital Travel Cert, potentially signalled for July 19th. He warned that unvaccinated travellers face at least one PCR test and up to 10 days quarantine, and said public health advice appears set against rapid antigen testing - a stance he argued will limit inbound tourism and travel recovery.
Regional airports and connectivity concerns
He raised serious questions about the future viability of regional airports after the failure of Stobart Air and urged clarity on plans to protect regional connectivity for foreign direct investment. He flagged Waterford Airport commitments on runway extension and questioned whether past sales, including the final tranche of state ownership in Aer Lingus, were now unwise - noting Aer Lingus represents approximately 5% of overall IAG commercial activity.
European recovery comparison and consequences
Shanahan pointed to European aviation recovery figures - tracking at around 46% of 2019 levels and rising, with some days exceeding 50% - and cited a sharp increase in activity elsewhere: Ryanair adding roughly 800 flights per day since June 1st (a 174% rise over two weeks) and national increases in Spain, Italy, Germany and France. He warned Ireland risks loss of competitiveness and international visitor numbers if current restrictions remain.
We publish thousands of recordings to make Irish politics transparent and resistant to manipulation. Spotted an error? Report it — together we are building a reliable archive of Irish politics.
Minister, I am very conscious that in speaking regarding the aviation sector, I am speaking about the future lives and livelihoods of over 140,000 people around the country who work in this sector, along with a huge number of ancillary service providers who themselves offer significant employment. The sector pre-COVID was worth $4.1 billion to the Irish economy. In 2019, 38.1 million passengers passed through the airports. The changing threats that COVID has been presenting have reduced passenger air traffic in and out of Ireland to a trickle, with a resultant dramatic fall in income from many of those employed in the sector. I have had numerous letters and emails from pilots, cabin crew, ground staff, husbands and wives who are in dire financial straits as they try to keep mortgages and other financial payments up to date on significantly reduced income, wondering all the while if they will have any job to return to. The narrative now is to look forward to opening up of the economy and build back better. Our aviation sector, one of the strongest performing components of our economy pre-COVID, has suffered hugely as a result of the need to try and protect our population at large. Government now need to reassess the importance of this sector to our future national economic recovery and to provide contingent funding to ensure this sector can survive the rest of this year as hopefully we build a recovery in the aviation component. For those for whom re-employment in the sector may not be possible, Government must prioritise new training and access programmes to offer these people an avenue to return to gainful employment. We have seen persistent mixed messaging on the aviation sector in terms of a possible reopening date, which appears dependent on our participation in the European Digital Travel Cert programme, potentially signalled at July 19th. This return promises some reinstatement of passenger travel in and out of Ireland, but for anyone unvaccinated, it will come at the expense of at least one PCR test and either enforced or agreed quarantine for up to 10 days after arrival into Ireland. These continuing restrictions are, judging by NPHET's contribution to the Transport Committee yesterday, going to remain in place until those flying are virtually fully vaccinated. Any proposals regarding rapid screen testing for those flying into Irish airports seems to be now completely off the table, according to the Chief Medical Officer, and it appears public health advice will remain consistent in taking no proactive measures to encourage travel or to initiate any type of antigen testing. That might help to restore inward and outward travel to Ireland to any greater degree. This is completely at odds with what is happening with other European peers. The strictures around testing and quarantine means that many of our traditional international tourism markets will only function to the degree that international travellers are fully vaccinated. This has obvious implications to international tourist visitation, possibly up to the end of this year and beyond, depending on what variants may be in circulation elsewhere. It is worth reminding ourselves that tourism visits to Ireland in 2019 were of the order of 17 million visitors, so we can see the breadth of the national problem we are facing. Serious questions now must also be raised regarding the future viability of our regional airports and perhaps even our international connectivity. Past decisions to sell the final tranche of government ownership of Aer Lingus now appear to have been unwise, and given that Aer Lingus represents approximately 5% of the overall IAG commercial activity, the degree to which the parent company will continue to offer further support to its Irish subsidiary remains unclear. Beyond offering soft loans, what else is government proposing to ensure that we retain as many travel connections as possible from our pre-COVID portfolio? Regarding the precariousness of our regional airports network, which has been clearly demonstrated by the failure of Stobart Air, what plans is government envisaging to ensure our regions have viable connectivity to support the activities of multiple FDI concerns based all around the country? I would highlight to you, Minister, I have a particular interest in Waterford Airport, where government has given commitments to the extension of the runway, and I wish to see these progress along with other sports regional air. Nothing in life stays the same, and neither does it in the aviation sector. Irish companies became some of the largest and best in the world in terms of aircraft financing and creating successful low-cost travel options. Albeit the sectors have been severely dented, it is worth noting that Ireland has a significant diaspora who will wish to visit these shores again, along with an abundance of international travellers who will want to visit here once the COVID situation is completely under control. It is the responsibility of government to ensure that we retain adequate aviation capacity in order to kickstart travel opportunity as soon as possible. Minister Ryan and yourself, Minister, must be encouraged to return to the House in coming weeks to highlight the ongoing planning to secure these objectives. If I could also raise a couple of speaking points with respect to European travel at the moment, just as a marker in terms of how we are doing. European aviation tracking is now at 46% of 2019 levels, and it is continuing to rise. In some days, it has actually exceeded the 50% level. Ryanair bought around 800 additional flights per day into the European aviation market since June 1st, a 174% rise in flights over two weeks. There have been high increases for many states. Spain is up 32%, Italy 40%, Germany 20%, France 15%. These are serious figures, Minister, which I know you are aware of, and they reflect our situation in terms of the loss of competitiveness and the loss of flying activity that we are doing, and I think we have to address this. Ireland's population is more than 1.1% of the European Union, and yet its allocation under the European Resilience Fund was only 0.75%. Can we not fight for more of this fund, Minister, to support our ailing aviation sector? I believe more can be done with respect to this. At the end of the day, Minister, we are in a very tough spot with respect to COVID, with respect to financially, but our aviation sector was one of the bright stars pre-COVID. We must do all we can and give all the support we can to try and ensure that this sector gets back on its feet as soon as possible. Thank you.
Thank you for downloading 🙏
If you publish this material on social media, we would be very grateful if you tagged VideoParliament. It helps us reach more people and keep building a transparent archive of Irish politics.
