Aer Lingus settlement in sight

Pilots walked out in a row over rosters

DUBLIN, Ireland -- The industrial dispute that has grounded Aer Lingus flights for almost one week appears to be over after a compromise deal was thrashed out.

Aer Lingus executives said they would accept the settlement to end the dispute which has stranded tens of thousands of passengers and is costing the airline two million euros ($1.9 million) a day.

And the committee of the Irish Airline Pilots Association, affiliated to the pilots' trade union Impact, confirmed it would recommend that pilots accept the proposals.

Aer Lingus pilots walked out on a one-day strike last Thursday in protest at plans to shorten their rest time between flights.

Despite pilots turning up for work after the 24-hour stoppage Aer Lingus managers grounded flights until a deal was reached.

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The trade union SIPTU, representing ground staff, has warned that the dispute could destroy the airline, and tourism and business executives have issued dire warnings for Ireland's economy.

Airline management and Impact agreed on Sunday to receive recommendations from Ireland's Labour Relations Commission after a hearing in Dublin's Labour Court ended in the early hours.

However, even if the dispute is quickly settled, Air Lingus said it would be unable to resume flights until Wednesday at the earliest.

"Having considered the recommendation in full, Aer Lingus has indicated its acceptance to the court that implementation of this recommendation will meet in full the objectives of the survival plan," the airline said in a statement.

Press reports said the proposed settlement included limits on the number of times the airline could order pilots to fly after rest periods of only 10 hours and also contained other rules on days off, early duty and in-flight rest.

The proposal reportedly required the pilots to accept other elements of the airline's survival plan.

Impact has challenged that plan, which was drawn up with mediation by the Labour Relations Commission in October. The airline suffered heavy financial losses after the Sept. 11 terrorist attacks in the United States.

Seven Aer Lingus pilots have been suspended for refusing to observe new work schedules, which involve less rest time between flights.

Pilots have been taken off the payroll until the dispute is resolved.

The airline is expected to lose at least 130 million euro this year ($120 million) after an estimated 90 million euro ($80 million) loss last year.