The head of the Union of Aviation and Airport Workers said today that he is preparing for the collective dismissal of "several hundred" Portway workers at Lisbon, Oporto and Faro airports.
Union leader, Fernando Henriques said the decision has already been communicated informally by the company and the process will be "formally launched in the coming weeks" to accord with Portugal’s labour laws.
The collective dismissal is due to the scrapping of the Portway baggage handling contract with low-cost airline Ryanair.
Henriques says the contract ends on March 28th at Faro airport, followed by Francisco Sá Carneiro Airport in Oporto on June 2nd and Lisbon airport on July 6th.
The impact on Portway’s activity will be "significant," said the Sitava union leader as Ryanair represents 35% of Portway’s overall activity, and more than 50% of its activity in the case of Lisbon airport.
The decision to terminate the baggage handling contract came from Ryanair after Portway’s management said it intended to negotiate a rise in its prices as it was not making a profit.
Portway is owned by ANA which in turn is controlled by the French Vinci Group under a long-term contract to run Portugal’s airports.
"While it was a State-owned company, ANA always stimulated (by subsidising in various ways) the 'low cost' carriers including Ryanair. Portway did not make any money from the baggage handling but ANA ended up ahead from the per head fees earned from an ever increasing number of passengers.”
In the case of Ryanair, each flight handled by Portway currently earns the handling company about €350 but the operational costs are not less than €500. From the start, Vinci made it clear to Ryanair that prices had to go up.
However, says the union leader, Ryanair did not accept the renegotiation and opted to terminate the contracts.
Fernando Henriques says that “Ryanair has found an illegal but low-cost way of getting customer baggage unloaded by employing 'self-handling' which in practice is provided by Groundlink, which is only licensed to care for passengers."
Groundlink can provide a baggage handling service to Ryanair for around €270 per flight “because its workers are flexible and can work two hours a day for one company and another two hours for another company,” claims Henriques, failing to spot that if Portway's workers were as flexible, this discussion would not be happening.
"We questioned the Civil Aviation Authority a few months ago about this and still have had no answer," said Henriques, adding that "Ryanair feels comfortable in terminating the contracts with Portway because this is a banana republic and Ryanair thinks it need not comply with existing legislation, because the regulator just closes its eyes."
The union this week plans to present an injunction in Faro to oblige Groundlink and Ryanair to explain their agreement and is hosting a debate with various parliamentary parties and the Civil Aviation Authority to discuss ‘Baggage handling in Portugal - what is the future?’
Vinci management will shed no tears as its attitude to the unionised Portway company has been one of intolerance, mistrust and high handed decisions to sack workers on shaky pretexts.
By allowing the reduction of Portway staff, while being able to blame Ryanair, the handling company has been weakened and may be less likely to cause further problems during the summer season.
