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Ryanair says it may freeze pay as fuel costs rise
Ryanair said Monday it is reviewing costs, including possible temporary pay freezes, after first-half profit fell 15 percent and it forecast a higher jet-fuel bill, according to the airline.
- RTE News is now reporting this
- New headline Was: “Ryanair says it may freeze workers' pay and raise airfares”
- Our desk filed its story
- New headline Was: “Ryanair may freeze workers' pay and raise airfares”
- New headline Was: “Ryanair may freeze workers' pay and raise fares on higher fuel prices”
1 earlier update
- The Guardian is now reporting this
Ryanair said Monday it is reviewing costs, including possible temporary pay freezes, after first-half profit fell 15 percent and it forecast a much higher jet-fuel bill if Middle East fighting continues1,3,4.
The Dublin-based carrier posted after-tax profit of 2.15 billion euros ($2.3 billion) for the six months through September, down from 2.54 billion euros a year earlier, as unhedged fuel prices rose3,4. Revenue rose 3 percent to 10.08 billion euros and passenger numbers rose 6 percent to 125.8 million4.
Chief executive Michael O'Leary said jet fuel prices are expected to stay high well into 2027 without a swift resolution of the conflict, and that a rise in European short-haul fares is unlikely to fully offset an estimated 2 billion euro increase in the fuel bill for the year ending March 20284. He told CNBC that European fares could rise by 10 percent or even 20 percent next year as hedges roll off3.
Ryanair said fuel through March 2027 remained 80 percent hedged at $67 a barrel4. Besides possible pay freezes on maturing labor deals, it said it is looking at airport talks, lower crew ratios and more use of artificial intelligence3,4. The BBC said it had asked Unite, which represents Ryanair staff, for comment1. No freeze or fare increase has been imposed.
Sources
- BBCRyanair says it may freeze workers' pay and raise airfares
- The GuardianRyanair considers pay freezes and reducing crew on flights as fuel costs soar
- CNBCRyanair CEO warns fares could rise by up to 20% in 2027 as fuel bill jumps by $2.2 billion
- RTE NewsRyanair's half year profit falls 15% as fuel costs rise
How it’s being reported
4 sourcesFirst reported by
RTE News
Ryanair says it may freeze workers' pay and raise airfares
Possible staff pay freeze and higher fares tied to a forecast extra fuel bill.
Ryanair said it is considering a temporary wage freeze as fuel costs surge after the U.S.-Israel war with Iran. BBC News
Leaves out Detailed first-half passenger and hedge figures.
Ryanair CEO warns fares could rise by up to 20% in 2027 as fuel bill jumps by $2.2 billion
O'Leary interview on fare hikes, hedges and winter capacity.
Michael O'Leary told CNBC European airfares could rise as much as 20 percent in 2027 as hedges roll off.
Leaves out Union comment.
Ryanair's half year profit falls 15% as fuel costs rise
Earnings figures, hedging and O'Leary statement on fuel.
Ryanair reported a 15 percent drop in half-year profit and said temporary pay freezes may be needed.
Leaves out CNBC interview remarks on a 10-20 percent fare range.
Ryanair considers pay freezes and reducing crew on flights as fuel costs soar
Gives this outlet’s account of the story.
Where they agree
- First-half profit fell 15 percent to 2.15 billion euros.
- The airline is reviewing costs including possible temporary pay freezes.
- It forecasts about 2 billion euros more in fuel costs if prices stay elevated.
- Management says European fares are likely to rise and may not fully offset fuel.
Where they differ
How large fare increases could be