Ryanair considers temporary pay freeze as fuel costs rise
The airline expects European airfares to increase to help cover a forecast €2bn rise in short-term fuel bills.
Ryanair is considering a temporary wage freeze for its staff to manage a sharp rise in fuel costs, according to BBC News.
The carrier said fuel prices have surged following the US-Israel war with Iran and expects them to remain high until a swift resolution to the conflict is reached.
The airline's pre-tax profits fell by 16 per cent to €2.4bn during the six months ending September, which Ryanair said was largely due to higher fuel costs.
While 80 per cent of its fuel bill has been hedged at fixed prices, the cost of the remaining fuel has doubled.
Chief executive Michael O'Leary said last month that he expects the firm and other airlines to increase fares by 15 per cent to 20 per cent next year.
Ryanair stated that increasing European airfares is unlikely to be enough to cover the costs, and it is looking into several measures including the proposed pay freezes.