Ryanair is protected against any Boeing price rises for the next decade, Michael O’Leary has said.

Around 33,000 Boeing workers went on strike in mid-September after rejecting a proposal for a 25% wage increase over four years.

The strike has halted production of three commercial airplane models and added further financial strain to the company.

Speaking to Newstalk Business Editor Joe Lynam, Ryanair CEO said the dispute was going to cost Boeing a “significant amount of money” – but said Ryanair was protected from any price increases for the next decade.

He said he had no interest in going to Seattle to help the company sort out the dispute.

“I have enough challenges dealing with the continuing growth of Ryanair,” he said.

“This year, we're growing from 183 million to 200 million passengers.

“I think Boeing, the strike will get solved in the next two or three weeks but clearly, it’s going to cost Boeing a significant amount of money in terms of pay increases.

“I think the next aircraft orders are going to be much more expensive but thankfully, Ryanair has already ordered all the aircraft.”

Ryanair CEO Michael O'Leary during a press conference at The Alex Hotel in Dublin, 03-10-2024. Image: Joe Lynam/Newstalk

He said Ryanair is “locked in at those prices” until 2033 or 2034.

“So, the good news is we'll still be buying cheap aircraft from Boeing and still delivering the lowest fares in Europe,” he said.

“I hope we'll be able to deliver some of that growth here in Ireland as soon as we get a transport minister who's willing to issue a letter to the IAA.”

Boeing strike

Boeing workers originally rejected the 25% pay increase, warning that the deal came with strings attached.

The plane manufacturer has since come back with what it described as its ‘best and final’ offer, a deal that would give workers a 30% rise over the four years, while also restoring a performance bonus.

The workers rejected the deal and are now holding out for a 40% increase.

Ryanair CEO Michael O'Leary during a press conference at The Alex Hotel in Dublin, 03-10-2024. Image: Joe Lynam/Newstalk

In his interview with Joe, Mr O’Leary again warned that one-way tickets into Dublin this Christmas will cost around €500 due to the ongoing passenger cap row.

He noted that the airport normally adds 250,000 extra seats each Christmas but is blocked from doing so this year by the cap.

He is calling on Transport Minister Eamon to issue a direction to the Irish Aviation Authority (IAA) to approve the additional slots, while Dublin Airport’s planning application to increase the cap is considered.

“The IAA want to receive the direction,” he said.

“They want to deliver growth at Dublin Airport but until he issues that letter, we're still sending flights to Belfast, to Italy and to Poland and the IAA are under pressure to reduce the number of seats next year by a million seats.

“I mean, the people who will make the most money out of that would be Ryanair.

“There'll be fewer seats at Dublin next year and massively higher airfares, again because Eamon Ryan won't sign the letter and send it to the IAA.”

Dáil bike shed

Turning to politics more generally, Mr O’Leary said Ryanair recently built a bike shed at its own offices for less than €20,000 – a fraction of the €336,000 spent by the OPW at Leinster House.

Despite this he laughed off Joe’s suggestion that he could work with the Government as their ‘efficiency Czar’.

“I'm fairly sure the Government is not going to ask me to be their efficiency Czar,” he said. “I’d start by firing most of them.”

Yesterday, Ryanair confirmed that it will scrap paper boarding passes and go fully digital in the next few months.