Ryanair may freeze workers' pay as fuel prices spike

What the report says

Ryanair is weighing a temporary freeze on staff pay as it looks for ways to offset a sharp increase in fuel costs, according to BBC World News. The airline said its expenses have been pushed up by the conflict involving the US, Israel and Iran, and it warned that fuel prices could stay elevated well into 2027 unless there is a swift resolution.

The carrier said its fuel bill is expected to be about €2bn higher in the short term. It also said European airfares are likely to rise, but that higher ticket prices alone may not fully cover the extra cost. BBC reported that Ryanair has contacted the union Unite for comment.

The airline said its pre-tax profit fell 16% to €2.4bn in the six months to the end of September, with higher fuel costs a major factor. It said 80% of its fuel needs were hedged, meaning bought in advance at fixed prices, but the remaining portion has become much more expensive.

The developments matter because fuel is one of the biggest costs for airlines and can affect fares, wages and profits across the sector. In broader industry context, aviation fuel prices have climbed this year as Middle East conflict has disrupted supply and tightened competition for refined products.