Ryanair has announced that it is to freeze its senior management’s pay in light of the recent increase in oil prices.

Ryanair has announced that it is to freeze the pay of its senior management as part of a cost-cutting plan to off-set the increasing price of fuel.

The low-fares airline is also looking at other ways to cut costs within its business, including airport, handling and staff costs, and other operating expenses.

Opec, the Organisation of the Petroleum Exporting Countries, reported the cost of oil on Wednesday 26 March to be US$98.42 a barrel, and media reports on Thursday 27 March put oil at a cost of US$107.

Michael O’Leary, Ryanair’s Chief Executive, said that the company’s senior management should lead by example: “None of Ryanair’s senior management team (comprising over 30 individuals) will receive any pay increase this year unless the current high oil prices fall, and until we can see some prospect of profits being increased.    
 
“Ryanair will continue to guarantee the lowest fares and no fuel surcharges on every route we operate. This can only be achieved in a period of higher oil prices by reducing costs in every other area.”