Michael O'Leary: 3% pay rises for staff - but not until 2012

Ryanair staff could be facing pay freezes for the next three years as the low cost carrier tries to keep a lid on costs as oil prices surge once more to over $80 a barrel. Actuarial valuations by the airline envisage there will be no pay increases until 2012, although there may be rises of 3% after that.

The company's filings have been analysed by the firm Company­reporting.com and the analysis found that in Ireland 3% pay increases beyond 2012 could be envisaged and 4% for the UK. The difference between the two figures presented a "lack of clarity'' said the firm. Ryanair declined to comment on its likely pay policy in the period ahead.

Ryanair is currently weighing up a major fleet deal with Boeing. Chief executive Michael O'Leary has said if the Boeing deal is not signed by year end a special dividend for shareholders could be considered.