explosive showdown behind closed doors: Minister reveals ongoing storm between DAA chief and board that could reshape industry power dynamics!

Ever notice how even the smoothest CEOs can find themselves tangled up in boardroom drama? Kenny Jacobs, the Dublin Airport Authority’s top dog since early 2023, seems to be in one of those classic corporate standoffs. Despite steering the DAA through a revenue surge and managing the chaos of Ireland’s busiest airport, the relationship between Jacobs and his board hasn’t exactly been a walk in the park. Word has it that Jacobs has brought in heavyweight legal counsel, hinting that his exit might be on the horizon—with whispers of a million-euro settlement making headlines. Makes you wonder: when it comes to leadership at major semi-state bodies, how much friction is just part of the flight path—and when does it call for a full emergency landing? Buckle up, because this high-altitude tussle isn’t cleared for landing just yet. LEARN MORE

A rift between the chief executive of the Dublin Airport Authority (DAA) and other board members is still ongoing, the Transport Minister has said.

Darragh O’Brien noted that “we are not there yet” with regard to a controversial exit package for DAA chief Kenny Jacobs.

This comes after reports last week revealing that Jacobs had engaged the law firm Arthur Cox to represent him in negotiations with the DAA executive board.

The tensions within the DAA were eventually brought to the attention of senior government figures, prompting concerns that there was serious disruption at the top of the semi-state body.

Speaking to RTÉ’s Morning Ireland yesterday, O’Brien didn’t comment on the ongoing negotiation, saying it was “an operational matter between the airport and the executive… I know that that’s being worked through and I just hope it comes to an agreed resolution.”

The rift initially emerged due to a disagreement between the board and Jacobs regarding the CEO’s managing style.

This was particularly in relation to the delivery of infrastructure and ongoing legal issues over the 32m passenger cap at Dublin Airport.

It is now understood Jacobs is considering leaving his job as CEO and that both sides are now negotiating his departure settlement.

If an exit package is agreed for Jacobs it will have to be signed off by both O’Brien and the Minister for Public Expenditure, Jack Chambers.

O’Brien did not share any details of what an exit package for Jacobs might look like, saying: “When and if anything comes to me, I will assess it at that stage.”

This follows a report by the Irish Times on Saturday which revealed that a settlement of €1m could potentially be included under proposals for Jacobs to leave his job.

O’Brien also gave no details about how the negotiations between Jacobs and the DAA are playing out, saying: “I can’t tell you anything about that because it doesn’t fall under my direct remit.”

Formerly the chief marketing officer of Ryanair, Jacobs took over as CEO of the DAA in January of 2023, with his contract running until 2030.

A 2024 financial report for the DAA highlighted that Jacobs had been paid the sum of €347,830 per year. Included in this was a basic salary of €284,235 and a further payment of €90,595 for pension contributions and other taxable benefits.

While his two-year tenure has marked strong financial performances for the DAA – the body reported a revenue increase of 9% last year – it also featured frequent clashes with local authorities.

The CEO faced intense backlash when he tried to increase the night-time hours during which flights could take off and land. Locals campaigned against the move claiming it would cause increased noise pollution.

During his time as CEO, the DAA also faced legal difficulties over attempts to increase the passenger cap, and was forced to initiate a judicial review to get the cap temporarily suspended.

Jacobs had also previously been the subject of two protected disclosure complaints by DAA staff members in relation to dignity-at work allegations. It is understood, however, that these allegations were not upheld and play no part in the ongoing negotiations.

The board is due to meet in Cork for a scheduled meeting this Friday which could see a final announcement about Jacobs’ future.

The DAA has maintained that Jacobs remains the CEO of the company, saying in a statement: “DAA does not comment on rumour or speculation and nothing should be inferred from this. Kenny Jacobs is and remains the DAA CEO. We cannot comment on board matters, which are confidential.”

Photo: Kenny Jacobs. (Pic: Andres Poveda)