Tensions Rise Between DAA Board and CEO Kenny Jacobs

A significant rift has developed between the board of the DAA (Dublin Airport Authority) and its CEO, Kenny Jacobs. This discord centers around critical business decisions as the organization navigates challenges related to infrastructure development and ongoing litigation concerning the 32 million annual passenger cap that limits airport expansion. The situation has attracted the attention of senior government officials who express concern over potential disruptions within the semi-State company.

Multiple sources indicate that the ongoing board discussions have revealed a “large majority” of directors dissatisfied with the evident divisions. In response to inquiries about the situation, a DAA spokeswoman stated, “Kenny Jacobs is and remains the DAA CEO. We cannot comment on board matters, which are confidential; however, robust discussions can and do occur, which is the sign of a functioning board.” Despite attempts to reach Mr. Jacobs for comment, he did not respond to messages from The Irish Times.

Complex Challenges for Dublin Airport

In late 2023, the DAA submitted a €2.4 billion investment plan to Fingal County Council aimed at enhancing Dublin Airport’s infrastructure. This ambitious proposal includes upgrades to Terminal One, construction of a new pier at Terminal Two, and the addition of a tunnel beneath the airport’s crosswind runway. However, the application remains pending as local authorities await necessary documentation from the DAA, causing significant delays.

Simultaneously, the DAA faces hurdles in securing approval to raise the annual passenger limit at Dublin Airport from 32 million to 40 million. This cap was originally imposed in 2007 as a stipulation for the construction of the airport’s second terminal. The cap was exceeded in 2022, when 33.3 million passengers traveled through the airport, prompting Fingal County Council to issue an enforcement notice to the DAA in July 2023.

The DAA has responded by initiating a High Court judicial review regarding the enforcement notice. The passenger cap was intended to alleviate concerns about traffic congestion surrounding the airport, yet advancements in local road infrastructure have occurred since its implementation. Although Fingal County Council has not yet reached a decision on lifting the cap, the restriction has been effectively on hold since April 2023 due to various legal challenges, with one element of the case pending a ruling from the European courts. The enforcement order allows a two-year compliance period for the passenger capacity conditions, even as the cap suspension continues.

Kenny Jacobs’ Leadership Style Under Scrutiny

Taking the helm as DAA chief executive in late 2022 following Dalton Philips, Mr. Jacobs began his seven-year term in January 2023. His previous experience includes over six years at Ryanair, where he served as chief marketing officer and oversaw the airline’s digital, customer service, marketing, and communications strategies. In a May interview with the Sunday Independent, he characterized his leadership style as a “take-no-s**t” approach, asserting that the DAA has enjoyed two consecutive years of record performance.

“We’re high performing,” he stated. “Yeah, we’re sticking our elbows out – and I’m comfortable with us having an uneasy relationship – because of our ambition and because we are really, really performing quite well.” Such comments have reportedly unsettled some officials within the Department of Transport, highlighting the friction between Mr. Jacobs and certain stakeholders.

As the DAA navigates these complexities, the organization’s future direction and leadership dynamics remain uncertain. The successful resolution of these internal conflicts could significantly influence the trajectory of Dublin Airport’s expansion plans and operational capabilities.