DAA CEO Kenny Jacobs Engages Lawyers Amid Board Dispute

DAA’s chief executive, Kenny Jacobs, has sought legal representation from the law firm Arthur Cox as he navigates a significant dispute with the board of the State-owned airport operator. This conflict may lead to Jacobs’ departure after less than three years in his role. Reports indicate that the DAA board, chaired by Basil Geoghegan, has engaged rival firm McCann FitzGerald to handle negotiations.

The involvement of both legal teams follows persistent tensions between Jacobs and the board. Kieran Mulvey, a veteran in industrial relations, is mediating discussions between the two parties. While CEOs of Irish semi-state companies typically have five-year contracts, Jacobs’ agreement is set for seven years, with a remaining salary exceeding €1.2 million. In the previous year, Jacobs received a basic salary of €285,000, but his total remuneration, including pension and benefits, approached €375,000.

If an exit deal is reached, the Minister for Transport, Darragh O’Brien, must be notified, especially if it involves a significant settlement. Jacobs faced a protected disclosure complaint from a DAA staff member regarding workplace matters, but sources confirm that the allegations were not upheld after review by senior counsel.

DAA has stated that it cannot comment on protected disclosures due to legal constraints, and emphasized that all such concerns are thoroughly reviewed. “We confirm that no complaints have been upheld,” a company spokeswoman remarked. The board’s issues with Jacobs have escalated to the point of involving senior government officials, although neither Jacobs nor representatives from Arthur Cox provided comments on the ongoing situation.

The friction within the boardroom comes at a critical time for DAA, as the organization seeks approval from Fingal County Council to increase the annual passenger capacity at Dublin Airport from 32 million to 40 million. This effort is part of a larger development plan, which includes a €2.4 billion investment proposal submitted to the council in late 2023. However, the application is currently stalled due to delays in documentation required by noise regulators.

Compounding these challenges, DAA received an enforcement notice from Fingal County Council in June after breaching the 32 million passenger cap last year. The council has granted DAA a two-year compliance window, although the High Court has paused restrictions pending an important ruling from the European Court of Justice.

In response to the enforcement notice, the DAA board has decided to pursue a judicial review. Geoghegan confirmed this decision, stating, “The board of DAA agreed to the application for judicial review. We continue to work constructively with Fingal County Council to achieve a successful infrastructure application, which will safeguard Dublin Airport, its customers, and communities while contributing to Ireland’s economic success.”

As the dispute unfolds, the future of Jacobs and the direction of DAA remain uncertain, with ongoing negotiations likely to shape the organization’s leadership and operational framework in the coming months.