Brussels Airlines may move HQ

[j636]

Brussels Airlines are considering moving there HQ to either Ireland or Luxembourg because of lower taxes and competition from Ryanair.

Brussels Airlines amenaza con dejar Bélgica si no recibe apoyo frente a Ryanair (http://www.hosteltur.com/174910_brussels-airlines-amenaza-dejar-belgica-si-no-recibe-apoyo-frente-ryanair.html)

[racedo]

Appears like a desperation move as not sure how moving location, paying redundancy to those who don't wish to move and then the set up costs of new HQ are going to improve matters.

Comes across as a we want a better deal to Govt / Local bodies style negotiation.

How financially secure is the airline ?

[Phileas Fogg]

As soon as they realise how much employers contribution to social security they shall need to pay for every employee registered in Luxembourg they'll soon realise to move elsewhere :)

[racedo]

Always move from a position of strength and when things are good rather than a knee jerk reaction.

[LGS6753]

If they are profitable, it could be to do with rates of Corporation Tax - very low in Ireland.
If that was the case, moving financial domicile doesn't mean moving lots of employees.

[racedo]

If they are profitable, it could be to do with rates of Corporation Tax - very low in Ireland.

Agree but they an airline 45% owned by Lufthansa......

I doubt any profit made would justify a move...

I see negotiation and some concessions by Belgians to keep them there.

[Coquelet]

"Delocalizing" was an idea of the managing director, Gustin. He was disavowed by the Chairman of the Board, Viscount Davignon :
Lalibre.be - Délocalisation de Brussels Airlines: Davignon calme le jeu (http://www.lalibre.be/economie/actualite/article/728956/delocalisation-de-brussels-airlines-davignon-calme-le-jeu.html)

Brussels Airlines - corp - Organisation (http://company.brusselsairlines.com/en_be/corp/our-company/organisation.aspx)

[pabely]

Just setup a new holding company in Isle of Man, zero corporation tax, and it will be all sorted! :E

[racedo]

Just setup a new holding company in Isle of Man, zero corporation tax, and it will be all sorted!

Gotta make money to pay Corp tax:E

[LGS6753]

Pabeley,

Is the Isle of Man in the EU?

[The SSK]

Nothing new under the sun ...

Luxair kills Sabena's Luxembourg pilot-pool plan (http://www.flightglobal.com/news/articles/luxair-kills-sabenas-luxembourg-pilot-pool-plan-22558/)