EasyJet, Ryanair must use French employment law

[Global Pilot]

RTE, Irish national TV/Radio station reporting:
France's top administrative court has told easyJet and Ryanair to apply French labour laws for staff operating out of the country, dismissing a bid by the airlines to bypass local working norms.
The two carriers had appealed against a decree introduced last year that obliged foreign airlines to apply French labour laws for crews of aircraft based here.
Ryanair said the decree contravened European laws on the free movement of labour and services.
But France's Conseil d'Etat threw out the complaint and ordered both airlines to pay €2,500 in judicial costs, the court said in a statement today.
Ryanair said it would take further legal action and said it has requested that the EC launch an official infringement procedure against France over what it said was an unlawful decree
http://www.rte.ie/business/2007/0713/ryanair.html

[psyan]

Well I hope they are successful but I doubt they will be in the short term. In the holiday industry [hotels etc] owned by UK companies, many have to comply with local labour laws. Some employ dubious practices to be seen as complying but in reality they do not.

I am curious as to precisely what changes such compliance would mean and whether the crews involved would be better or worse off irrespective of the carriers view. Anybody able to answer?

Best Wishes

[green granite]

I'm quite sure that had it been to their advantage to use French employment law these 2 companies would have done so, therefore the employees will probably be better served by compliance to the law, isn't there a 35hr week in force in France?

[green granite]

Info on French employment law

http://www.triplet.com/50-10_employment/default.asp

One of the "laws"
Legislative changes in 2002 mean that French Law is fast moving towards a situation where in essence the French entity (as opposed to the group to which it may belong) must be in a sufficiently severe economic situation to justify laying off staff or making them redundant.

[Desert Diner]

Sounds like hiring a third party ground handling operation and not basing any planes there.

[Torycanyon]

Flybe got their @rse's Well and truly kicked over this when they shut down their Base's in CDG, LYN and TOU. It cost them a fortune in compensation. Typically 120K for Captains, 80K for F/O's. I'm not sure what settlement the Cabin Crews received. :=

[captplaystation]

The real losers in this will be the pilot's (French or otherwise )based in MRS, and those who hoped in the future to be based in BVA. That will be the end of Froggy bases and flights will now transit from bases in other EEC countries who choose to respect European legislation- rather than selectively applying their own - coincidentaly after their national flag carrier sets up a (ha ha) low cost subsidiary. Interesting to see that Transavia (vf) have their company address well away from Sarko-land, wonder where their employment contracts are registered? "Do as I say not as I do" applies I suppose.

[CamelhAir]

Alternatively, captplaystation, it will encourage other countries to actually uphold employment law with regard to ryanair. Ryanair carries on its multitude of illegal employment practices because it can. Anything that challenges ryanairs belief that its above the law can only be a good thing.

[rubik101]

What it really means is that the French Tax authorities will be able to deduct tax from the RYR and EZY employees under their own local laws. The losers are the employess, who have been avoiding tax liabilities until now.

[rockandroll1]

No, as long as Ryanair is a loser, EVERYONE else is a winner (in the long run).

[Phileas Fogg]

Amazing,
Agree with the French if it's against Ryanair but when it comes to the 60 y/o issue it's a different matter :)

[ZBMAN]

What it really means is that the French Tax authorities will be able to deduct tax from the RYR and EZY employees under their own local laws. The losers are the employess, who have been avoiding tax liabilities until now.

Not true... pilots based in France on a uk contract and who are also french residents pay some of their tax in France. There is a double tax treaty between the uk and France you know.
The problem here is not income tax which is much lower in France than in the UK, but the amount of social contributions (ie National Insurance), which is circa 20%-25% for the employee. I can't remember how much the company pays but I've been told it can be as much as 8 times as much as in the UK.
Employing someone is so expensive in France that most companies get exemptions in order not to pay the full rate of social contributions. It is a ludicrous system however our present goverment seem to be willing to address this.

[piton]

Captplaystation,

Transavia France is a fully independent French company using Transavia (Holland)'s expertise and modes of operating. All contracts are French and even the BOM had to be translated. Anyway Dutch law is possibly even more restrictive as to laying people off etc than French - and we have up to 52% income tax. Admittedly the French strike (way) more and work shorter hours.....

[sarah737]

A european court would have been more objective ...:rolleyes:

[PenTito]

So, Vueling is next in line of fire??? :rolleyes: