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Ryanair Launches Legal Action Against French Authorities

by Ulrika Lomas, for LawAndTax-News.com, Brussels

05 January 2007

Budget airline Ryanair on Wednesday announced that it has filed a legal action against the French Government regarding a new labour decree recently adopted in France.

Ryanair has argued that the French authorities are attempting to oblige foreign airlines to apply national labour laws when they have aircraft based in the country, which it sees as contrary to the European free market for airline services, and "a clear attempt to protect Air France from competition".

Commenting on Wednesday, Ryanair’s Head of Regulatory Affairs and Company Secretary, Jim Callaghan, confirmed that:

“Ryanair has filed a legal action in the French Conseil d’État requesting it to overturn this unlawful and anticompetitive labour decree. The decree tries to force foreign airlines to apply French labour laws when they base aircraft in France. This is contrary to European laws on free movement of labour and services and the freedom of establishment and is also contrary to the liberalised air transport market."

"This decree is clearly designed to discourage foreign airlines from establishing a base of operations in France in order to compete with the high fare monopoly, Air France."

"Ryanair has also filed a complaint to the European Commission calling on them to overturn this unlawful labour decree.”

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