A French court imposed EURU10 million of fines and damages on Ryanair.


New York (AirGuideBusiness - Business & Industry Features) - Thu, Oct 3, 2013

A French court imposed EURU10 million (USD$13.5 million) of fines and damages on Ryanair on Wednesday Oct. 2 for work law breaches and the airline said it would appeal to European courts. The ruling, linked to the treatment of local workers employed on foreign contracts, came days after Ryanair unveiled plans to overhaul an "abrupt" corporate culture and ease a reputation for treating customers badly. "By refusing to submit to French law... Ryanair managed to dump its social costs, which in turn allowed it to reduce its operating expenses, particularly those relating to staff," the prosecutor said in the ruling by a court in southern France. Ryanair was ordered to pay EURU200,000 of fines and more than EURU9 million in backdated social charges and pension contributions for using Irish-registered workers at its Marseille transport hub between 2007 and 2010, the court said. The penalty was less than prosecutors wanted, which amounted to the value of the four Boeing 737s based in Marseille. The Dublin-based airline argued that by posting Irish-registered...

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