Ryanair fined 8m euros by French court

Ryanair plane landing Ryanair says it will appeal against the fine

Related Stories

A French court has fined Ryanair more than 8m euros (£6.7m) after ruling that it had broken local labour laws.

The court found Ryanair acted illegally when it employed more than 120 staff on Irish contracts at its former Marseille operating hub between 2007 and 2010.

The low-cost airline said it would appeal against the ruling.

Ryanair was ordered to pay a 200,000 euro fine, but the court denied a request to fine it the equivalent value of the four aircraft based at the hub.

However, the firm also has to pay 4.5m euros of backdated social charges, 3m euros in pension contributions, as well as 450,000 euros in unemployment charges.

Ryanair's Robin Kiely said the firm would be lodging an early appeal.

"Since all of our people operating to/from Marseille between 2007 and 2010 have already paid their social taxes and pension contributions in Ireland, in full compliance with Irish and EU employment regulations, we do not believe that either Ryanair or our people can be forced to double pay these contributions a second time in France," he said.

The company noted that if it was forced to pay the social taxes and pension contributions in France, it believed it could reclaim the vast majority of those costs from the Irish government.

More on This Story

Related Stories

The BBC is not responsible for the content of external Internet sites

More Business stories

RSS

BBC Business Live

  1.  
    CO-OP GROUP 06:35: BBC Radio 4

    "Turkeys" and "angry birds" is how Michael Mol, professor of strategic management at Warwick Business School refers to senior managers at Co-operative Group on Today. He is "very worried" about their ability to take the right decisions. He thinks Co-op Group will have to find money to invest in the struggling Co-op Bank, despite only now owning 30% of the lender.

     
  2.  
    EASTER EGGS 06:25: Radio 5 live

    Are the walls of chocolate Easter eggs getting thinner? Yes, says Lee McCoy, editor of Chocolate Reviews, on 5 live. More shocking, there may be a shortage of the Easter treats. It seems Tesco have run out of a number of lines, especially eggs made by Cadbury and Nestle, as well as some Lindt and Mars eggs, the Daily Telegraph reports.

     
  3.  
    FOOTBALL 06:13: Radio 5 live
    Danny Mills, Robbie Savage, 2004

    More from Danny Mills. He's invested in a pasty company through private equity, but would he invest in football? Five-year contracts for staff (footballers) and the highest sporting wages in the world mean it's a game for "billionaires" he said. "You can't blame the footballers," he said, as anyone would take the money offered. Picture above shows Danny in his playing days, exchanging views with fellow BBC pundit Robbie Savage.

     
  4.  
    PASTIES 06:06: Radio 5 live
    Pasties

    Former England and Leeds footballer Danny Mills is part of an investment group that has bought West Cornwall Pasty Company from administrators. He tells 5 live: "There's a gap where banks just aren't lending," he said. The original company's strategy was "too aggressive" and expanded too quickly, which led to its demise. He blamed the pasty tax for the rising price of pasties.

     
  5.  
    CO-OP GROUP 06:01: Radio 5 live

    Michael Mol, professor of strategic management at Warwick Business School is on 5 live talking about Co-operative Group, which releases earnings today. "You have two different issues: the bank issue with huge losses," he said and "the group facing losses from the Somerfield acquisition". More losses could be on the way if they don't reform their governance structure, he said. They also have too many lay members who "don't know how to run a business," he said.

     
  6.  
    GOOGLE 06:00:
    Google building

    Google is likely to be under scrutiny today after it released results late on Wednesday that some considered disappointing. Google still made $3.45bn (£2.05bn) in its first quarter. But some are expressing concern about a surge in costs. That reflects Google's move into new businesses, including robotics and drones.

     
  7.  
    06:00: Howard Mustoe, Business Reporter

    Hello from me. Keep in touch via @BBCBusiness and bizlivepage@bbc.co.uk.

     
  8.  
    06:00: Ben Morris Business Reporter

    Good morning! Watch out for results from Co-operative Group due at 09:00. You can expect Google to be in focus today as well, releasing results which some investors consider disappointing.

     

Features

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.