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Europe Daily Bulletin No. 11107
SECTORAL POLICIES / (ae) transport

Aviation sector opposes Norwegian Air schemes

Brussels, 24/06/2014 (Agence Europe) - The European Transport Workers Federation and the Association of European Airlines have expressed concern about a scheme by Norwegian Air to operate to the US from a base in Ireland.

In a joint statement in the context of social dialogue, the two associations criticise the new business model which may be said to resemble a “flag of convenience”. Norwegian Air is subject to European aviation legislation but is seeking to establish its headquarters in Ireland, employ European staff under Singaporean contracts and begin new cut-price flights to the US. The scheme would take advantage of legal loopholes in the different European rules that apply (Regulation 1008/2008 on aviation service operations and Directive 2011/98 on a single permit) in an effort to avoid as many social obligations as possible. The social partners are extremely concerned and are recommending that the European Commission put a stop to developments of this kind as soon as possible, before these practices become widespread (as they are in the maritime sector). The two associations are also suggesting reviewing legislation in this field as well as legislation on work permits for non-Europeans and extend its application to mobile workers in the civil aviation field.

The associations are also stepping up pressure on the Commission to ensure that authorisation to operate flights to and from the US are not granted to Norwegian Air by the US authorities. European Commissioner for Transport Siim Kallas, however, stated earlier this month in the press that any decision not to authorise the airline to operate trans-Atlantic flights would be against the spirit of the EU-USA “Open Skies” agreement. (MD)

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