Ryanair today (2 Oct) confirmed that it will appeal this afternoon’s ruling by the Aix En Provence Court which imposed fines and damages totalling €8m, the majority of which relate to alleged non-payment of social insurance and state pension contributions in France for Ryanair crews flying to/from Marseille from 2007 to 2010, despite the fact that these people were employed on Irish contracts, operating on Irish registered aircraft (defined as Irish territory) and have already paid their taxes, social taxes and state pension contributions in Ireland, in full compliance with Irish and EU regulations.
Ryanair believes there is a clear contradiction between current EU employment regulations under which these Irish workers paid their taxes and social taxes in Ireland, and the 2006 French decree, which seeks to require airline crews operating in Ireland to pay social taxes and pension contributions in France, despite the fact that they have already paid them in Ireland.
Ryanair believes this contradiction can ultimately only be resolved by the European Courts upholding EU regulations on the employment of mobile transport workers, and Ryanair intends to pursue this appeal all the way to the European Courts. Should Ryanair be ultimately forced to pay these social taxes and pension contributions in France, then the vast majority of these contributions will be reclaimable from the Irish Government.
Ryanair’s Robin Kiely said:
“Ryanair will study today’s ruling in detail, and will 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.