Low-cost airline Ryanair has slapped a hefty fine in Spain following a strike that occurred in 2018. The reason for this is that they initially refused to compensate the passengers affected by the two days of the strike in July 2018.
Over the two days, Ryanair had to cancel a total of 320 flights to/from and within Spain due to a cabin crew industrial dispute called for by unions. However, the carrier refused to pay compensation to the affected passengers in accordance with the Air Passenger Rights Ordinance and took the view that a case of force majeure was present.
Among other things, the European Court of Justice has determined in comparable cases that announced strikes are not force majeure but a normal entrepreneurial risk, especially since there are enough possibilities to avert them in advance. In other words: If entrepreneurs let it escalate to the point of strikes, they also have to live with the fact that the passengers affected have to be compensated.
Since Ryanair refused, the Spanish civil aviation authority imposed a fine of 5,6 million euros. On the other hand, the Irish low-cost airline went to court. Formally, there are two procedures. The low-cost airline can still appeal the decision made by Spain's National Court. The situation is very different with the other part of the fine, because the Spanish Supreme Court has already dismissed Ryanair's appeal and confirmed the decision of the lower court. This judgment can no longer be appealed.
The National Court decided – not yet final – that Ryanair has to pay a fine of 3,04 million euros. Mathematically, this corresponds to 9.500 euros per canceled flight. Carrier may appeal this judgment to the Supreme Court.
The other part of the fine is 2,56 million euros and was finally decided by the Supreme Court. He rejected the appeal that the low-cost airline had lodged against the lower court's decision. Arithmetically, Ryanair has to pay a fine of 8.000 euros for each canceled flight.