Sour Love: Spanish Government Calling on Ryanair as the Company Threatens More Cuts

Posted by airobserver on April 30, 2011 · 3 Comments 

So, this time around, it seems that every time I look at the low-cost industry’s news most of it is just covering Ryanair. I’m not gonna act surprised, the company thrives on anything that’s being told about it, good or bad. However there’s a difference between the communication it generates by taking unconventional, controversial stances, such as the – now regular – announcement that’s it going to make passengers pay to use the toilets, and the “passive” communication, the one that spawns from all the white noise of background talk about the airline.

 I can hardly help it, but sometimes I feel the need to put the two in perspective. Like, right now, regarding the rough time Ryanair is giving Spanish airport. The company has never been “nice” with anybody it does business with, and in an extremely competitive sector, it’s a position that makes sense. Yet, it seems to be extra-tough on the Spanish market. Granted, the market is not an easy one, but Ryanair hasn’t been easy either. It has repeatedly lashed out against the AENA and Air Traffic Controllers, against unions and the right to strike, all objects it sees as a potential threat to its business.

 It has also been tough on airports, announcing drastic capacity cuts at Alicante and Girona. Adopting an extremely aggressive posture on the Spanish market, the company did something uncommon – for itself – and focused on Barcelona’s airport, a hub destination, electing to balance that choice with profound cuts at smaller regional airports. Needless to say, Spanish airports weren’t too found of it. Ever since, they’ve been struggling to find a replacement or negotiate fewer cuts.

 Yet, it seems that Spanish authorities are not completely defenseless. The Irish low-cost can be careless and furious, but it’s still bound to follow the law – even if it puts its best efforts in avoiding it to abide by it – something Spanish authorities are perfectly aware of. Recently the central government reminded the company that it needed to apply the compulsory 50% reduction granted to residents of the Balearic Islands. Something Ryanair had carefully avoided up until now. Yet, it’s not the first the company gets singled for the exact same reason.

 It could be a simple case of customer satisfaction, but usually local authorities tend to be way more supple with the law when it comes to keeping Ryanair around. The airline tends to behave with a high reactivity and react excessively whenever it’s under attack. In that case, it could mean that the central government is trying to gain back some leverage with Ryanair. Perhaps so to prevent further capacity cuts, perhaps also to protect Spanish transport’s interests in the Balearic Islands, a heavy traffic destination in Spain.

Filed under AO Article · Tagged with AENA, alicante, ATC, capacity cuts, girona, Ryanair, spain, strikes, unions