The European Commission has launched an in-depth investigation into the €1 billion ($1.08 billion) recapitalisation of SAS by the Danish and Swedish governments during the pandemic. The measure was initially approved by the Commission in August 2020 under temporary Covid rules, but was subsequently annulled by the EU’s General Court's on 10 May. SAS was undergoing severe financial distress in 2020 due to the impact of the coronavirus pandemic and related travel restrictions, with Denmark and Sweden stepping in to avoid the company’s collapse. The recapitalisation took the form of equity participation through the subscription of new shares, a rights issue, and newly issued state hybrid notes. Despite the Commission's approval in 2020, the General Court later found that the measure did not meet one of the conditions outlined in the Covid Temporary Framework. Specifically, the Court ruled that the Commission failed to require a step-up mechanism or an alternative mechanism with the same effect to ensure sufficient remuneration for Denmark and Sweden's investment and to incentivize SAS to buy back the shares acquired by the two countries as soon as possible. Following the annulment on 10 May, the Commission has decided to conduct a more thorough investigation to assess the recapitalisation measure. “Today’s opening decision confirms, on a preliminary basis, that the recapitalisation measure is largely in line with the conditions set out in the Covid Temporary Framework,” states Margrethe Vestager, executive vice president for competition policy. “The opening addresses the General Court’s judgment on the absence of a step-up mechanism. If this aspect satisfactorily is addressed, the concerns as expressed by the General Court would be resolved. On process, it should be possible to conclude the analysis by the end of the year. Today’s decision has no direct link with the ongoing work on the future of SAS,” she adds.

Emirates Group plans to accelerate its global recruitment drive in order to power its “next big growth phase,” including the induction of a wave of new aircraft. The UAE-based company is launching what it describes as a “mammoth drive” for talent for new crews, engineers, IT staff, pilots and customer services staff. It cites the need for new employees as it introduces the Airbus A350 and Boeing 777X starting next year, as well as “a buoyant travel market and an optimistic outlook overall.” "In the last financial year, we received around 2.7 million applications globally for roles across the organisation. We are using the latest technologies, such as digital assessments, artificial intelligence and other top-notch recruitment systems to shortlist, select and respond to candidates in the most efficient and effective ways. Our focus is on recruiting the best talent, the brightest minds, and those most fit for the various roles that will support and drive our future growth and expansion," states Oliver Grohmann, senior vice-president for human resources. The company, which chiefly comprises the mainline Emirates airline and airport services provider Dnata, employed just over 102,000 staff on 31 March, representing an increase of 17,000 people over 12 months. For cabin crew, it plans open days and events across six continents covering hundreds of cities. In the search for pilots, it is holding open days across the UK in August, following on from recent events in Europe. The group recorded record annual profits of $2.9 billion in May as the reopening of travel markets after the pandemic triggered a “tide of demand”, it said.

EasyJet has lost an appeal against a ruling that its European Works Council no longer exists following the UK's departure from the EU. The Court of Appeal agreed with an earlier ruling by the Employment Appeal Tribunal, which did not agree that the UK's withdrawal from the EU had led to the EWC ceasing to exist, stating that an EWC was also required under UK law. EasyJet has argued that after the UK's departure from the EU, its EWC – a mandatory body created for the airline to disseminate employment information and changes to staff – ceased to function. It noted that it had set up an EWC based in Germany for European employees, and suggested that establishing a corresponding UK version would lead to a "wholly anomalous position" which would be "burdensome on the company and its employees". All three Justices rejected this. Citing vagaries in its wording, a barrister acting on behalf of EasyJet more than once described the relevant UK employment regulations, amended as part of the process of leaving the EU, as "possibly not the best-thought-through piece of legislation". "I agree with those observations," noted Lord Justice William Davis.