EasyJet will establish a new Vienna-based airline so it can continue its European operations after Brexit as UK carriers look to minimise disruption and maintain flights within the continent from 2019. The establishment of “EasyJet Europe” will allow the low-cost airline to continue to operate flights within European countries, even if the UK and EU fail to sign a deal that preserves all the benefits of the single aviation market. EU rules state that an airline must be based in Europe in order to fly across the continent. EasyJet said on Friday that its application for an “air operating certificate” in Austria was “well advanced” and final approval was expected in the coming weeks. The move will create up to 20 administrative jobs on the continent and the airline’s staff in the EU will now work for the new company. The establishment of a base in Austria means the group will become a pan European airline, with businesses registered in Austria, the UK and Switzerland. This will allow easyJet’s UK aircraft to operate UK-EU routes and its Austrian aircraft to operate intra-EU routes, even if UK carriers are not granted access to the single aviation market. It does not solve all the airline’s Brexit troubles, however. Strict EU rules limit non-EU ownership and control of an airline to 50%, and easyJet has previously warned that it is set to exceed this threshold once its UK shareholders are no longer classed as EU nationals.<br/>
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EasyJet will announce Monday that CEO Carolyn McCall is stepping down from the discount carrier to take up the same role at broadcaster ITV, according to a person familiar with the matter. McCall told the airline’s board of her decision Sunday, according to the person, who asked not to be identified discussing the switch. McCall has offered to stay at EasyJet through year-end while the company seeks a successor, the person said, adding that a search firm is set to begin the hunt immediately. Representatives of EasyJet and ITV declined to comment. McCall, 55, took over at EasyJet in July 2010 after rising to the helm of the Guardian Media Group. Since then she has helped transform the European aviation industry along with rival Ryanair Holdings Plc through the rapid expansion of low-cost carriers. More recently the airline has struggled with the impact of Britain’s vote to exit the European Union, the collapse of oil prices and a string of terror attacks which has driven a slump in ticket prices. The next EasyJet CEO must “increase focus on cost management and possible restructuring," Daniel Roeska and Caius Slater, analysts for Sanford C. Bernstein, wrote Sunday in a note to investors. “We think bringing in an external candidate, given the required qualifications, with fewer ties to the organization and a fresh view, may be beneficial for shareholders."<br/>
Norwegian Air’s UK subsidiary has been given tentative approval by the US Department of Transportation for a foreign air carrier permit. The low cost airline applied for the permit in late 2015, but it was met with strong opposition from US airlines and unions who maintain that looser employment laws would give the European carrier an unfair advantage. Norwegian said “the approval reaffirms that the NUK (Norwegian UK) application is in full compliance with the EU-US Open Skies Agreement.” “Tentative US approval for our UK subsidiary is a positive step toward being able to offer millions of passengers even more new routes and lower fares,” Norwegian CE Bjørn Kjos said. Pilot union ALPA said it was disappointed by the DOT decision, made “without requiring information about how the airline’s crews will be employed or how its business model will affect US jobs.” The union added that “though the employment model of Norwegian UK is not clear, its Irish sister airline, Norwegian Air International, has employed pilots and flight attendants under Asian contracts.” The DOT approved a foreign carrier permit for Ireland-based Norwegian Air International in December 2016. The parent airline’s home country Norway is not a member of the European Union, but the Irish subsidiary can operate under the US-EU Open Skies agreement giving it full rights to fly between the US and EU countries.<br/>
Philippine Airlines is resuming its nonstop flights between Abu Dhabi and Manila before the end of the year, the carrier confirmed recently. The flagship carrier said that effective October 31, its direct thrice weekly service will return in order to cope with increased demand. This after the airline announced in May 2017 the temporary suspension of its service on the route to pave way for “route assessment initiatives.” “Effective October 31, Philippine Airlines shall resume its nonstop thrice weekly service between Manila and Abu Dhabi after experiencing demand for flights on the route,” the airline said. <br/>