Section 1 Short title
This Act may be cited as the “Flags of Convenience Don’t Fly Here Act”.
Flags of Convenience Don’t Fly Here Act
A BILL
To ensure that permits issued by the Secretary of Transportation to foreign air carriers under the United States-European Union Air Transport Agreement of April 2007 do not undermine labor rights or standards, and for other purposes.
Sec. 2 Foreign air transportation under United States-European Union Air Transport Agreement
The Secretary of Transportation may not issue a permit under section 41302 of title 49, United States Code, or an exemption under section 40109 of such title, authorizing a person to provide foreign air transportation as a foreign air carrier under the United States-European Union Air Transport Agreement of April 2007 (as amended) in a proceeding in which the applicability of Article 17 bis of such Agreement has been raised by an interested person, unless the Secretary—
finds that issuing the permit or exemption would be consistent with the intent set forth in Article 17 bis of the Agreement, that opportunities created by the Agreement do not undermine labor standards or the labor-related rights and principles contained in the laws of the respective parties to the Agreement; and
imposes on the permit or exemption such conditions as may be necessary to ensure that the person complies with the intent of Article 17 bis.
Sec. 3 Public interest test
Section 41302(2) of title 49, United States Code, is amended—
in subparagraph (A) by striking “under an agreement with the United States Government; or” and inserting “; and”; and
in subparagraph (B) by striking “the foreign air transportation” and inserting “after considering the totality of the circumstances, including the factors set forth in section 40101(a), the foreign air transportation”.
Sec. 4 Public interest requirements
Policy— Section 40101(a) of title 49, United States Code, is amended by adding at the end the following:
“(17) preventing entry into United States markets by flag of convenience carriers.”
International air transportation— Section 40101(e)(9) of title 49, United States Code, is amended—
in subparagraph (D) by striking “and” at the end;
in subparagraph (E) by striking the period at the end and inserting “; and”; and
by adding at the end the following:
“(F) erosion of labor standards associated with flag of convenience carriers.”
Flag of convenience carrier defined— Section 40102(a) of title 49, United States Code, is amended—
by redesignating paragraphs (21) through (47) as paragraphs (22) through (48), respectively; and
by inserting after paragraph (20) the following:
“(21) “flag of convenience carrier” means a foreign air carrier that is established in a country other than the home country of its majority owner or owners in order to avoid regulations of the home country.”