singapore hotel: Qantas strike threat

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Friday February 28, 2014

Now: 22° Max: 24°

Qantas will meet with unions today to outline exactly which jobs will be axed, as workers threaten widespread strike action.

The airline will axe 5000 jobs, ditch unprofitable routes and retire ageing gas-guzzling planes, in the biggest shake up of its operations since it was floated.

It after chief executive Alan Joyce tried to stop leaking money – he announced a $252 million operating loss yesterday.

LISTEN: ‘It’s not the staff’s fault’ – Alan Joyce with Neil Mitchell

Alan Joyce deflecting heat on management – “The majority of the issues we’re facing are because of the environment we’re in” #qantas

— 3AW Melbourne (@3AW693) February 27, 2014

4000 of the axed jobs will go within 18 months, most of them from Melbourne and Adelaide.

It’s exected about 1500 of the 5000 jobs will come from management and administration.

“It would appear hard-working frontline staff are going to bear the brunt of poor management decisions,” Australian Services Union secretary Ingrid Stitt said.

Prime Minister Tony Abbott has ruled-out offering the airline a debt guarantee, arguing it would set a precedent for other companies.

Speaking in parliament today, Mr Abbott is instead pushing for changes to the Qantas Sale Act which would lift foreign ownership restrictions placed on the airline.

OTHER KEY POINTS

LISTEN: Australian Services Union secretary Ingrid Stitt talks to Neil Mitchell about a “black day”

LISTEN: Professor Sinclair Davidson tells 3AW Drive Qantas needs to make more job cuts and Alan Joyce should be sacked

LISTEN: Qantas pilot Adam Susz tells Tom Elliott airline management have no plans or vision for the future

Staff have been banned from talking – “That really annoys me,” said Neil Mitchell. “What are they going to do – re-employ them?”

A former chief economist at Qantas, Tony Webber, agreed that executive management deserved to take some blame.

“Their strategy for maintaining market share has failed,” Mr Webber told Neil Mitchell.

“(Joyce) has had five or six years to turn the airline around, and all we’ve seen is a deterioration in their performance.

“So on that basis you’d have to say that his position would have to be under extreme pressure, but I was saying that last year as well.

“The guy seems to have a knack of sticking around.”

At Melbourne Airport, Qantas staff are getting on with business as usual at the domestic terminal this morning, but passengers say they’re shocked at the job losses announced.

Sue, a regular Qantas traveller told 3AW News it will the airline hard.

“That’s alot of jobs and also an area where people have been feeling safe,” she said.

Regional passengers are worried their routes could be slashed as part of the restructure.

Others fear the announcement will push up ticket costs. Mr Webber said it probably will.

“The travelling public have had it pretty good for over a decade; it’s time for them to stump up,” he told Neil Mitchell.

“There’s been no increase in price for 10 years.”

Many passengers are asking how this got this bad in the first place.

“The guys who’s running it,” passenger Ray said, “Well, is he doing a good job?”

“Apparently not.”

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What a surprise more workers lose their jobs after Abbott/WORKCHOICES is elected.its the liberal way……

Hey, didn’t a high profile 3AW minion classify this this whole thing as Bulltish.
Haven’t seen a rebuttal, but I will not hold my breath waiting.

how can a australian carrier expect to be sustainable when qantas opted to purchase a380s instead of 777-300ers which are 50million less and more fuel efficient with similar seating capabilities for the long hauls routes which wants want to strive on.?
instead they opted for a380s and use there angling 747-400ers for the beloved american airlines hub dallas fort worth which is making the plans worked to capacity .?

why question to allan is why spend 403million on a a380? when you can spend 350million on a 777-300er which can go further faster and more fuel economical .? no brainer or is a hold to make qantas look good with there beloved partnership with emirates.?

all i know is australian workers are going to cope it on the chin for bad bisuness choices which is going to make the australian pubic and our brand suffer it is like de ja vu anset .?

so many us careers have had to merge because of economic crisis e.g. continental united
delta and northwest
klm and air france

just to name a few

a

It’s about time that we stop blaming all the companies that are RUNNING away from Australia and turn our attention on the HIGH wages and very good conditions that the unions have squished out for the worker. Australia CANNOT afford this anymore.

Tell Joyce to spend less on his hair DYE ?and he might save the AIRLINE.???

The union leaders won’t rest until every Australian business goes under. You only have to look at the ex union hacks in the Labor Party to see how they couldn’t lead a drunk into a pub.