Showing posts with label Qantas Airways. Show all posts
Showing posts with label Qantas Airways. Show all posts

Monday, December 19, 2011

Qantas Makes Peace Pact with Engineers’ Union

Qantas airline and the Australian Licenced Aircraft Engineers Association (ALAEA) have reached a truce deal. Nearly 1,600 licensed aircraft maintenance engineers will be covered under the agreement that was presented to Fair Work Australia today.

Qantas has managed to negotiate a truce with one of the three unions at the centre of the industrial clash that resulted in the grounding of the airline’s entire fleet in October.

Qantas Airways, Australia’s flag carrier, sealed a deal with the Australian Licenced Aircraft Engineers Association (ALAEA) by agreeing to a 3 per cent annual wage hike for the next three years. ALAEA represents 1600 licensed aircraft maintenance engineers.

The airline and the ALAEA presented the agreement proposal to the industrial regulator today.

Qantas’ Chief Executive Officer Alan Joyce said the airline is pleased that finally a deal has been negotiated between two parties.

“After such a damaging industrial campaign, this is a positive outcome that will allow Qantas to move forward with certainty,” Alan Joyce was quoted as saying in the airline’s media release posted on the website.

“The proposal submitted to Fair Work Australia is a good deal for Qantas and its licenced engineers. However, it does not contain any of the restrictive demands that would have handed control of parts of the airline to the union.

“Throughout the negotiation process, we have been willing to offer reasonable pay increases and conditions – provided the union withdraw its attempts to influence how Qantas is run,” Mr Joyce continued

‘The Flying Kangaroo’ will offer a three per cent pay rise in return for agreeing to new work practices put forth by the airline. The union also agreed to drop its demand for construction of a new hangar for Airbus A380s.

With a truce deal clenched, Qantas Airways will surely breathe a sigh of relief. The airline has been embroiled in labour disputes with three major workers’ unions for quite some time now. As a result, the airline was forced to ground each and every flight to and from Australia two months ago in order to force an end to ongoing industrial action. The move did not go too well with travellers as thousands were stranded at airports with all flights to Australia being suspended. Later, the Australian carrier was forced to offer cheap flight tickets and in some case even free tickets to win back passengers.

No Deal With Others

Any sort of compromise is yet to be reached with other two employee groups - ground staff and long haul pilots. It is expected that disputes with these unions will go to binding arbitration next year. Meanwhile, Australian and International Pilots Association (AIPA) has filed legal action against Fair Work’s order banning all parties from taking industrial action.

Qantas has plans to launch two other carriers in Asia next year. One of them is scheduled to be a low-cost unit in Japan that will be offer cheap flight tickets for air travel.

The other is planned to be a full-service airline based in Singapore or Malaysia.

Monday, November 7, 2011

Qantas - Free Tickets to Affected Fliers, Resumes Talks with Union

Qantas Airways hopes to tempt disgruntled travellers by offering free flight tickets to them. Offers for overseas customers and frequent fliers will be announced soon. Also, the airline met union members on Monday to start off negotiation process.

Qantas Airways is pulling out all the stops to win back customers. One of the world’s largest airlines is offering free air tickets to the travellers who were hit by the airline’s decision to ground the entire fleet in the midst of an industrial dispute.

Qantas, an airline not known for offering very cheap flights, said that passengers whose journeys were affected by the fleet grounding will be offered a free return economy flight within Australia or to New Zealand over a two-year period from Dec. 14. It sure means that the airline is doing all it can to attract travellers.

“This ticket offer is one of a range of initiatives we will be launching as a way of saying sorry as we move forward into this period of stability,” said Alan Joyce, Qantas Chief Executive Officer in a statement.

“Throughout the long period of industrial activity we have been acutely aware of the impact on our customers,” Alan Joyce added. As per the CEO, this is the Qantas’ way to gain back customer loyalty. And if reports are to be believed then ‘customer loyalty’ might cost Qantas as much as A$20 million.

The recent past really has been a troubled time for Australia’s flag carrier. Stung by a string of strikes, the airline decided to halt its operations all over the world on Oct. 29. Around 80,000 passengers were impacted by this drastic measure of the carrier.

Operations resumed as Fair Work Australia intervened. The airline and unions were given 21 days to reach a new contract or face binding arbitration.

Loyalty to be Rewarded

All the passengers will be offered compensation for all reasonable losses resulting from the fleet grounding, said Qantas.

“Now that no more industrial action can take place and the cloud of further strike action has lifted, we are 100 percent focused on what matters to customers, getting them to their destinations, safely, on time and in comfort, and in rewarding their loyalty to Qantas,” Alan Joyce was quoted.

Qantas will be making announcements for its overseas customers and frequent fliers soon. It remains to be seen what the airline doles out for these two very important segments of travellers. Will it be cheap flight tickets, more travel privileges or some other incentive?

Qantas-Union Talks Resume

Even as Qantas Airways is trying to tempt travellers with free flights, the airline met the union members for negotiations. This was the first meeting of the parties after the Australian airline grounded its entire fleet.

Secretary of the Australian Licensed Aircraft Engineers Association, Steve Purvinas stated that another negotiating session is slated for Thursday.

“By today (Monday), we’ll know whether Qantas are interested in negotiating an outcome or whether they’ll continue to stonewall — which has been the case up until now,” Purvinas was quoted as saying in news reports.

Saturday, October 29, 2011

Qantas Strikes to Impact 10,000 passengers on Friday

More than 10,000 passengers are to be affected as Qantas Airways cancels 70 flights amid another series of strikes by its ground workers. Qantas says the rolling strikes have cost the airline A$68 million so far.

Qantas Airways cancels 70 flights as the ground workers at airports all across the country decide to go on a strike.

The cancellation of 70 Qantas flights will affect more than more than 10,000 passengers on Friday.

If one looks at the cumulative figure of passengers who have been affected by the recent months of industrial action at Qantas Airways, then the number hovers around at a staggering 70,000! Past few months have indeed been quite troublesome for Australia’s national carrier with months of strikes by unions representing aircraft pilots, mechanics, baggage handlers and caterers.

Unions have apprehensions regarding the airline’s plans to move jobs offshore. Pay and work conditions are some other concerns of the unions.

Qantas chief executive Alan Joyce urges unions to put “more realistic” demands on the negotiation table.

“We urge the unions to stop this, to put to the table more realistic demands and to think about the jobs they're endangering around the country," he told the Nine Network.

"We've always said we want to do anything that will stop this disruption happening to our passengers - again I apologise to those customers that have been impacted by this."

On the other hand, unions questioned the ‘fat pay cheques’ of the management. "Engineers, like many other employees at Qantas, can't understand why plans to offshore jobs and sack 1000 people are being rewarded with cash bonuses and fat pay cheques to the CEO and management," Australian Licensed Aircraft Engineers Association (ALAEA)’s federal secretary, Steve Purvinas was quoted by news websites.

Qantas Says Strikes Have Cost A$68 million

The protracted labour dispute has cost Qantas A$68 million so far. The airline is loosing a further A$15 million per week in revenues. The situation has become really serious for the airline with a massive decline in the advance bookings on carrier’s flights.

With the peak holiday travel season of Christmas drawing near, travellers are getting wary of booking with Qantas Airways. Especially, travellers who make advance bookings in order to net cheap flight tickets are apprehensive as no one with cheap flight tickets would like to face a cancellation at the time of journey.

Qantas said that the industrial action, taken up by the engineers', pilots' and Transport Workers' unions, has cost the airline more than the Chilean volcanic ash cloud.

"This drawn-out and co-ordinated industrial campaign by these three unions is now having a major impact on Qantas," Joyce said in a statement on Friday.

"$68 million is a significant impact on the company and the costs will continue to rise."

"In comparison, the impact on Qantas from grounding aircraft during the recent volcanic ash cloud was $49 million."

Tuesday, October 18, 2011

Two More Aircraft Grounded By Qantas

For every traveller who thinks he will be able to net cheap tickets on Qantas flights in the current scenario, there is a flight that is being cancelled!!

Indeed, problems just keep on mounting for the Qantas Airways as the airline today decided to ground two more aircraft in response to the continuing industrial action from the Australian Licenced Engineers Association (ALAEA). The industrial action has caused a backlog of maintenance on the Qantas fleet forcing the carrier to ground airplanes. The grounding of two more aircraft will result in cancellation of 80 domestic flights and reduction of some 20,000 in the airline’s capacity.

With holiday travel season just around the corner, the timing of the industrial action, that begin in September, could not have been worse for the travellers who wish to seek cheap flight tickets. With heaps of flights getting cancelled and massive reduction in seating capacity, cheap flight tickets with Qantas currently seem like a utopia for the budget travellers.

As a result of the ban initiated by the ALAEA on overtime and work to rule, Australia’s flag carrier has been forced to scrap seven aircraft and cancel approximately 500 flights.

Alan Joyce, Qantas Chief Executive Officer, stated that the backlog of maintenance is a direct consequence of the continued union action. He said that the industrial action has resulted in the deficit of more than 60,000 man hours of maintenance and this is what has caused the grounding of aircraft.