Two days. 70,000 stranded passengers. 600 canceled flights.
In one of the worst labor disputes in a decade, Qantas Airlines resumed flights as of mid-Monday after orders from the Australian government.
Following months of intensified labor disputes between Qantas and employee unions, the airline’s CEO Alan Joyce made the immediate decision on Saturday to ground the fleet of 108 aircraft in up to 22 countries until unions reached an agreement with the company.
Paul Howes, a spokesman for the Australian Workers Union, released a statement on the union website: “Words can’t express our anger over the unilateral decision Qantas management has taken. Unions rightly give 72 hours notice before industrial action, but Qantas management has given no notice before this wildcat grounding of their fleet.”
The recent labor disputes voiced employee concern over wage inequality and the moving of jobs out of Australia. In fact, workers had already staged various actions that included brief strikes and refusal to work overtime, costing the world’s tenth-largest airline to lose an estimated $16 million a week as a result of these actions.
And what about the over 70,000 Qantas passengers stranded around the world?
“Booked passengers were being rescheduled on a 24-hour basis, with Qantas handling any costs in transferring bookings to other airlines,” Qantas spokesman Tom Woodward said to Fox News. (Qantas costs for the weekend: $20 million a day)
Australia’s labor tribunal ordered Qantas to resume flights Monday, granting both sides to 21 days to settle their dispute and reach a binding agreement or face compulsory arbitration.
Releasing an apologetic statement to an Australian news conference, Joyce also went on to say, “This is a crisis for Qantas. If the action continues a the unions have promised, we will have no choice but to close down Qantas part by part.”
For more information, check out:
How Recent Airline Strikes Impact Travelers this Fall
Australia’s Ecotourism Dilemma: Can You Promote and Protect?
Qantas Grounds A380 Planes After Serious Safety Incident
Related Links: FOX News The Australian Workers’ Union, New York Times, LA Times
By Tatiana Rodriguez for PeterGreenberg.com
