Qantas informs staff of severity of situation

Qantas CEO Alan Joyce stated unions are damaging the Qantas brand over claims for higher pay and job security (Herald Sun, 07-Apr-2011). The CEO told employees "it is disappointing that our unions do not understand the severity of our current position" and denied the airline was lying about being able to afford wage increases. Mr Joyce pointed to the airline's inflated fuel bill for the year and recent ratings downgrades to illustrate the severity of the situation. The airline has refused what it claims would amount to a 26% pay rise over three years for long-haul pilots and job security clauses in contracts.