Economy

Alan Joyce left Qantas two years ago. Now he’s defending his record

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The speech, to be given at the Australian Aviation Summit in Sydney, comes before a court ruling on Monday over what penalty Qantas should pay for illegally outsourcing 1800 workers in 2020 under Joyce’s leadership.

“Here’s the real insight: resilience isn’t a reaction,” says Joyce in his speech. “It’s a decision made years in advance, often when it’s uncomfortable, even unpopular.”

Joyce ended his 15-year tenure as chief executive of Qantas two months early in September 2023, as recriminations mounted over his leadership.

Under his watch, Qantas took in record profits as airfares spiralled. However, the company also saw its reputation plunge.

Qantas was fined $100 million in penalties by the ACCC for “misleading consumers by offering and selling tickets for flights it had already decided to cancel, and by failing to promptly tell existing ticket holders of its decision”.

As COVID lockdowns stopped air travel, Qantas announced a plan to outsource its entire 1800-strong ground handling workforce.

‘Australia is fortunate to have the strong aviation industry it does today. But let’s not be naïve. The next crisis is always just around the corner.’

Alan Joyce

The move was later found by the Federal Court to be illegal, and the airline was ordered to create a $120 million compensation fund. The union is seeking a further $121 million penalty, with the court expected to handed down a decision on Monday.

Former CFO Vanessa Hudson took over as CEO of Qantas in 2023, and has embarked on a strategy of rebuilding trust in the Qantas brand.

In the speech, Joyce will lay out the challenge that aviation faces in adopting greener fuel standards, pointing to the industry commitment to achieve net zero emissions by 2050.

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Many carriers, including in Australia, have interim targets for 2030 which can be “achieved by capping emissions, increasing Sustainable Aviation Fuel (SAF) uptake, and improving operational efficiency,” he is expected to say. However, Australia is on track to miss these goals, according to Joyce, who will draw a parallel between SAF and solar energy.

“Twenty years ago, solar energy was expensive and inefficient. Then governments introduced mandates and subsidies, which in turn created investor certainty … SAF can be the new solar – but only if we act as a nation.”

Joyce is expected to speak at about 2.30pm AEST.

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  • Source of information and images “brisbanetimes”

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