[Ash W]

Originally Posted by Mick F

I think more the problem that staff are in dispute about, is an Australian airline sending their jobs overseas, rather than keeping them here in Australia.

What option do they have? On an international market Australian staff cost WAY too much, in no small part due to our higher cost of living. There is no way that an airline like Qantas can survive on international routes paying Australian wages and as many have pointed out staff here shouldn't, won't or cannot take a pay cut. So the options left to Qantas are to seek ways of reducing costs by sending work o/s, reforming work practices, setting up an international base or maybe even shut down the international operation altogether.

In any case one thing is clear, Qantas cannot in any way shape or form compete in an international market when labour costs make up so much of their costs. If Qantas were to charge the appropriate fare to cover these costs most people these days will fly the lower cost opposition. So basically they are in a no win situation

Originally Posted by Mick F

And by doing so, the alterior motive is to eventually force these employee's onto lower pay.

I think the motivation is to reduce the labour costs of the company so that they can be competitive. This can be done without forcing employee's onto lower pay.

Originally Posted by Mick F

I don't exactly call that engaging with your staff.

Disagree actually. The management is telling the workforce the bleeding obvious. To me it seems as if the workforce is in denial about the issues and what must be done to reform and get back into a competitive position. As I have been saying if they can reform the company should prosper thus providing further opportunities for Australians. If they do nothing the company will be left with little option but to cut further thus putting more people out of work.

Originally Posted by Mick F

Since when did Qantas become the "Spirit of New Zealand" or "The Spirit of Asia"?

Maybe when the world changed from a protected international market to an open skies type market. Look around the world and you will see similar issues and pressures placed on more or less every legacy carrier based in high cost locations. The exception is the US, who still very much live in a highly protected market.

Originally Posted by Mick F

Ohh, by the way.

Has anyone thought about the fact that Emirates don't pay taxes?

That is one of the reasons why the cost of employee's to Emirates is so low compared to Qantas. Qantas clearly cannot do the same, so must find other ways to reduce this cost to them.

I guess Qantas's issue is if they cannot beat them (which they cannot based on cost) then they need to join them. As unpalatable this is to Australia and the staff at Qantas it is the reality if the company is to survive internationally. Though as I have said if international operations prosper it should lead to further job opportunities within Australia where relative labour costs are not so important.