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Old 9th June 2011, 01:52 PM
Lee G Lee G is offline
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Join Date: Jan 2009
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I vowed not to post anything on this forum again, but reading this thread made me decide to air some opinions I have on what I have read so far. (You were right Nigel!).

There is lots that I could post up here about the current situation and from a historical viewpoint - I can't.

Having said that, the industry is not like anything else in Australia. It operates on a truly global, totally competitive basis with many carriers operating under "preferred conditions" and subsidies from their host countries. If the medical or banking sector worked this way in Australia, you'd find government intervention as it would result in people's deaths or would destablise the whole economy of this country!

Most Australians now believe it's their god given right to heavily discounted airfares anytime, anywhere - it isn't! Every sector which feed into aviation has put it's prices up - fuel, catering, aviation and airport charges, government fees and taxes (don't start me on that one!), yet the Australian public still believe that economies of scale should provide them with a "freebie".

At some point, the discounted airfares charged will make operating a wholly full service airline in this country unsustainable - this point is rapidly approaching without some rationalisation occurring.

The travelling public want latest IFE systems, full catering, extra seat pitch, etc - but don't want to dip their hands in their pockets to pay for it. They would prefer the staff wages and conditions take a cut so they can get to their holiday or business trip for next to nothing. Unfortunately, McDonalds style wages will only bring McDonalds style service - and airlines don't run with high school students working after school to pick up a little cash on the side! They work best with fully trained professionals and staff who have worked through the industry from the ground up, providing expertise and knowledge which can only be gained inside the industry. Try going to a hospital and asking for cut price service - see what they say and imagine the service you would receive - picture a medical student conducting your heart operation or a high school student dispensing class S4 drugs!

The airline managements are also damned if they do and damned if they don't so I don't blame them for looking at the only variable they can influence to stay competitive without putting prices up ... but maybe, just maybe it's time for the industry prices to again be governed by an Independant Airfares Commission, just like it was back in the good old Ansett/TAA days - remember them? $1000 return in Y class Melbourne to Perth back in 1982! What would that be now? Probably about $2500 as a guesstimate, maybe more! It works for health funds who are private entities - why not the airline industry?

I can't predict the future of the airline industry in this country and I'm not in a position to influence it, but for 60,000 or so airline workers in this country it should not include wage cuts and fast food wages just so the masses can get their travel fix each weekend at a consistant bargain basement price. Joe public pays $100 return for a 20km taxi fare .. surely the price for a 2000km round trip could be reasonably expected to cost more!
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