CEO asks workers to take unpaid leave as Qantas grounds flights

Due to the coronavirus, Qantas has announced that they’re limiting flights to Asia. Their CEO has also asked his employees to consider taking unpaid leave.

 

 

The financial damage wrought by the coronavirus continues to spread, as Qantas has decided to ground over a quarter of their international flights over the next six months. According to a press release from the airline, they’re not pulling the plug, they’re reducing their capacity.

“Rather than exit routes altogether, Qantas will use smaller aircraft and reduce the frequency of flights to maintain overall connectivity. This approach results in eight of the airline’s largest aircraft, the Airbus A380, grounded until mid-September. A further two A380s are undergoing scheduled heavy maintenance and cabin upgrades, leaving two of its A380s flying,” the release stated.

The same material also confirmed a limitation of flights to Asia.

Per the release, “Jetstar will make significant cuts to its international network, including suspending flights to Bangkok and reducing flights from Australia to Vietnam and Japan by almost half. Jetstar’s daily Gold Coast to Seoul flight was suspended last week.”

 

According to estimates, Joyce earns $24 million a year, which averages out to $67,415 a day. The ABS figures the median annual salary in Australia to be $48,360.

 

However, there’s also an interesting further interesting nugget within, as the statement claims the CEO of QANTAS, Alan Joyce, will take no salary until the end of the year. On the surface, it seems to come from a place of charity, but scratch back a layer, and the ugliness comes to the surface. The fact that someone can elect not to be paid for three months and not ruin them financially is saying something.

According to estimates, Joyce earns $24 million a year, which averages out to $67,415 a day. The ABS figures the median annual salary in Australia to be $48,360. It’s an obscene amount of money.

In the same statement, Joyce addressed his staff, stating: “When revenue falls you need to cut costs, and reducing the amount of flying we do is the best way for us to do that. Less flying means less work for our people, but we know coronavirus will pass and we want to avoid job losses wherever possible. We’re asking our people to use their paid leave and, if they can, consider taking some unpaid leave given we’re flying a lot less.”

 

 

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