ID :
212598
Thu, 10/13/2011 - 12:47
Auther :

Qantas to cut flights, ground aircraft

SYDNEY (AAP) - Oct 13 - Qantas is grounding planes and cutting flights in what could turn into a 12-month war of attrition between the airline and unions.
The escalating fight has prompted threats from the federal government that it will step in and force the parties to resolve their issues under the umbrella of the Fair Work Act.
Thursday's strike action by baggage handlers and ground crew forced Qantas to cancel or delay more flights, with more action planned for Friday by aircraft engineers.
Disgruntled pilots have launched a campaign urging shareholders to vote down a pay package for Qantas' management team and stop the re-election of four non-executive board members at Qantas' annual general meeting later this month.
Qantas CEO Alan Joyce announced on Thursday that from next week, the airline would ground four 737s and one 767 used for domestic flights.
The action will result in 97 fewer flights a week affecting Adelaide, Sydney, Brisbane and Melbourne passengers, and the situation could worsen.
"If the (work) bans continue, then more aircraft will have to be grounded into the future," Mr Joyce told reporters in Sydney on Thursday.
He said Qantas would not be swayed by union pressure.
"These are demands we can never agree to," Mr Joyce said.
Ground crew members of the Transport Workers Union (TWU) staged two-hour work stoppages on Thursday at Sydney, Melbourne, Canberra, Hobart, Adelaide, Darwin, Perth, Brisbane, Townsville and Cairns airports.
TWU national secretary Tony Sheldon accused Qantas of waging "war" and told ABC Radio the union's dispute could last another 12 months.
Later on Thursday, he told reporters in Adelaide the union would do "whatever it takes".
"We've got a chairman of the board and executives who are running on an ideological rant to turn around and crush its own Australian workforce," Mr Sheldon said.
On Friday, members of the Australian Licensed Aircraft Engineers Association (ALAEA) are expected to strike for four hours, which Qantas says will force 17 flight cancellations and 32 flight delays.
The cost of the action to Qantas' bottom line will be made public once it has been.
"We are looking at the implications for forward bookings," Mr Joyce said.
Virgin Australia has added an extra service on Friday for its Sydney-Melbourne route and upgraded two flights with larger aircraft.
"We have been very full recently," a Virgin Australia spokeswoman told AAP.
The Australian and International Pilots Association (APIA), which is also in a protracted wage dispute with Qantas, said on Thursday the airline's announcement that it was grounding aircraft could be a ploy.
"Some of these aeroplanes were due for grounding anyway," AIPA vice president Captain Richard Woodward told reporters on Thursday.
"I suspect it's a ploy."
The AIPA also launched a website on Thursday urging Qantas shareholders to vote down management's pay package and the re-election of four board members.
Tourism Minister Martin Ferguson said the government could require the parties to resolve their issues under the Fair Work Act, while Liberal senator and opposition workplace relations spokesman Eric Abetz said the unions' action warranted government intervention.
Industrial action that had economic implications for more than just one business could be suspended or terminated, Mr Ferguson said.
Mr Joyce said the industrial action affected the freight industry, taxi drivers and small businesses servicing the airline industry.
"The sooner the parties get in a room and sort it out the better," he told reporters.
Qantas estimates that 60,000 passengers have been affected since the strike action began months ago.
The Australian Tourism Export Council said if the rolling industrial action extended into the holiday season it would affect small business.




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