Australian airline Qantas is locked into a dispute with its employees. [CFP]
Australian airline Qantas today announced that it will lock out all employees involved in a series of strikes in response to an industrial dispute.
This step is being taken under the provisions of the Fair Work Act in response to industrial action taken by the labor unions, including the Australian Licenced Engineers Union (ALAEA), the Transport Workers Union (TWU) and the Australian and International Pilots Union (AIPA). The financial impact of action taken to date has reached AU$68 million( US$72.58 million) and the action is costing Qantas approximately US$15 million (US$16 million) per week in lost revenue. Approximately 70,000 passengers have been affected and more than 600 flights cancelled.
Pilots, licenced engineers and baggage, ground and catering staff are essential to Qantas operations and the lock-out will therefore make it necessary for all Qantas aircraft to be grounded. For precautionary reasons, this will take place immediately.
Aircraft currently in the air will complete the sectors they are operating. However, there will be no further Qantas domestic departures or international departures anywhere in the world. This will have an estimated financial impact on Qantas of $20 million per day.
The lock-out will continue until the ALAEA, the TWU and AIPA drop the extreme demands that have made it impossible for agreements to be reached.
Jetstar flights, QantasLink flights and Qantas flights across the Tasman operated by Jetconnect will continue. Express Freighters Australia and Atlas Freighters will also continue to operate.
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