Qantas to pay record fine of $58 million for pandemic sackings criticized by judge

2 weeks ago 9

A tribunal ordered Australia's largest airline, Qantas Airways, connected Monday to wage a grounds good of A$90 cardinal ($58.64 million) for illegally sacking 1,800 crushed unit during the COVID-19 pandemic and criticized it for a deficiency of contrition.

In imposing the penalty, the largest ordered by a tribunal connected a institution successful the past of Australia's labour laws, Federal Court Judge Michael Lee besides inveighed against the airline's litigation strategy.

While Qantas made changes to its committee and absorption team, Lee said consequent expressions of regret seemed much aligned with "the damage" the lawsuit had done to the institution than remorse for the harm caused to workers.

"I accept Qantas is sorry, but I americium unconvinced that this measurement of regret is not, astatine slightest successful important measurement ... the incorrect benignant of sorry," helium added.

Lee said the size of the penalty, astir 75% of the maximum helium could person set, was important to guarantee it "could not beryllium perceived arsenic thing similar the outgo of doing business".

He said A$50 cardinal of the good would beryllium paid to the Transport Workers' Union, which brought the lawsuit against Qantas.

After the decision, Michael Kaine, the nationalist caput of the TWU, said, "Against each the odds, we took connected a behemoth ... that had shown itself to beryllium ruthless, and we won."

Monday's determination follows a December statement connected a compensation money of A$120 cardinal struck by the hose and the sacked workers.

During the pandemic successful 2020, Qantas' elder absorption decided to laic disconnected 1,820 crushed unit and displacement their enactment to contractors.

Qantas said it was a commercialized decision, but the Federal Court successful 2021 held the determination to beryllium "adverse action", preventing unit from exercising their workplace rights and unionising, successful breach of Australia's Fair Work Act.

Assessing Qantas' actions, Lee said helium was unconvinced it was genuinely contrite and criticized its culture, nationalist relations attack and litigation strategy.

For example, helium said Qantas had announced it would entreaty to the High Court against the 2021 tribunal determination "without immoderate clip passing", to see the 431-paragraph judgment.

When its entreaty failed, Qantas issued a connection "spinning" the outcome, however, and overlooking findings connected its unlawful conduct, helium added.

He besides criticized Qantas' behaviour during litigation, specified arsenic opting to support retired of the witnesser box, Vanessa Hudson, its existent main enforcement and erstwhile main fiscal officer.

"It is 1 happening for the 'Qantas News Room' to contented property releases by a CEO saying sorry; it is rather different for written assertions of contrition, designation of incorrect and taste alteration to beryllium tested successful a courtroom," Lee said.

The punishment was the largest ever ordered by a tribunal for violations of Australia's labour laws, said Maurice Blackburn Lawyers, which represented TWU.

"This record-breaking punishment reflects the monumental standard of Qantas' wrongdoing," the firm's principal, Josh Bornstein, said successful a statement.

The good besides reflected the unprecedented uncovering of adverse enactment against truthful galore workers, said Shae McCrystal, a labour instrumentality prof astatine the University of Sydney.

"Adverse enactment cases are risky," she said. "It signals a connection to employers that if they interruption the law, past commercialized unions whitethorn person those penalties successful bid to assistance them successful enforcing the act."

Qantas said it would wage the good arsenic ordered.

"We sincerely apologise to each and each 1 of the 1,820 crushed handling employees and to their families," Chief Executive Vanessa Hudson said successful a statement.

Qantas shares were down 0.4% astatine A$11.58 successful aboriginal trading.

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