Multi-employer bargaining would have killed Jetstar, Joyce claims

Melbourne, Australia - October 27, 2015: Jetstar aircraft on the tarmac at Melbourne airport. Various small vehicles also visible. Jetstar is a subsiduary of Qantas.
By James Harrison


Qantas CEO Alan Joyce spoke at the American Chamber of Commerce recently where he said that multi-employer bargaining would have made it impossible to launch a business like Jetstar.

Joyce warned that the reintroduction of multi-employer bargaining would hamper innovation and “take us back to the 80s.”

This comes as legislation will be introduced to the House of Representatives by the Albanese Government in support of multi-employer bargaining aimed towards fostering wage growth for workers. This legislation has received support from the Transport Workers Union (TWU).

Joyce said that efficiencies that allowed Jetstar to introduce prices for as low as $35 “changed the aviation market.”

“We did set up Jetstar with the aim of democratising air travel and allowing millions of people to travel for the first time,” Joyce said.

“If there was multi-employer bargaining at the time, I’m not sure that would have happened, and a lot of other things wouldn’t have happened.”

The new laws aim to focus on low-paid industries and will attempt to boost the potential for workers to strike on behalf of those employed at other businesses.

TWU secretary, Michael Kaine, told The Australian that multi-employer bargaining should include the right for workers to strike or companies will reject workers’ demands for better conditions and pay.

“It’s not about an uncontrolled upward spiral of wages and conditions,” Kaine said.

“It’s about saving the economy from complete fragmentation where workers have no power (and) where the companies that engage them have no commercial power to dictate their future.

“That’s not good for economic growth. It’s certainly not good for making sure workers are getting a share of the economy.”

This follows three major unions coming together earlier this month to criticise Qantas’ 1 per cent wage increase for workers, calling it a “PR stunt.”

The TWU, Flight Attendants Association of Australia (FAAA) and the Australian Services Union (ASU), described the raise as “negligible” and said its members were “severely fatigued.”

Latest News

  • Hotels

Groupe Barriere appoints La Collection as ANZ representative of its Fouquet’s properties

Groupe Barriere has announced it has appointed La Collection as the exclusive representative for Australia and New Zealand of its two flagship Fouquet’s properties. This partnership brings together La Collection’s dedication to exceptional boutique experiences with the legendary heritage of the Fouquet’s brand. Groupe Barriere, a name synonymous with French luxury and the art of […]

  • Conferences
  • First Nations
  • Tourism

Indigenous tourism drives economic growth: The World Travel & Tourism Council finds

Indigenous tourism is projected to contribute US$67 billion ($AU100 billion) to the global economy by 2034, a landmark World Travel & Tourism Council has found. This economic boom is fuelled by increasing demand for authentic cultural experiences, in countries such as Australia, Canada and the United States, among others. The report showcases the sector’s role […]

  • Conferences
  • Tour Operators
  • Tourism

Perth’s Matagarup Zip+Climb becomes world’s first member of WTTC’s ‘Together in Travel’ for SMEs

Perth’s Matagarup Zip+Climb co-founder Ryan Mossny has been named the world’s first member of the World Travel & Tourism Council’s new ‘Together in Travel’ program for Small and Medium Enterprises (SME). Announced at the 2024 Global Summit in Perth (Boorloo), today the ‘Together in Travel’ program is a unique initiative aimed at providing support and […]