Qantas Faces Troubling Times Ahead

Now that Qantas is back in profit, the Australian public and the consumer watchdog believe that CEO Alan Joyce is not giving them a fair deal. This led to a senate inquiry into the cost of living, where senators questioned when airfares would decrease. This shows that airfares are considered an essential part of the cost of living in Australia. While airfares have decreased significantly over the years, they could still be more affordable. Lower airfares would benefit many people, as it would make businesses more profitable. There have been numerous complaints about poor Qantas service, including lost baggage and cancelled flights. The Australian Consumer and Competition Commission (ACCC) is suing Qantas for selling seats on cancelled flights, and there is a class action against the airline for not refunding fares from COVID-cancelled flights. There are also concerns about Qantas’s relationship with the government, as it appears that they are receiving preferential treatment. Shareholders have been impacted by inconsistent profits and losses, while CEO Alan Joyce’s pay packets have been substantial. As for the future, Qantas faces challenges related to rising fuel costs, underinvestment in aircraft, and the need to reduce CO2 emissions in line with the national energy guarantee. The aviation industry is exploring sustainable aviation fuel as an alternative, but there are limits to its effectiveness. Battery planes are not a practical solution due to the weight of the batteries. Overall, the senate inquiry into Qantas highlighted the degraded state of politics and business in Australia.



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