Qantas to Face Hefty Penalties Following COVID-Era Sacking Test Case Loss

October 20, 2024 TruthUSA

The national carrier will face penalties for the decision to stand down 1,700 workers during the COVID era.

Australia’s national air carrier may have to pay compensation amounting to millions following an employment case loss in court.

The High Court ruled last year that the airline violated the law by standing down 1,700 ground crew members in August 2020. The Federal Court, on Oct. 21, awarded $170,000 in compensation to three workers as test cases.

Qantas and the Transport Workers’ Union (TWU) lawyers will need to determine a final compensation amount for the lost income of all terminated staff, limited to 12 months after their roles were outsourced.

The company made the decision to outsource the 1,700 ground staff positions in November 2020, and by March 2021, all had been let go.

In July 2021, the High Court ruled that the layoffs were aimed at preventing workers from negotiating a new enterprise agreement, thus breaching employment laws.

Justice Michael Lee granted compensation of $30,000, $40,000, and $100,000 to the three workers for “non-economic loss” after their retrenchment during the COVID-19 pandemic.

TWU assistant secretary Nick McIntosh praised the judgment.

“This is a day of justice for 1,700 workers who did nothing wrong and were unlawfully dismissed,” he stated.

“This victory extends beyond them and the TWU. It sends a message to all working individuals in the country and to corporate Australia, warning them that mistreatment of employees and illegal dismissals will not be tolerated.”