4/20/2015

EBSCOhost

EBSCOPublishingCitationFormat:Harvard:Australian:
NOTE: Review the instructions at http://support.ebsco.com.ezproxy.lib.swin.edu.au/help/?
int=ehost&lang=&feature_id=HarvAus and make any necessary corrections before using. Pay special
attentiontopersonalnames,capitalization,anddates.Alwaysconsultyourlibraryresourcesforthe
exactformattingandpunctuationguidelines.

References
JamesMassola,MO2014,'JobsatriskifQantasfreedfrom'shackles'',SydneyMorningHerald,The,p.
3.
<!AdditionalInformation:
Persistent
link
to
this
record
(Permalink):
http://ezproxy.lib.swin.edu.au/login?
url=http://search.ebscohost.com/login.aspx?direct=true&db=anh&AN=SYD
6E6MI5VD25KDW7K3LT8&site=ehostlive&scope=site
Endofcitation>
Edition:First,Section:News,pg.3
JobsatriskifQantasfreedfrom'shackles'
AviationOutsourcingarealoption
~~~~~~~~
JamesMassola,MattO'Sullivan
GovernmentplanstounshackleQantasfromforeignownershiprestrictionscouldclearthewayfor
theairlinetoshiftjobsoverseasandoutsourcemaintenance.
As Prime Minister Tony Abbott signalled his determination to remove the governmentimposed
"ball and chain" from Qantas, analysts from brokerage firm CLSA said the main benefit to the
airline in altering the Qantas Sale Act was that it would allow it to slash costs by sending more
workoverseas.
QantasonThursdaywillunveilitsbiggestlosssinceitwasprivatisedalmosttwodecadesago.In
an attempt to slash $2 billion in costs over the next three years, chief executive Alan Joyce will
detail measures expected to include the axing of as many as 5000 jobs from its 33,000strong
workforce.
Coalition sources said on Wednesday night that the government would not immediately unveil
assistance measures in response to Qantas. They said a debt guarantee, which will allow the
airlineaccesstocheaperfinance,wasstillthemostlikelyshorttermmeasure.
The Abbott government will struggle to steer change to the Sale Act through either the present
http://web.a.ebscohost.com.ezproxy.lib.swin.edu.au/ehost/delivery?sid=54506c089e5e482d80269783760a2a19%40sessionmgr4003&vid=2&hid=4209&Retu

1/2

4/20/2015

EBSCOhost

SenatedominatedbyLaborandtheGreensorthenextonethatwillsitfromJuly1.
MrAbbottbrushedasidesuggestionsofa"secretdeal"betweenthegovernmentandQantasthat
could see a guarantee in exchange for assurances about maintenance workers' jobs staying in
Australia.
"We want to ensure that Qantas management, as far as is humanly possible, doesn't have any
governmentimposedballandchainaroundtheiranklesandthat'stheproblemwiththeSaleAct,"
he said. "It is a significant restriction on Qantas' freedom of manoeuvre and that's why the
governmentisconsideringlegislationtoestablishalevelplayingfieldinthisarea."
Opposition transport spokesman Anthony Albanese called on Mr Abbott and Transport Minister
Warren Truss to clarify what assistance would be handed to the airline and to protections for
Australian jobs. Mr Albanese said Labor supported maintaining the provisions of the Sale Act
because it ensured maintenance and other jobs stayed in Australia and ensured regional areas
wereservedbythenationalcarrier.
"It'sabouttimethatTonyAbbottandWarrenTrusssaidwhattheirplanisforQantasinsteadof
sittingbackwhilethreatsarebeingmadetothejobsecurityofthesepeoplewhoworkatQantas,"
hesaid.
In a hardhitting report, CLSA analysts said they were sympathetic to the airline because of the
foreignownershiprestrictions."[But]governmenthelpwouldbepalliativenotpanaceaandclearly
needsimprovementsdrivenbyQantasitself,"theysaid.
Theysaidtheremovaloftheactcouldbea"gamechanger"forreducingQantas'costs.
Regional Express, the country's largest independent regional airline, also launched a scathing
attackonQantas'attemptstohavethegovernmentguaranteeitsdebt.
"ThereisalotofthingsQantascoulddoforitselftosolvesomeofitsproblems,ratherthanjust
going to the government and saying please guarantee our debt," the airline's deputy chairman
JohnSharpsaid.

Copyright 2014 John Fairfax Publications Pty Limited. www.smh.com.au. Not available for re
distribution.

http://web.a.ebscohost.com.ezproxy.lib.swin.edu.au/ehost/delivery?sid=54506c089e5e482d80269783760a2a19%40sessionmgr4003&vid=2&hid=4209&Retu

2/2