Illegally sacked Qantas staff to share in extra $40m

Qantas workers who were illegally fired or redeployed during the COVID-19 pandemic will receive a further $40 million between them from the mammoth fine imposed on the national carrier earlier this year.

Almost 1,800 former ground workers, whose jobs were outsourced in 2020 in contravention of the Fair Work Act, will receive emergency payments of $3,333 each before Christmas, with the remainder to be paid pro-rata based on individual entitlements.

The $40 million is on top of the previous $120 million awarded in compensation last year, and makes up almost half of Qantas’ $90 million fine handed down in August, with the remaining $50 million to be paid to the Transport Workers’ Union (TWU) in recognition of its efforts litigating the case.

Speaking in the Federal Court on Tuesday at what is likely to be the final hearing of the case, Justice Michael Lee noted written complaints regarding “the length of time it’s taking to get compensation into people’s hands”, and ordered the interim payments for non-economic loss.

“The provision of that information is not to imply criticism of the process that’s being undertaken but given I’ve been provided with them, they reflect people’s concerns and I think it’s appropriate to be brought to [the court’s] attention,” he said, as reported by The Australian.

“If it’s going to be done properly, it does take time, since the administrators can only move as quickly as the information provided to them by all the proposed recipients of the amounts.

“I think the upside of getting some money to people, particularly with the expenses associated with Christmas, outweighs a pretty problematic application for leave to appeal.”

TWU national secretary Michael Kaine has welcomed the outcome, saying the affected workers “can now finally begin to move on”.

“These workers loved their jobs, and this further $40 million from the largest-ever penalty on an employer will go a long way towards compensating them for the damage Qantas inflicted on their lives,” he said.

“After so many years of anguish it will come as a relief to these workers to receive further support in time for Christmas, building on the $120 million in compensation they are receiving now.

“It is now time for Qantas to make meaningful change right across its supply chain to ensure workers are valued and have good, safe jobs.”

In a statement in August, Qantas said it accepted the penalty, which “holds us accountable for our actions that caused real harm to our employees”.

“We sincerely apologise to each and every one of the 1,820 ground handling employees and to their families who suffered as a result,” said group CEO Vanessa Hudson.

“The decision to outsource five years ago, particularly during such an uncertain time, caused genuine hardship for many of our former team and their families.

“The impact was felt not only by those who lost their jobs, but by our entire workforce.

“We’ve worked hard to change the way we operate as part of our efforts to rebuild trust with our people and our customers. This remains our highest priority as we work to earn back the trust we lost.”

Editor's note: This story first appeared on HR Leader’s sister brand, Australian Aviation.