Prized Australian Icon Could be Doomed

30 Oct 11

Can the Gillard Government cope with yet another challenging situation that sees potentially another Australian icon forced to go offshore?

The media this morning is full of speculation about the long term future of Qantas as Australia's international airline and one has to ponder the stupidity of union demands when the airline is already facing the global headwinds of lower tourism, an uncompetitive dollar and a fleet mix which gives the airline very little flexibility in comparison to its competitors.

The decision by Qantas CEO Alan Joyce and the Qantas board to ground the fleet, although disruptive to travellers, may signal a new era of unions loosing their relevance. If the current dispute is not resolved in the airlines favour, thousands of Australian jobs at Qantas will be at risk if the airline is to survive or indeed remain competitive.

Media reports suggest that Qantas may no longer be an international brand as a result of this union action and this issue could force the airlines hand, to develop, and base more budget orientated airlines in Asia, resulting in significant job losses in Australia.

Why would the unions want to make a stand that will ultimately result in job losses? Do unions have a future in a globalised economy that needs to remain competitive?

The Gillard Government, already facing significant challenges on various policy fronts, a crisis with respect to the future of Australia's manufacturing sector, and the many thousands of jobs at risk in the sector, is now addressing the Qantas dispute, with critics claiming that the Fair Work Act promotes rather than limits industrial disputes.

With so many jobs at risk as a result of the two-speed economy and now doubt as to the future of Qantas being an Australian airline, the Gillard Government must step up to the mark of supporting local non-mining industries, with policies to ensure job security for Australians and not power to Unions that seem hell-bent on destroying Australian jobs with greedy demands.

Naturally this is only one point of view, but the future of jobs for Australian's is at risk on several fronts.