Time for a Qantas Royal Commission

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Ah yes, go woke, go broke:

Qantas has slumped behind arch-rival Virgin on all measures of brand trust, pride, “love”, value and transparency, damning confidential figures presented to senior managers show, revealing the extent of damage to the airline’s reputation this year.

The material, marked “prepared for internal discussion”, shows the proportion of consumers who would consider flying Qantas domestically has fallen so low that it is only two percentage points above that of its low-cost Jetstar subsidiary, and 19 points below that of Virgin.

Joyce and Goyder are gone, but tell me, how is the airline going to rebuild under the 2IC of this disaster?

The former CFO turned CEO, Vanessa Hudson, has to go as well, along with the entire board of the time.

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The crony culture is still on full display as legal battles continue:

Catherine King and the former Qantas chief executive Alan Joyce met at least twice at Parliament House in recent months amid intense scrutiny into whether the airline chief’s influence quashed a rival’s bid, documents reveal.

The federal transport minister has so far refused to reveal any dates and details of meetings with the long-serving airline chief, sidestepping direct questions over the number of times she has met with Joyce and other airline bosses.

As the flying crony mounts one of the dumbest legal arguments I can remember:

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ACCC chairwoman Gina Cass-Gottlieb said Qantas’ “bundle of rights” defence does not answer the competition watchdog’s main lawsuit claim that the airline misled customers by selling tickets on cancelled flights, and signalled she will not back down from fighting the case in court.

In late August, the Australian Consumer and Competition Commission alleged Qantas had deceived customers when it sold tickets for more than 8000 flights that had already been cancelled and failed to tell customers who had bought tickets that they were cancelled for weeks.

In defence documents filed with the Federal Court this week, the airline rejected the basis of the ACCC case, arguing that customers were not buying a specific flight when they book to travel but instead a “bundle of rights” and the airline’s commitment “to do its best to get consumers where they want to be on time”.

I don’t recall my “bundle of rights” being indicated on my “ticket” to a particular flight.

The only thing that can save the Qantas brand now is a full and transparent accounting of everything that went wrong with heads rolling to match.

If the company won’t give it to us then the Dutton Opposition must call for a Qantas Royal Commission.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.