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Qantas to shell out millions in compensation over industry relations breach

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Qantas will have to pay millions of dollars in compensation to nearly 1,700 ground staff it was found to have illegally sacked during the pandemic.

A Federal Court judge yesterday awarded three test cases $30,000, $40,000 and $100,000 for non-economic losses. These amounts will be used as the basis for compensation of the rest of the almost 1,700 workers impacted.

In addition, eligible workers amongst the cohort will also receive compensation for economic losses, although this will be somewhat limited as Qantas intended to outsource these staff members by the end of 2021.

The Transport Workers Union is suggesting Qantas will pay more than $100 million in compensation.

On top of this, the airline is expected to pay fines for the breach, with the amount yet to be determined by the Federal Court.

In a statement yesterday, Qantas Group CEO, Vanessa Hudson apologised to the airline’s former staff.

“We sincerely apologise to our former employees who were impacted by this decision and we know that the onus is on Qantas to learn from this,” she said.

“We recognise the emotional and financial impact this has had on these people and their families. We hope that this provides closure to those who have been affected.”

Before reaching this point, Qantas challenged the finding that it had breached the Fair Work Act several times, with all appeals failing.

The airline said it will work with the Transport Workers Union to expedite the delivery of compensation.