Qantas to resume flights as court orders end to dispute
Qantas and union members had been involved in a dispute over a restructuring plan for the airline Qantas will resume flights on Monday after an independent tribunal ordered a permanent end to the industrial dispute with its union members.
Qantas chief executive Alan Joyce said the airline will resume flights by mid-afternoon on a limited schedule.
The move comes after Fair Work Australia issued a ruling, after hearing evidence from the airline, unions and the government.
The dispute had resulted in Qantas grounding all its flights on Saturday.
"Operations will resume progressively from this afternoon. Our focus is bringing our schedule back to normal as soon as possible," Mr Joyce said.
Qantas' share price rose 5.5% in early trading in Sydney.
'Challenging period'The airline and the union members have been involved in a dispute since August this year when the carrier announced a plan to restructure its operations and outsource some of the services.
"Start Quote
End Quote Alan Joyce Chief executive, QantasWe have new and existing agreements with 12 unions. We now anticipate the conclusion of agreements with the remaining three"
The unions have voiced opposition to the plan which is expected to result in almost 1,000 job cuts at Qantas' Australian operations.
Last week, Qantas claimed that the industrial dispute was costing it A$15m ($16m; £12m) per week due to flight cancellations and delays.
The dispute took a dramatic turn on Saturday when in an unprecedented move, Qantas grounded all international and domestic flights.
"This has been a challenging period for Qantas, its employees, its customers and its shareholders," Mr Joyce said.
However, Mr Joyce added that the matter was now being looked into by the tribunal and he was confident the airline and unions will work together to find a solution.
"The industrial process has now passed into the hands of the independent umpire. All parties will be treated equally and we will respect the decisions that are made," he said.
"We have new and existing agreements with 12 unions. We now anticipate the conclusion of agreements with the remaining three."
Permanent endQantas dispute
- August 2011: Qantas announces restructuring and outsourcing plan to combat annual losses in international operation of about A$200m
- Unions begin series of strikes, pressing for more job security
- Qantas says 447 flights cancelled and 68,000 passengers affected, at cost of A$68m
- 29 Oct: Qantas grounds entire domestic and international fleet - 108 planes at 22 airports
- 30 Oct: Industrial tribunal orders end to dispute, clearing flights to resume
Fair Work Australia, the national industrial tribunal, has the power to suspend or terminate industrial action.
The tribunal said "we have decided to terminate protected industrial action in relation to each of the proposed enterprise agreements immediately".
The ruling requires the unions to return to the negotiating table and come to an agreement within 21 days or face binding arbitration.
Fair Work Australia said its ruling had taken into account its concern for the vulnerability of the tourism industry.
Australia's government welcomed the decision.
"We are pleased that after 24 hours of turmoil, common sense has been restored," said Assistant Treasurer Bill Shorten.
Mr Joyce had warned Qantas would only resume operations if the tribunal ordered a permanent end, rather than merely a suspension, of industrial action.
