Qantas cancels 18 flights as engineers strike work

Qantas, the national airline of Australia, cancelled 18 flights on June 24, 2008, as engineers struck work to press their demand for an increase in wages. The airline had cancelled 6 domestic flights on June 23.

A top executive of Qantas said all passengers on cancelled flights had been placed on other flights, all within one hour of their scheduled service.

The engineers, who stopped work on June 23 and 24 at airports in Sydney, Melbourne, Brisbane and Cairns demanding a 5% raise in salaries, have threatened to extend the strike till June 26.

The Australian Licensed Aircraft Engineers Association (ALAEA) had, a week ago, announced action in 5 major cities after failing to agree a deal on pay. While the ALAEA had demanded a 5% wage rise for 1,500 engineers, the airline had offered 3%.

At present, the strike affects only Qantas’ flights within Australia.

The Australian media quoted a spokeswoman of Qantas as saying: “We have currently cancelled 18 flights. More cancellations and consolidation may be required.”

Some of the international passengers experienced delays of up to 6 hours on June 23, a statement from the company said, adding that major domestic routes like Sydney to Melbourne were the worst-affected.

Geoff Dixon, chief executive of Qantas, said in interview: “Qantas is determined not to back down in the dispute, even though the airline is on track to post record profits, since it would also have to pay an extra Australian $2 billion (US $1.9 billion) for fuel in 2009. Everybody, apparently except the engineers, realises that fuel is almost out of control, that all airlines around the world are making major changes to their business and we have to do the same.”

Dixon told ABC radio in the interview that “the airline would consider using non-union engineers in Australia during the dispute,” but added that Qantas was “not seeking to break the unions.”

Observers say that the dispute between the Qantas management and the union of engineers is expected to continue as union leaders argue that top executives of Qantas have shown no flexibility in meeting their demands.

As in the case of several airlines worldwide, Qantas is struggling to cope with skyrocketing prices of aviation fuel as well as a consumer slump.

Already, the carrier has announced a pay freeze for its senior employees, besides cancelling flights on important routes.

A strike by employees of Qantas in May 2008 had resulted in grounding of 17 flights for 2 days and forced the airline to delay several other flights.