Qantas jobs hang on 'policy'February 16, 2006
QANTAS Airways chief executive Geoff Dixon said any job losses or job moves overseas would depend on policy decisions from the Federal Government.
The Federal Government was undergoing a review to decide on whether it would allow Singapore Airlines to compete against Qantas (qan.ASX:Quote,News) on the lucrative trans-Pacific route between Australia and the US.
The final decision by the Government had been delayed on a number of occasions but was due in the near future.
Mr Dixon today asked the Government for a decision as soon as was possible.
"This is a very important decision," Mr Dixon said.
"It is important for how we will run the company in the future.
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Every decision we make must be impacted by the regulatory position we find ourselves in.
"The policy settings that are made by the Australian Government - we will take in all those considerations when we are making other decisions on where we can best make our investments, where we can best achieve our bottom line."
He said that Qantas had made it clear to the Government that it did not want any subsidies or protection.
"We want an understanding on policy settings, particularly when it comes to opening up new routes," Mr Dixon said.
"We are expecting a Government response and when we have got that, whether it is good or bad, it will give us clarity to go forward."
He said he had no control over the timing of the decision.
"I can't do anything about that, I know they are giving it some consideration, I am just hoping they won't put it off - we have a view that there is nothing more to be said, so in effect it won't be put off.
"It will be decided some time in the near future but we haven't been told that."
Qantas today warned that further job losses were likely as the airline tried to cut costs and offset the impact of high fuel prices.
"All our business transformation initiatives are now focused on enabling Qantas to meet its future expenditure commitments and profit projections with a fuel cost above $US60 a barrel," Mr Dixon said.
"As we make these changes, job losses across various areas of the business will be inevitable."
2.
How much and when did Aussie govt paid subsidy to Qantas??Aussie said SG govt paid to SIA!!Ha Ha,the trust is just the oppoiste.