Virgins issues run deep. Legacy issues created by legacy management a long time ago, with resolution of those issues having never been resolved. Il Deuce did very little for his $46m in earnings didn’t he? Issues, where does one start:
- Start with the day the airline floated itself on the stock market. A lemon of an investment that has never been worthy of investing in.
- Then there is the egotistical fools like Godfrey, Borghetti and an assortment of bottom feeding executive management. Some of the ‘mid-tier managers’ have been there since the beginning of the airlines life. Get rid of them! Some have never worked for another business or organisation. Time to go.
- Ground handling: some of it is contracted out, time for the rest of it to be contracted out. A waste of money employing staff on the actual VA payroll. Take load controllers, duty managers, operational management, training also. Contract it out.
- VA still has a half baked structure with a supposed business class and economy class. It’s not. It’s no comparison to its competition Qantas. For all its faults, Qantas has a defined structure of what is economy and what is business. The jets interiors reflect that. Virgin is an all economy layout with a couple of piddly differences up the front of the cabin. Not a true business class. I can’t believe these muppets still haven’t got it right after all this time.
- ‘Specialists’’: Anyone with ‘specialist’ in their job title should be dispatched to the unemployment line. Created positions for people on ‘mates rates’ or for loyalists who do nothing other than lick management’s kyber’s and drink latte’s all day. Specialists - gooone.
- Multiple fleet type: The day they branched out from 737’s was another historical day in which they started to bleed money. Ansett part 2 if you ask me. Peter Ables killed Ansett the day he stood foot in Toulouse. VA management have done no better.
- Airline acquisitions: oh Lordy, where does one start. Another series of poor executive decision making buying non-profitable or barely-profitable lemons at the wrong time. VA is still paying the price.
- How about a decent finance team? VA have blundered on fuel hedge costs endlessly over the past 19 years and still can’t get it right. And a general head office culture consisting of overpaid almost bureaucrat style employees who act as if they are in the public service.
As has been pointed out, VA is part of a duopoly yet has never hammered home true value or been a viable investment for the average punter. It’s history of losing money is astonishing, and without numerous buy-ins and ‘bailouts’ its a miracle this lemon of an airline is still in existence. Besides, why fly VA or QF International when ANZ offers a far better service in every aspect of an airline - it’s modern aircraft, seats, lounges and customer service. Can’t be matched.
Without a doubt, this story is to be con’t........