Hi again MOC, thanks for the reply
I don't think any reasonable person would disagree that the aviation industry as a whole has become far more volatile in the last five years and many airlines have collapsed, gone into receivership or being forced to rely on government assistance to survive.
However, through luck, good managment or other reasons, neither QF or DJ have experienced any of these issues. Yet, for over three years, we have heard Geoff Dixon using these horror stories to justify why QF can't afford to give staff pay increases and why Australian jobs need to be moved offshore.
Immediately after 9/11, Geoff Dixon was able to force a wage freeze on staff. QF then announced a net profit of A$428 million. After accepting the wage freeze, the unions asked for some level of job security, which QF refused. This is the sort of partner that Dixon likes to be. Since then, there have been redundancies each year, while profits continue to increase.
A CEO is paid his bonuses depending on the growth of share holder value, which is based on profit growth. He is supposed to increase profits by growing the company. Finding new opportunities and the such. Unfortunately, along the way, someone worked out "Hey, if I just cull 1000 staff and make the rest work harder, we make a bigger profit and I get more money". Rinse, wash, repeat.
You ask "Who's in for the long term?" The employees are for a start. Their future is heavily invested with the company. Most don't have the financial resources to survive without the employment the company gives them. Will working with the management this time be any different from past experiences? Will it just reinforce to them that they can continue to remove jobs as they please?