Been asked to post this.
Re: AIPA Senate Submission
Congratulations to whoever put together the attached AIPA submission to the Senate Inquiry into the ‘Aircrew Bill’ and the ‘Still Call Australia Home Bill’. It is a very comprehensive consideration of the consequences of Qantas’ strategy to offshore its international operations.
Notwithstanding, it has one very glaring mistake, which left uncorrected, will, I believe, curtail the only opportunity Employee Shareholders currently have to legally challenge Qantas’ offshoreing strategy. AIPA’s view that the:
· ‘Currently the Qantas Sale Act only allows an application to the Court for injunctions by the Minister. The bill extends this to allow for applications to the Court by 100 shareholder members or shareholder members who hold at least 5 percent of the shares in Qantas.’
Is materially misleading and if accepted by the Senate Committee, will probably neutralise the ability shareholders presently have to take issue with Qantas’ not complying with the Qantas Sale Act by seeking to have enforced Qantas’ compliance with its own Articles of Association.
You may recall that the Sale Act action I took on behalf of AIPA members in 2007 was permissible because it sought to hold Qantas accountable to the Sale Act by enforcing compliance with its Articles of Association. I have attached for your information an email from AJ Macken & Co stating inter alia:
· the proceeding was properly brought;
· in Senior Counsel’s view Qantas was clearly in breach of the Qantas Sale Act;
· the proceeding gave AIPA and its pilot members some leverage against further and potentially more serious breaches of the Qantas Sale Act adversely affecting job security and career progression of Qantas pilots; and
· the discontinuance of the present proceeding would not prevent the commencement of a fresh proceeding by a qualified plaintiff if Qantas moves to take advantage of the discontinuance.
I note that the Senate Committee inquiring into ‘Aircrew Bill’ and the ‘Still Call Australia Home Bill’ is holding hearings tomorrow in Canberra and it is vital that AIPA make clear to the Senators that whilst only the relevant Minister can seek to take out injunctions enforcing Qantas’ compliance with the Qantas Sale Act, employee shareholders are presently able to seek Qantas’ compliance with the Qantas Sale Act by seeking to enforce compliance with Sale Act obligations contained in the company’s Articles of Association.
Yours sincerely,
Capt Ian Woods
AIPA Past President.