At last -an Analyst with common sense.
Qantas Airways will need to prove to investors its future cost-cutting efforts will be more successful than previous moves, CLSA analyst Scott Ryall says. “When its plans are released, our focus will be on differentiating between genuine efficiencies versus whether there are offsetting costs and risks [such as from outsourcing].”
Mr Ryall said the airline should think about sharing the benefits of the restructuring with remaining staff, given many already did not appear to be engaged or aligned with the management’s strategy, and morale could worsen after a round of job cuts.
“We cannot believe there is not a way to negotiate a win-win between staff and management, for example, in the form of lower wages in return for equity, that would better align both parties in facing up to the challenges faced by Qantas.”
Both sides would face the burden of restructuring and it was only logical for them to share the upside as well, although Mr Ryall noted there was probably a question of trust.
To those soon to leave Qantas employment, my sincere condolences.
To those who get to make a choice about staying, my very best wishes.