Pandemic-hit Qantas weighs new pay structure to keep key executives

[MelbourneFlyer]

Pandemic-hit Qantas weighs new pay structure to keep key executives

SYDNEY, Sept 17 (Reuters) - Qantas Airways Ltd (QAN.AX) said on Friday it was considering new ways to structure pay to ensure it could retain key executives as it enters the third financial year affected by the pandemic-driven slowdown in travel.

Qantas Chairman Richard Goyder said executives had faced a high workload with no annual bonuses for the last two years, and a continued wage freeze at a time when attrition was rising across the airline.

"Our executive cohorts are talented and in increasing demand across a range of industries, many of which, unlike aviation and tourism, are experiencing high rates of growth and activity, with financial rewards to match," he said in the airline's annual report.

In the case of CEO Alan Joyce and executive management, any incentive plan would take the place of the traditional annual bonus plan, Goyder said, adding that a decision was expected in the second half of the financial year.

Joyce's total annual pay rose to A$1.97 million ($1.44 million) in the 12 months ended June 30, up 13% from a year earlier, when he had taken a period of zero base pay, but his pay remained 80% below pre-COVID levels.

Joyce has said he expected to stay in his role until at least July 2023 to complete a three-year recovery plan designed to cut ongoing annual costs by A$1 billion.

In a separate note to staff seen by Reuters, Goyder said the company would look to reward all employees if the recovery plan is completed successfully by that date.

"Nothing is finalised but we look forward to sharing more detail in the first quarter of next year," he said.

https://www.reuters.com/business/aerospace-defense/pandemic-hit-qantas-weighs-new-pay-structure-keep-key-executives-2021-09-17/

[Beer Baron]

I can barely contain my excitement. Stood down for 12-24 months, 2 year wage freeze and then 2% pay rises and we’ll probably get a staff travel bonus in 2 years time.
Meanwhile the execs are positioning themselves for a multi million dollar payday.
Sounds fair to me.

[das Uber Soldat]

Fair or not, its nothing more than market forces. Other industries have been going gangbusters and unlike pilots, executives aren't idiots who implement dumber than mud 'seniority' systems, giving them leverage in the labour market.

They'll walk out the door if they can get more money elsewhere, and they probably can. So its either this, or bring in worse managers and the outcomes that flow on from that.

[Stationair8]

Please pass the tissues, thanks.

[What The]

Fair or not, its nothing more than market forces. Other industries have been going gangbusters and unlike pilots, executives aren't idiots who implement dumber than mud 'seniority' systems, giving them leverage in the labour market.

They'll walk out the door if they can get more money elsewhere, and they probably can. So its either this, or bring in worse managers and the outcomes that flow on from that.

Funniest thing I have read in ages.
Can’t wait to see the talent leaving. Honestly if you believe that you are delusional.

[galdian]

They'll walk out the door if they can get more money elsewhere, and they probably can. So its either this, or bring in worse managers and the outcomes that flow on from that.

So by inference the present management is as good as one can get according to dUS?

Amazing - a satisfied employee.
Should be stuffed and mounted outside QF HQ just to prove the unicorn does exist! :O :ok:

[Telfer86]

Very Australian at "Exec" level - or whatever it is called here
Aussie execs highest paid in the world & running relatively small entities
They are just copy/paste a line that banks were using to justify a few years back "lock in the exec talent"
- our people are such legends they will go elsewhere as such mega legend talent is always be sought after
Anyone believe a word of it ?
Got very similar in Uni sector with VCs at our top Unis earning twice/three their Canadian counterparts , whose Unis ranked UBD, UT ranked way higher (in 20s/30s)
Think RMIT VC was pulling 1.5 mill - ranking of 200 or more like 250 at best worldwide, UBC(ranked 30) guy was on 0.6
$4 million bonus , that is about a bonus of $1mill for every 1 Billion lost , the QF staff should ask to see his contract - answer - "get back in your box you pleb"

[patty50]

Qantas has in the past been able to get away with paying below market wages for corporate staff -the opposite of a tobacco company. Staff travel was a massive perk for these people, other perks like a non-CBD head office, somewhat relaxed company culture and the undeniable prestige. Time to cough up and pay people what they’re worth.

Plenty made redundant in the last 2 years are making a lot more money now which no doubt filters back.

[Tucknroll]

So by inference the present management is as good as one can get according to dUS?

Amazing - a satisfied employee.
Should be stuffed and mounted outside QF HQ just to prove the unicorn does exist! :O :ok:

He isn’t wrong. Qantas management have done an incredible job keeping the company going during the pandemic. Shareholders seem, for the most part, very happy with how things are tracking. Management have been able to restructure their business, increase the rate of outsourcing of the workforce and have secured billions of dollars of federal and state government funding.

They’ve let their aircrew workforce suffer to achieve this, but we are our own worst enemies for letting them. How many ‘flexibilities’ are we providing to the contract at the moment? What will we do when they call us back and offer pay freezes and 2% p.a. increases thereafter? We’ll all rush back no questions asked.

We pilots are exceedingly compliant and AIPA is more of a survey company than a Trade Union these days. Is it any wonder that the company dictate terms when we have let them do it repeatedly over the last two decades?

[neville_nobody]

What a stitch up. I'm sure if they advertised for senior management roles worldwide they would be inundated with suitable applicants all whom would happily work for less. If there is ever a real pilot shortage in Australia QF will be off to Canberra to make sure they can get work visas for anyone they want to hire from overseas.

However management and the board will never actually allow market pressure be applied to their jobs whilst simultaneously declaring "market forces" on everyone else. At the upper levels everyone has everyone elses back when it comes to renumeration.

[Roj approved]

Don’t forget, they don’t care about us, just themselves

[Sholayo]

I bet waiting line with unemployed airline executives is slightly shorter then the queue with unemployed pilots.
That's pretty much it.

&

[Paragraph377]

What a laughable comment from the Board. The narcissists are definitely in charge of the asylum. There is always somebody ‘better’ out there. Alan and his executive team are part of an interchangeable C-suite collective, and there is plenty of people within that group to pick and choose from. People like Joyce and Gissing have been there way too long and a fresh perspective is long overdue. Joyce continuously recycles Gerry Turner throughout the Qantas group. Again, the Qantas group would function nicely without Turner. There are better choices out there. It’s a club for mates, not a club for true executive talent.

As for the belief that Joyce is some kind of CEO messiah, his latest move to stem the flow of blood is to sell half a billion dollars worth of SYD property that QF have owned since the 60’s. Wow, what a strategist. That decision makes him the best of the best? Hardly. Any half-brained C-suite numpty could have come up with that manoeuvre. It’s going to be an interesting looking Qantas by the time the leprechaun bails in 18 months.

[das Uber Soldat]

Funniest thing I have read in ages.
Can’t wait to see the talent leaving. Honestly if you believe that you are delusional.
True. Lets bring Borghetti on then, they're all the same right? :rolleyes:

So by inference the present management is as good as one can get according to dUS?
That's only true if there was absolutely no correlation between pay and competency on a macro level. That'd be a difficult case to prove, though I'd not be suprised if the average pilot with their room temperature IQ gave it the good ole college try.

If experienced managers leave the company because they can get better money elsewhere, they're either replaced by people within the company, who by your logic wouldn't be any better, or are replaced by external hires. Those external hires being the same ones who failed to be competitive for the higher paid positions elsewhere, taken by the leaving managers.

Do you assert that situation would serve to improve the quality of management at Qantas?

Amazing - a satisfied employee.
Not at all. Just not just a blithering idiot clouded by emotion, wielding financial illiteracy like babies favorite toy. I've been as bent over as any in the Qantas group by self serving management decisions, but I can at least recognize that I don't have to like them to understand the implications of market forces here. If you think 'management can't get any worse' then perhaps you need to have a word with those working for Virgin or Tiger. Or Rex of late.

If you really think you know better and the management of the company is a disaster, then short the stock and post the confirmation for all to see. Think of the killing you'd make! Maybe we could stuff and mount you outside the ASX headquarters as the first pilot to make a successful market call? :E

[lc_461]

Qantas has in the past been able to get away with paying below market wages for corporate staff -the opposite of a tobacco company. Staff travel was a massive perk for these people, other perks like a non-CBD head office, somewhat relaxed company culture and the undeniable prestige. Time to cough up and pay people what they’re worth.

Plenty made redundant in the last 2 years are making a lot more money now which no doubt filters back.

Agree. If you take the emotion out of blindly hating management, this is correct. Many of these people have generic transferrable skills (eg "Change Management", "Wellbeing Advisor" "Transformational Lead") and no often no real passion for aviation. I'm sure many were happy to take a lower salary packet in exchange for that higher onload category. Not so helpful in the current times..

[morno]

Well said Das.

Pilots are the best executives in the world, just ask them. But don’t ask them to prove it, then they’ll come up with every excuse under the sun.

If you all really think they’re so bad at their jobs and you can do better, then off you go, try it.

[PoppaJo]

Pilots cannot run airlines. Don’t even get me started on that one.

[Beer Baron]

Pretty hard to square these two statements from management 4 months apart:
This financial year, we’re facing a statutory loss of more than $2 billion, which follows on from the $2.7 billion loss in 2020.Given the amount of repair required, we have determined that a two-year wage freeze will apply to any new agreements offered in the Group. After that, the Group wages position will be two per cent per annum.

Then…
The Board is considering how best to structure the Remuneration Framework for 2021/22 to retain the critical talent required to set the Qantas Group on a course for prosperity beyond the COVID-19 crisis. As such, the Board is considering remuneration initiatives that are designed to reward and incentivise all employees in setting up Qantas for post-pandemic success.

So the cupboard is bare and no pay rise for anyone, then suddenly it’s super important we dream up a special new structure to reward and incentivise the management team.

Granted, they did say “all employees” but when you are stood down unpaid now and promised a wage freeze from 2023-2026, I can’t see this making up the difference.

It is a pretty loud statement that, a) We are NOT “all in this together”, and b) Management believe that they alone are responsible for the success/survival of the company and no thanks to the tens of thousand of employees beneath them.

[neville_nobody]

If you take the emotion out of blindly hating management, this is correct. Many of these people have generic transferrable skills (eg "Change Management", "Wellbeing Advisor" "Transformational Lead") and no often no real passion for aviation. I'm sure many were happy to take a lower salary packet in exchange for that higher onload category. Not so helpful in the current times..

Well those people can go and leave and I am sure they can recruit many suitable candidates. I find it amusing that the narrative is that there is a oversupply of highly specialised highly trained pilots ( whose qualifications in the current market would cost you $120K+ to actually get then 5 years experience at least) but always an undersupply of people where all you need is a business related degree and some relevant experience and you're qualified to apply. Then if they run out of local candidates you then have the entire planet to recruit from.

I'm sorry but you are not "special" just because you work in management. Generally most people can easily be replaced there are actually very few positions where this is not the case and most of those are usually highly specialised, highly skilled/qualified. And no pilots do not fall into that category.

[Slugga]

Fair or not, its nothing more than market forces. Other industries have been going gangbusters and unlike pilots, executives aren't idiots who implement dumber than mud 'seniority' systems, giving them leverage in the labour market.

They'll walk out the door if they can get more money elsewhere, and they probably can. So its either this, or bring in worse managers and the outcomes that flow on from that.

At least we now know AJ's handle on here..... Great work boss!

[galdian]

If you really think you know better and the management of the company is a disaster, then short the stock and post the confirmation for all to see. Think of the killing you'd make! Maybe we could stuff and mount you outside the ASX headquarters as the first pilot to make a successful market call? :E[/QUOTE]

Hey I'll pay that one, very funny, made me laugh. :ok:
Cheers.

[Paragraph377]

Well, Joyce got what he wanted and he got a pay-rise. These clowns don’t work for free. Million dollar salaries, stock options, sign-on payments, retention payments, and of course bonuses. So even without a ‘bonus’ there are plenty of ways to fill up the CEO’s wallet. And don’t forget, this bloke has earned around $100m in salary and share options since his tenure began at QF. So even if he worked for the next 5 years for free, he doesn’t have to worry about paying his next Telstra bill.

[AerialPerspective]

Very Australian at "Exec" level - or whatever it is called here
Aussie execs highest paid in the world & running relatively small entities
They are just copy/paste a line that banks were using to justify a few years back "lock in the exec talent"
- our people are such legends they will go elsewhere as such mega legend talent is always be sought after
Anyone believe a word of it ?
Got very similar in Uni sector with VCs at our top Unis earning twice/three their Canadian counterparts , whose Unis ranked UBD, UT ranked way higher (in 20s/30s)
Think RMIT VC was pulling 1.5 mill - ranking of 200 or more like 250 at best worldwide, UBC(ranked 30) guy was on 0.6
$4 million bonus , that is about a bonus of $1mill for every 1 Billion lost , the QF staff should ask to see his contract - answer - "get back in your box you pleb"

Correct.

I remember when James Strong was pulling in millions plus bonuses every year, the CEO of American Airlines Inc., at that time it was the largest airline in the world (then slipped and now is again) and he was drawing a salary of $600K USD - AA never went into Chapter 11 until well after 9/11 but had prided itself on not relying on bankruptcy laws. Previous AA CEOs earned similar pay (sure, they got shares as well but in terms of base salary they were way under James Strong, the bloke who started the multi-million $$ CEO pay train at QF).

Execs often point to the dimensions of a job - well, QF had about 300 aircraft in total at the time, American had multiple types of aircraft and just one of them - the MD90 series, they had 290 of!!!! I seem to remember they had something like 110 767s too, nearly a 1000 airframes and 6000 flights a day. Wouldn't that make the AA CEOs pay, based on QF's, be somewhere around $10M????

Of course, it's not just Qantas. Remember Telstra brought in that moron from the US who had a string of destroyed companies in his wake as CEO elsewhere in North America???? He nearly destroyed Telstra, with one respected veteran Australian businessman resigning from their Board in disgust.

When the idiot resigned and went back to the US, one of the newspapers had a headline "adios amigo" as a result of which he said we were all racist.

No one with the balls in this country to have said in reply "Well, if you think that 'amigo', you won't want to take all that money from we racists so hand it back pal."

[AerialPerspective]

Well, Joyce got what he wanted and he got a pay-rise. These clowns don’t work for free. Million dollar salaries, stock options, sign-on payments, retention payments, and of course bonuses. So even without a ‘bonus’ there are plenty of ways to fill up the CEO’s wallet. And don’t forget, this bloke has earned around $100m in salary and share options since his tenure began at QF. So even if he worked for the next 5 years for free, he doesn’t have to worry about paying his next Telstra bill.

Earned????

[PittsS2A]

The QANTAS executive deserve to be rewarded, they have done a fantastic job decimating our national icon.

[Pinky the pilot]

decimating

What? Cutting it by one tenth??:confused:

You mean (almost) destroying, don'tcha?

[coaldemon]

I was asked once why we had to import Americans to do Executive jobs in the Airlines and the answer is that smart Australian Exec's were in the Mining game particularly the Iron Ore game in the 2000's->2010's. Why would you work for 700K when you can work for 3Mill. Simple really. Outside the audience here the Execs' are not interested in Airlines.

[Fliegenmong]

this bloke has earned around $100m

Earned or been paid?, two entirely different things indeed

[Arthur D]

Irrespective of what you think of Joyce, Gissing, Goyder or anyone else in the exec club, the shareholders love them!

check out the net asset backing of Qantas Shares vs the market cap. Despite more debt, departing talent, a weary workforce, its market cap is close to pre-pandemic levels.

Until those buying shares with OUR MONEY and lining their and the clubs pockets are truly held to account, nothing will change.

[Paragraph377]

Earned or been paid?, two entirely different things indeed
Very good point. I will pay that one. 😃

[galdian]

It was pointed out to me a while ago by someone far smarter than I - do not blame Joyce.

The QF Board would either negotiate the pay structure for their newly - to - be - anointed leader, at the very least they would have to sign off on any negotiated package.

I think the package is obscene and appears structured in a way to encourage manipulation (if one was so inclined) - ask the board why they signed off on such a package.

[krismiler]

If the airline makes profits, executives get huge bonuses. If it makes losses through their incompetence they are replaced and given a generous exit package. If the losses are outside their control they get bonuses for working in challenging times.

Back in the 1960s, CEO pay was typically 15 times that of the average employee, now it’s approaching 300 times. Executive pay needs to be benchmarked at a more realistic level.

[ScepticalOptomist]

If the airline makes profits, executives get huge bonuses. If it makes losses through their incompetence they are replaced and given a generous exit package. If the losses are outside their control they get bonuses for working in challenging times.

Back in the 1960s, CEO pay was typically 15 times that of the average employee, now it’s approaching 300 times. Executive pay needs to be benchmarked at a more realistic level.

Whilst those that decide the pay, benefit by those decisions, nothing will change.

[neville_nobody]

The issue is that there is no real competition at higher levels. It's all jobs for mates and making sure everyone covers everyone else back. Having a proper competitive adversarial process at the upper levels and picking the 'best' candidate would apply some downward pressure to executive salaries and result in better run companies with lower executive pay.

[Street garbage]

Could those on here defending QF management and their "packages" please explain to me the following:
APA bid.
Red Q.
The Lockout.
Jetstar Asia
Jetstar Pacific
Jetstar Japan
Share Buyback.
And let's not forget Jetstar HK.

[blubak]

Could those on here defending QF management and their "packages" please explain to me the following:
APA bid.
Red Q.
The Lockout.
Jetstar Asia
Jetstar Pacific
Jetstar Japan
Share Buyback.
And let's not forget Jetstar HK.
And the court decision relating to the ramp staff being terminated in favour of contractors,still no final decision but there certainly werent any glowing comments made about management by the judge.

[Arthur D]

Could those on here defending QF management and their "packages" please explain to me the following:
APA bid.
Red Q.
The Lockout.
Jetstar Asia
Jetstar Pacific
Jetstar Japan
Share Buyback.
And let's not forget Jetstar HK.

ok, I’m the last one to defend management, but aren’t we getting a bit sanctimonious here?

so when a pilot stuffs up it’s not their fault, but when a manager takes a risk and fails they should be shot?

when was the last time a pilot in VA or QF group was sacked for a screw up?

cam we say the same for managers?

[Green.Dot]

ok, I’m the last one to defend management, but aren’t we getting a bit sanctimonious here?

so when a pilot stuffs up it’s not their fault, but when a manager takes a risk and fails they should be shot?

when was the last time a pilot in VA or QF group was sacked for a screw up?

cam we say the same for managers?

You are missing some key info.

The pilot generally keeps their job if they screw up AND own up. Don’t come clean or accept responsibility and it’s off to Truck Masters.

Can’t remember the last time a manager admitted to their failings/poor decision making in the examples given previously.

[cattletruck]

From https://www.smh.com.au/national/qantas-flyers-see-red-over-chairman-s-lounge-snub-20210927-p58v7l.html

members of the airline’s ultra-exclusive ultra-secretive invitation-only premium membership tier received letters advising them that their memberships would not be renewed.

Oh the inhumanity...

[SHVC]

TBH, you need your executives on the good money, we may all think it’s over paid but you need to attract the smartest minds. Imagine if our fed politicians were paid double, would we attract smarter ppl to the roles?!

[cattletruck]

TBH, you need your executives on the good money, we may all think it’s over paid but you need to attract the smartest minds. Imagine if our fed politicians were paid double, would we attract smarter ppl to the roles?!

I worked on a $1b project, the only people we attracted were the shysters. Now, what if money wasn't the primary motivating factor for this echelon, we'd probably find executives that can draw better plans than just stick figures holding big bags of money.

[Roj approved]

TBH, you need your executives on the good money, we may all think it’s over paid but you need to attract the smartest minds.

This is '80's style MBA course mumbo jumbo along with "Looking after the shareholders".

That worked so well for ENRON, HIH insurance, OneTel and more recently Boeing and GE.

https://www.linkedin.com/pulse/who-turned-lights-out-slow-death-general-electric-ge-pogson-faicd

The gross misconduct at CEO and Board level of these companies should have resulted in people going to jail, but very few did or will as long as everyone is making money until the end

[minigundiplomat]

Just my 2c.

Observation 1

achievers are often quiet, bluffers are the opposite.

Observation 2

corporate Australia will hire the noisiest candidate, especially if they make unrealistic promises to triple the size of the business in 6 weeks, or whatever.

Observation 3

Once hired, they’ll maximise the damage to an organisation to prove they are ‘having an impact’ and will move onto their next job just before they are found out or asked to deliver on their promise.

Observation 4

Australian recruitment is rooted.

[Paragraph377]

From https://www.smh.com.au/national/qantas-flyers-see-red-over-chairman-s-lounge-snub-20210927-p58v7l.html

Oh the inhumanity...

Alan is getting desperate. Besides, most of the Chairman’s Lounge members are getting the boot are not necessarily individuals that are personally worth tens of millions of dollars. Some just represent big corporations. The best of the elite in the eyes of QF are politicians, top tier Australian musicians and actors/actresses and individually wealthy people. I still remember the good old Qantas Club pre-mining boom when most folk still wore decent attire. They soon opened it up to longes full of orange shirt bogans and grubs. The Qantas of 2000, pretty much since Dixon and Joyce took over from Strong James has declined in every imaginable way. It’s not just another cheap LCC.

[De_flieger]

TBH, you need your executives on the good money, we may all think it’s over paid but you need to attract the smartest minds. Imagine if our fed politicians were paid double, would we attract smarter ppl to the roles?!
The evidence suggests that by paying our executives across many different companies, and politicians, tens to hundreds of times the average salary, we haven't attracted the smartest minds, we've just got those who will do and say anything for a few dollars more at the expense of their co-workers and to keep the gravy train rolling on while the smartest minds are motivated by other things. While we are asking questions, why is it that we have to pay highly paid executives even more to do a "good" job, but minimum wage workers have to get paid less or have their conditions reduced to motivate them to do a better job? Does improving wages only work for the already wealthy?

[neville_nobody]

The evidence suggests that by paying our executives tens to hundreds of times the average salary, we haven't attracted the smartest minds, we've just got those who will do and say anything for a few dollars more at the expense of their co-workers and to keep the gravy train rolling on while the smartest minds are motivated by other things. While we are asking questions, why is it that we have to pay highly paid executives even more to do a "good" job, but minimum wage workers have to get paid less or have their conditions reduced to motivate them to do a better job? Does improving wages only work for the already wealthy?

Exactly the same could be said for bonuses. Why do you need a bonus for just doing your job? And since when is there a shortage of executive talent anyway? How many MBAs are handed out each year? Is there a Uni in Australia that doesn't offer an MBA program??

[Street garbage]

Sorry? When did Management last order aircraft for mainline? November 2005?
World's highest paid airline management indeed...

[AerialPerspective]

Just my 2c.

Observation 1

achievers are often quiet, bluffers are the opposite.

Observation 2

corporate Australia will hire the noisiest candidate, especially if they make unrealistic promises to triple the size of the business in 6 weeks, or whatever.

Observation 3

Once hired, they’ll maximise the damage to an organisation to prove they are ‘having an impact’ and will move onto their next job just before they are found out or asked to deliver on their promise.

Observation 4

Australian recruitment is rooted.

Usually followed by absolute disaster and when interviewed a few months later they say "It was fine while I was there"....... Kind of the reverse of James Strong coming into Qantas on a wave of b-ll****, the float occurs, the Commonwealth making good on its promise to BA when they paid a premium to not buy into a capital starved business, provides a $1.1BN capital injection to QF which allows it to retire nearly all its debt (which wasn't much) and most of TN's (which was substantial), then surprise, surprise the profit increases exponentially the next FY because there's no debt repayments - and guess who takes credit for turning the place around, while neglecting to mention that 'little' cash injection.......

[AerialPerspective]

Exactly the same could be said for bonuses. Why do you need a bonus for just doing your job? And since when is there a shortage of executive talent anyway? How many MBAs are handed out each year? Is there a Uni in Australia that doesn't offer an MBA program??

It's the nature of the world now....... like the use of the word 'hero'.... people running around branding people heroes, who just do their job - it's even crept down to the shop floor now with people being given a 'prize' at the end of each month when their achievement was just to turn up and do what they're paid to do....... years ago in the industry, you got a reward for making a good suggestion or for going above and beyond. Not so now, the current corporate culture in most businesses now is that you only need to come in on time and switch the kettle on and you're a 'hero'....

[Roj approved]

Exactly the same could be said for bonuses. Why do you need a bonus for just doing your job? doesn't offer an MBA program??

The thing about the bonuses was a consequence of Bill Clinton trying to cap the ridiculous growth in CEO/MD salaries by taxing them through the roof, so the base pay was set low, but the KPI bonus was huge. There was a very interesting Ted Talk on it, but I can’t find it.

Needless to say, it’s taught in MBA school, so therefore it must be the only way to attract talent.

I was chatting to one of the soccer dads, and he was really upset about missing out on his bonus because of Covid and then not being able to renovate or something. I mentioned I hadn’t worked for 10 months, but i thanked him for my Jobkeeper.

[AerialPerspective]

Exactly the same could be said for bonuses. Why do you need a bonus for just doing your job? And since when is there a shortage of executive talent anyway? How many MBAs are handed out each year? Is there a Uni in Australia that doesn't offer an MBA program??

Ah, "MBA" which is derisively referred to by many as 'Management By Acronym'....

It's a course offered by most Universities where students are put through an intensive program which teaches them that calling or contacting is 'reaching out', that investigating something is 'deep diving', that looking into detail is 'opening the kimono', that there is no such thing as industries or segments/sectors anymore, they must only be referred to as 'space(s)' (which begs the question, why doesn't NASA refer to its work in the 'space space' if this vacuous use of words is valid) and that any number of persons including and upwards of ONE must universally be referred to as "a cohort".

From what I've seen, after 30-40 years in various aviation businesses and other related fields, that's about all an MBA provides someone, the finely honed ability to speak without saying anything at all and to master the art of bull-hit.