View Full Version : NSW gov to invest in Rex
one dollar short
5th Feb 2022, 07:15
So many fingers. So many pies.
New South Wales government has provided regional airline Rex with a multimillion-dollar investment to grow its business throughout the state.
The move is part of the $250 million Jobs Plus Program, offering companies support to expand their footprint.
The investment will go towards a new simulator at Mascot in Sydney, which will become a training facility for new staff and a new aircraft hangar.
Ladloy
5th Feb 2022, 07:42
Meanwhile they're crying poor offering next to nothing for the Saab EBA, Nifty got a tidy 18% increase last year, Chris Hine 25%. It pays to be in the pocket of the LNP. A bunch of jokers.
transition_alt
5th Feb 2022, 07:44
Qantas received similar funding to stay in Sydney, why shouldn’t Rex?
TimmyTee
5th Feb 2022, 08:48
Well arguably, because Rex made the decision to start up mid pandemic, and said there’s never been a better time to start.
Why would such a company need a multi-mill taxpayer funded top-up so soon?
PoppaJo
5th Feb 2022, 09:50
2500 new jobs by 2024? How is that even possible? This is all just dribble and lies.
I read this as a bailout.
DP has really lost the plot. Why would Rex build a simulator for their Boeing op for only 6 aircraft. Exactly how much of the 250 million is Rex getting? When is the state elections all so. Tired of these governments pi$$ing my money up the wall.
havick
5th Feb 2022, 18:54
DP has really lost the plot. Why would Rex build a simulator for their Boeing op for only 6 aircraft. Exactly how much of the 250 million is Rex getting? When is the state elections all so. Tired of these governments pi$$ing my money up the wall.
Perhaps they plan to lease the sim out to others to generate revenue?
Colonel_Klink
5th Feb 2022, 19:06
Perhaps they plan to lease the sim out to others to generate revenue?
So Rex is late to the party again?
They started the 737 operation thinking that Virgin was going to collapse. Then Bain purchase Virgin and bring it out of Administration.
They’ve now proposed building a sim centre - 2 weeks after Bain announce the purchase of Ansett Aviation Training.
And this claim by Rex that this investment will lead to 1300 direct and 1200 indirect jobs - what a complete nonsense.
NSW at least has an ICAC…
SRFred
5th Feb 2022, 20:29
DP has really lost the plot.
Think you have the name wrong it is Domicron OK!
minigundiplomat
5th Feb 2022, 22:31
The coalition money hose is the gift that keeps on giving (if you’re chairman is an ex-minister)
MickG0105
5th Feb 2022, 23:27
2500 new jobs by 2024? How is that even possible? This is all just dribble and lies.
I read this as a bailout.
According to the Deputy Premier, the investment in Rex would lead to 1300 direct and 1200 indirect jobs by June 2024.
Rex's 2021 Workplace Gender Equality Agency filing showed a total of 1,253 employees which appears to gel with their annual salaries and employee-related costs line of around $108 million.
Does anyone think that Rex is going to more than double its workforce in the next two years?!
TimmyTee
5th Feb 2022, 23:55
Perhaps they plan to sell it to one of the opposition during their liquidation fire sale?
Fixed that for you 👍
coaldemon
6th Feb 2022, 00:02
Did Rex purchase the old B737 NG Sim from Alteon? That would then make sense to move to Sydney and stop paying a bay lease to Virgin/Ansett.
43Inches
6th Feb 2022, 00:50
The move is part of the $250 million Jobs Plus Program, offering companies support to expand their footprint.
Funny how no-one here has apparently read what the Jobs Plus Program is, and the fact that its open to any company that can prove it will generate more than 30 jobs over the next few years. Rex is not getting $250 million, that's the value of the total package, its a system of rebates and training placement grants for new workers to be employed. Hence Rex like any other NSW company is using it to expand the call center and Sim from what the article says... Its the same as when the federal gov offered all the tax relief via purchasing fleet and plant a few years back, every company I know went out and bought new cars and claimed it back on tax.
https://www.nsw.gov.au/projects/jobs-plus-program
Qantas achieved this deal last year, which was specific to QF and no one else has access to, at least $50mil over 4 years just to keep the HQ in Sydney.
https://www.smh.com.au/national/nsw-treasurer-tables-secret-50m-bid-to-keep-qantas-in-sydney-20210607-p57yv7.html
History has shown that whatever Rex gets is pale in comparison to the money pumped from taxpayers into QF on a yearly basis, mostly behind the scenes without us knowing.
airdualbleedfault
6th Feb 2022, 01:39
Did Rex purchase the old B737 NG Sim from Alteon? That would then make sense to move to Sydney and stop paying a bay lease to Virgin/Ansett.
Whilst a second hand sim would have a much lower purchase cost than new, they are approximately 14 aircraft away from what the big sim operators (CAE and Ansett in this country) consider economical to run a sim (stand alone).
I'm not sure how many overseas 737 operators will come flocking to Sydney to make that sim a going concern? I wouldn't have thought they'll get too much business from local 73 operators. Sounds Ike a complete waste of NSW taxpayers money to prop up another pie in the sky operation
Torukmacto
6th Feb 2022, 01:59
Who cares if it’s unviable ? Get as much hardware into the country . It will get used , not our concern by who at this stage but will create jobs .
Bull_Shark
6th Feb 2022, 02:25
People need to actually read the press release, this isn’t about a 737 sim….
Rex to bring Space Shuttle sim to Australia
Rex Media Release
….for years we’ve attempted to emulate the space shuttle experience on our pilots with only two Saab simulators in Melbourne and Wagga.
We’re very excited to announce that Rex, with assistance from the NSW government have procured a NASA shuttle simulator.
As our check captains are all already endorsed on re entry procedures, we expect our Saab pilots to begin training on the new space shuttle simulator by the end of the year.
Who cares if it’s unviable ? Get as much hardware into the country . It will get used , not our concern by who at this stage but will create jobs .
There's only one thing worse than not creating a job, and that’s creating a job that in 18 months becomes redundant and then places all the stress on the poor employees who took the punt to go to this new job.
The managers don’t lose their jobs, only the poor suckers who are now without a job again because of an ill thought out venture.
Chronic Snoozer
6th Feb 2022, 03:27
So many fingers. So many pies.
New South Wales government has provided regional airline Rex with a multimillion-dollar investment to grow its business throughout the state.
The move is part of the $250 million Jobs Plus Program, offering companies support to expand their footprint.
The investment will go towards a new simulator at Mascot in Sydney, which will become a training facility for new staff and a new aircraft hangar.
Isn’t this a good thing? Taxpayer money going toward the aviation industry offsetting the taxpayer funded regulator crushing general aviation?
neville_nobody
6th Feb 2022, 03:55
People need to actually read the press release, this isn’t about a 737 sim….
:D Yes very clever.
coaldemon
6th Feb 2022, 04:14
If it is in country and you bought it cheap (Cheap being around $6 Million AUD for a half life Sim) then it will be very viable to do the training for a 50 Pilots or more. Just not doing the late night sessions and having control of bookings will be a bonus by itself. Any bookings on top of that will be another bonus. When your competitors hold the only other Sim capacity in the country that is a large risk to your operation. Smart to neutralize it if you can and even better if the State Govt helps. It has been done before.
Torukmacto
6th Feb 2022, 04:23
There's only one thing worse than not creating a job, and that’s creating a job that in 18 months becomes redundant and then places all the stress on the poor employees who took the punt to go to this new job.
The managers don’t lose their jobs, only the poor suckers who are now without a job again because of an ill thought out venture.
18 months to get experience, gain contacts and look for a better job , or keep stacking shelves at Coles ? There is no job for life .
RickNRoll
6th Feb 2022, 10:03
So Rex is late to the party again?
They started the 737 operation thinking that Virgin was going to collapse. Then Bain purchase Virgin and bring it out of Administration.
They’ve now proposed building a sim centre - 2 weeks after Bain announce the purchase of Ansett Aviation Training.
And this claim by Rex that this investment will lead to 1300 direct and 1200 indirect jobs - what a complete nonsense.
NSW at least has an ICAC…
How do you know the Rex 737 flight schedule? Just look for the half price Virgin flight during the day and that's when it's flying.
lucille
6th Feb 2022, 21:43
Money being spent anywhere on the aviation industry has surely got to be a good thing. I don’t get why some folks are disgruntled.
Don’t like that Rex got the money? Or just don’t like that these funds aren’t being funnelled into yet another $10 bonus for the CEO of your dream airline ?
The argument that creating a job for someone now that may or may not be redundant in 18 months time is somehow worse than that person being being on the dole for the entire time just beggars belief. I cannot begin to imagine what kind of person thinks like this.
Ladloy
6th Feb 2022, 23:02
Money being spent anywhere on the aviation industry has surely got to be a good thing. I don’t get why some folks are disgruntled.
Don’t like that Rex got the money? Or just don’t like that these funds aren’t being funnelled into yet another $10 bonus for the CEO of your dream airline ?
The argument that creating a job for someone now that may or may not be redundant in 18 months time is somehow worse than that person being being on the dole for the entire time just beggars belief. I cannot begin to imagine what kind of person thinks like this.
I guarantee you that the money won't trickle down to jobs, nor will it benefit those that already work for the company other than the half dozen sitting on the board.
Money being spent anywhere on the aviation industry has surely got to be a good thing. I don’t get why some folks are disgruntled.
Don’t like that Rex got the money? Or just don’t like that these funds aren’t being funnelled into yet another $10 bonus for the CEO of your dream airline ?
The argument that creating a job for someone now that may or may not be redundant in 18 months time is somehow worse than that person being being on the dole for the entire time just beggars belief. I cannot begin to imagine what kind of person thinks like this.
What makes you think that everyone who works or will work for Rex was on the dole beforehand? Where did I say that? I’m actually thinking about the poor soles who up and move entire families for these “new opportunities”, only to find in 18 months time they really are now out on the dole, after they’ve disrupted their lives, all because of some managers wet dream that was unrealistic.
Torukmacto
7th Feb 2022, 03:46
Aviation may not be for everyone, one or two employers over 40 year career is rare these days . There will be a shortage of current and type rated pilots soon , 18 months as a part time sim instructor might get you in the door of 737 operator in Middle East or SE Asia when this sim operation fails ? I think there will be lots of training required in the medium future from small OS operators so it might turn out to be a good investment?
lastly 18 months might be perfect for a retired airline captain paying off 3 ex’s and gets him through to his first heart attack or better still give him reason to get out of bed and improve his health .
Let’s not argue against investment in aviation infrastructure even if you think it’s not economically viable in todays market .
airdualbleedfault
8th Feb 2022, 11:31
If it is in country and you bought it cheap (Cheap being around $6 Million AUD for a half life Sim) then it will be very viable to do the training for a 50 Pilots or more. Just not doing the late night sessions and having control of bookings will be a bonus by itself. Any bookings on top of that will be another bonus. When your competitors hold the only other Sim capacity in the country that is a large risk to your operation. Smart to neutralize it if you can and even better if the State Govt helps. It has been done before.
Think you may be incorrect there Coal, Network and VARA have been trying to talk someone into putting a 320 sim into Perf for years with (to date) 18 aircraft between them and still no takers.
Ladloy
9th Feb 2022, 07:32
Nifty says rex is on life support.