Qantas to establish London base for flight staff (Dixon)
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Qantas to establish London base for flight staff (Dixon)
Tues "Sydney Morning Herald" Latest News
Qantas to establish London base for flight staff
June 22, 2004 - 1:39PM
Qantas Airways Ltd today said it will establish a base for 400 international flight attendant in London from June 2005, saving $18 million annually.
"As a global airline with very significant offshore operations we cannot continue to source all our people and services in Australia alone," Qantas chief executive Geoff Dixon said.
"We must strive for an internationally competitive cost base against many competitors who, through government ownership and subsidies, do not operate to the same economic disciplines as Qantas."
He said the airline's existing Australia-based cabin crew would be given priority for the London positions, and that there would be no job losses as a result of the new base.
Qantas also said it would establish a Brisbane base in early 2005, where 250 international cabin crew jobs would be relocated.
"Regardless of the take-up by existing staff for positions in London, our current growth means we are in a position to utilise all our current personnel and to grow some," Mr Dixon said.
He said setting up the the London base would save Qantas $18 million a year through rostering efficiencies and reduced accommodation and allowance costs.
"These savings, and others we need to continue to push through the company, are essential if Qantas is to continue to grow and prosper," he said.
Qantas currently has more than 4,000 international flight attendants in bases in Sydney, Perth, Melbourne, Auckland and Bangkok, with 94 per cent of all employees sourced in Australia.
Mr Dixon flagged the decision to establish a London base a month ago, when he told the National Press Club the airline could be more efficient if it sent jobs offshore.
Later, an internal memo reportedly showed Mr Dixon planned to relocate 25 per cent of the airline's cabin crew - or about 840 staff - to London in order to cut hotel and meal costs.
Today Mr Dixon said the London base would be operated by a wholly owned UK subsidiary, and salary levels in London would compare "well" with those offered by other airlines with UK-based crew.
Flight attendants would be able to return to their positions in Australia after they completed two-to-three year contracts in London.
He said it was "difficult to estimate", but that Qantas expected "existing Australia-based flight attendants would fill the majority of the London jobs".
He believed the new Brisbane base would attract widespread support from existing crew, and said international services to and from Brisbane would grow considerably in coming years.
Qantas shares were two cents lower at $3.40.
AAP
=========================================
Qantas to establish London base for flight staff
June 22, 2004 - 1:39PM
Qantas Airways Ltd today said it will establish a base for 400 international flight attendant in London from June 2005, saving $18 million annually.
"As a global airline with very significant offshore operations we cannot continue to source all our people and services in Australia alone," Qantas chief executive Geoff Dixon said.
"We must strive for an internationally competitive cost base against many competitors who, through government ownership and subsidies, do not operate to the same economic disciplines as Qantas."
He said the airline's existing Australia-based cabin crew would be given priority for the London positions, and that there would be no job losses as a result of the new base.
Qantas also said it would establish a Brisbane base in early 2005, where 250 international cabin crew jobs would be relocated.
"Regardless of the take-up by existing staff for positions in London, our current growth means we are in a position to utilise all our current personnel and to grow some," Mr Dixon said.
He said setting up the the London base would save Qantas $18 million a year through rostering efficiencies and reduced accommodation and allowance costs.
"These savings, and others we need to continue to push through the company, are essential if Qantas is to continue to grow and prosper," he said.
Qantas currently has more than 4,000 international flight attendants in bases in Sydney, Perth, Melbourne, Auckland and Bangkok, with 94 per cent of all employees sourced in Australia.
Mr Dixon flagged the decision to establish a London base a month ago, when he told the National Press Club the airline could be more efficient if it sent jobs offshore.
Later, an internal memo reportedly showed Mr Dixon planned to relocate 25 per cent of the airline's cabin crew - or about 840 staff - to London in order to cut hotel and meal costs.
Today Mr Dixon said the London base would be operated by a wholly owned UK subsidiary, and salary levels in London would compare "well" with those offered by other airlines with UK-based crew.
Flight attendants would be able to return to their positions in Australia after they completed two-to-three year contracts in London.
He said it was "difficult to estimate", but that Qantas expected "existing Australia-based flight attendants would fill the majority of the London jobs".
He believed the new Brisbane base would attract widespread support from existing crew, and said international services to and from Brisbane would grow considerably in coming years.
Qantas shares were two cents lower at $3.40.
AAP
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Foot in mouth
"As a global airline with very significant offshore operations we cannot continue to source all our people and services in Australia alone," Qantas chief executive Geoff Dixon said.
How interesting.
So why did his Cabin Crew Recruitment and Promotion staff send the following email to all Shortlisters today? Some Shortlisters have not been on the list for 18 months yet:
Dear ***
This letter is in reference to your current Qantas Flight Attendant
application on our shortlist, which was extended until the 28th May 2004.
As your application has now been on our shortlist for a period of over 18
months, I wish to advise you that you that your application has now
expired.
To be considered for possible Flight Attendant positions available in the
future, you will be required to re-apply for positions being advertised.
In order to assist you with your re-application Recruitment & Promotion
will contact you once recruitment commences. This advice does not change
the expiry of your application nor amount to a guarantee or commitment to
a position with Qantas. Should any of your contact details change, please
advise us in writing by fax (02) 9691 1930.
You may also wish to contact the Qantas hotline on (02) 9691 3200 and
Qantas website at www.qantas.com.au regularly to keep informed of any
recruitment activities.
We would like to take this opportunity thank you for the time and effort
you have invested in your application to date and wish you well with your
future career endeavours.
Yours sincerely
Recruitment & Promotion Co-ordinator
Customer Services
PLEASE NOTE: [email protected] is an unattended mailbox. We will
not reply to any e-mails sent to this address.
How interesting.
So why did his Cabin Crew Recruitment and Promotion staff send the following email to all Shortlisters today? Some Shortlisters have not been on the list for 18 months yet:
Dear ***
This letter is in reference to your current Qantas Flight Attendant
application on our shortlist, which was extended until the 28th May 2004.
As your application has now been on our shortlist for a period of over 18
months, I wish to advise you that you that your application has now
expired.
To be considered for possible Flight Attendant positions available in the
future, you will be required to re-apply for positions being advertised.
In order to assist you with your re-application Recruitment & Promotion
will contact you once recruitment commences. This advice does not change
the expiry of your application nor amount to a guarantee or commitment to
a position with Qantas. Should any of your contact details change, please
advise us in writing by fax (02) 9691 1930.
You may also wish to contact the Qantas hotline on (02) 9691 3200 and
Qantas website at www.qantas.com.au regularly to keep informed of any
recruitment activities.
We would like to take this opportunity thank you for the time and effort
you have invested in your application to date and wish you well with your
future career endeavours.
Yours sincerely
Recruitment & Promotion Co-ordinator
Customer Services
PLEASE NOTE: [email protected] is an unattended mailbox. We will
not reply to any e-mails sent to this address.
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Some food for thought now that Geoff Dixon has announced Lesley Grant's plans for London's offshore base.
Firstly some background.
Qf are at present enjoying the most profitable position in it's 80 odd year history. This coming at a time when it's international load factors have rebounded stronger than anyone predicted after the chaos of recent events.
Evidence suggests that passenger satisfaction levels on international flights are also VERY high.Qf have gone from 5th to 4th best international airline [as voted by skytrax].This result remarkable given the reduced CC complement on all international AC.
It should also be noted that those 3 carriers that rate higher in the skytrax survey ALL operate the 747 3 class AC with 2,3 and 4 more FAs than QF's 15.
It would be hard to argue otherwise, given these results and the evidence of high load factors and general passenger satisfaction that I see that QF have a group of hard working, co-operative, conscientious and dedicated cabin crew.[QF cabin crew haters insert bias here]
The London Base
QFs plans to open a base in LHR will, as reported save QF something in the order of 18 million dollars. As reported in, "The Age"-
"The plan was received well by stock analysts, who said the potential savings were modest but contributed to the airline's growth prospects.
"It's not a huge amount but it's certainly a good move," Commonwealth Securities analyst Matt Crowe said.
Whilst the financial analysts think the benefit to QF's bottom line "modest" the net effect to the 4000 international flight attendants is huge.
Loss of income, lifestyle and overall job security.
Not to mention the hypocracy of "The Spirit Of Australia" shipping hundreds of jobs overseas.
In short this is seen by international flight attendannts as a massive slap in the face given the wage restraint, co-operation and results THEY have delivered to QF of late.
If I were a Fund Manager, QF employee or even mum and dad investor I would look very carefully at the long term effect to QF and its reputation.
QF might just end up with the FA's it deserves.
BTW $18 million dollars represents an improvement of 1.8% to QF's reported ebit profit this year of $1 Billion AUD.
Think about it.
L2P
P.S. But thats OK. Geoff Dixon, Lesley Grant and others will have their performance bonuses and be long gone.
Firstly some background.
Qf are at present enjoying the most profitable position in it's 80 odd year history. This coming at a time when it's international load factors have rebounded stronger than anyone predicted after the chaos of recent events.
Evidence suggests that passenger satisfaction levels on international flights are also VERY high.Qf have gone from 5th to 4th best international airline [as voted by skytrax].This result remarkable given the reduced CC complement on all international AC.
It should also be noted that those 3 carriers that rate higher in the skytrax survey ALL operate the 747 3 class AC with 2,3 and 4 more FAs than QF's 15.
It would be hard to argue otherwise, given these results and the evidence of high load factors and general passenger satisfaction that I see that QF have a group of hard working, co-operative, conscientious and dedicated cabin crew.[QF cabin crew haters insert bias here]
The London Base
QFs plans to open a base in LHR will, as reported save QF something in the order of 18 million dollars. As reported in, "The Age"-
"The plan was received well by stock analysts, who said the potential savings were modest but contributed to the airline's growth prospects.
"It's not a huge amount but it's certainly a good move," Commonwealth Securities analyst Matt Crowe said.
Whilst the financial analysts think the benefit to QF's bottom line "modest" the net effect to the 4000 international flight attendants is huge.
Loss of income, lifestyle and overall job security.
Not to mention the hypocracy of "The Spirit Of Australia" shipping hundreds of jobs overseas.
In short this is seen by international flight attendannts as a massive slap in the face given the wage restraint, co-operation and results THEY have delivered to QF of late.
If I were a Fund Manager, QF employee or even mum and dad investor I would look very carefully at the long term effect to QF and its reputation.
QF might just end up with the FA's it deserves.
BTW $18 million dollars represents an improvement of 1.8% to QF's reported ebit profit this year of $1 Billion AUD.
Think about it.
L2P
P.S. But thats OK. Geoff Dixon, Lesley Grant and others will have their performance bonuses and be long gone.
Last edited by Left2primary; 22nd Jun 2004 at 14:48.
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"Brisbane base in early 2005...250 ...cabin crew jobs would be relocated."
Relocated from UK? I doubt it...
Interestingly, I believe JAL does the same thing with crew in London. Big bucks. I didn't realise Asian airlines took this route.
Yellow rocket. Did you name yourself after your shlong??? Or longings? Is that very mature??
Relocated from UK? I doubt it...
Interestingly, I believe JAL does the same thing with crew in London. Big bucks. I didn't realise Asian airlines took this route.
Yellow rocket. Did you name yourself after your shlong??? Or longings? Is that very mature??
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Wed "Sydney Morning Herald"
Qantas to relocate 400 crew overseas
By Scott Rochfort
June 23, 2004
Qantas will relocate 400 jobs to London within a year, putting it on a collision course with staff by breaking an agreement to limit the number of cabin crew based overseas.
The airline's chief executive, Geoff Dixon, said he "made no apologies at all" for the plan, which breaks a three-year-old agreement with the union to cap the number of flight attendants Qantas employs overseas at 370.
Qantas could face industrial action in Australia, as well as stoppages by members of the International Transport Workers Federation at Heathrow Airport.
However, Mr Dixon said: "They won't bring us to a standstill, that's a hypothetical."
Under the plan, Mr Dixon said, Australian-based crew would be given a "very, very sound and quite good offer" to work in London.
"If we get a full take-up, well it might be all Australians. But any shortfall will be sourced locally in London," he said.
Following the lead taken by airlines such as United Airlines and Air New Zealand, Qantas expects to save $18 million a year by having a London base, given it will cut meal allowances and hotel costs and improve roster efficiencies. Essentially, it will pay the London staff the same wages as it pays Australian crews, but will save on the cost of having to rest long-haul crews in London for three days, where it pays crew about £60 ($160) a day in meal allowances alone.
Mr Dixon said it was "all part of trying to be more competitive, continue to get more efficiencies in the company and to run the company better". He said Qantas's relationship with its international cabin crew was "very very good".
But the Flight Attendants Association said strike action was possible when the union's current enterprise agreement with the airline expired in December.
The association's national industrial officer, Victoria Skinner, said: "We think Qantas are trying to soften the flight attendants by having reasonable terms and conditions [in London]. Over time we think those terms and conditions will erode."
Qantas was on track to post a record full-year net profit above $650 million, Ms Skinner said. "If this is cost-cutting in this sort of environment, what will we see in a downturn?"
Under the present enterprise agreement, Qantas is allowed to base 370 cabin crew - sourced from the labour hire firm Adecco - at its Auckland and Bangkok crew bases.
But an internal Qantas document, leaked recently to the Herald, not only predicted the London move, but cited Qantas's desire eventually to base up to 1000 crew overseas. Mr Dixon yesterday denied any knowledge of that document.
It is understood Qantas has also looked at basing crew in Los Angeles and Johannesburg.
Mr Dixon failed to rule out the relocation of more of Qantas's 35,000 workforce in the lead-up to a meeting with all of the airline's 14 unions in Sydney tomorrow evening.
"We certainly will not be putting any definitive plans to the unions on Thursday about offshoring. I think I've said before that we'll always consider that, I think we probably need to, but our overall aim is for Qantas to maintain a great amount of its employment in Australia."
==========================================
Qantas to relocate 400 crew overseas
By Scott Rochfort
June 23, 2004
Qantas will relocate 400 jobs to London within a year, putting it on a collision course with staff by breaking an agreement to limit the number of cabin crew based overseas.
The airline's chief executive, Geoff Dixon, said he "made no apologies at all" for the plan, which breaks a three-year-old agreement with the union to cap the number of flight attendants Qantas employs overseas at 370.
Qantas could face industrial action in Australia, as well as stoppages by members of the International Transport Workers Federation at Heathrow Airport.
However, Mr Dixon said: "They won't bring us to a standstill, that's a hypothetical."
Under the plan, Mr Dixon said, Australian-based crew would be given a "very, very sound and quite good offer" to work in London.
"If we get a full take-up, well it might be all Australians. But any shortfall will be sourced locally in London," he said.
Following the lead taken by airlines such as United Airlines and Air New Zealand, Qantas expects to save $18 million a year by having a London base, given it will cut meal allowances and hotel costs and improve roster efficiencies. Essentially, it will pay the London staff the same wages as it pays Australian crews, but will save on the cost of having to rest long-haul crews in London for three days, where it pays crew about £60 ($160) a day in meal allowances alone.
Mr Dixon said it was "all part of trying to be more competitive, continue to get more efficiencies in the company and to run the company better". He said Qantas's relationship with its international cabin crew was "very very good".
But the Flight Attendants Association said strike action was possible when the union's current enterprise agreement with the airline expired in December.
The association's national industrial officer, Victoria Skinner, said: "We think Qantas are trying to soften the flight attendants by having reasonable terms and conditions [in London]. Over time we think those terms and conditions will erode."
Qantas was on track to post a record full-year net profit above $650 million, Ms Skinner said. "If this is cost-cutting in this sort of environment, what will we see in a downturn?"
Under the present enterprise agreement, Qantas is allowed to base 370 cabin crew - sourced from the labour hire firm Adecco - at its Auckland and Bangkok crew bases.
But an internal Qantas document, leaked recently to the Herald, not only predicted the London move, but cited Qantas's desire eventually to base up to 1000 crew overseas. Mr Dixon yesterday denied any knowledge of that document.
It is understood Qantas has also looked at basing crew in Los Angeles and Johannesburg.
Mr Dixon failed to rule out the relocation of more of Qantas's 35,000 workforce in the lead-up to a meeting with all of the airline's 14 unions in Sydney tomorrow evening.
"We certainly will not be putting any definitive plans to the unions on Thursday about offshoring. I think I've said before that we'll always consider that, I think we probably need to, but our overall aim is for Qantas to maintain a great amount of its employment in Australia."
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Bl@@dy good move, I say.
And while yer at it, Geoff, mate, why don't ya base yerself and the other top fat cats o/s..say in China, mate.
That way ya could draw a Chinese salery instead of an Ozzie one, and add at least another $1.8 mil to the bottom line!!
Good idea, mate?
C'mon Geoff - that's the spirit!
Be seein' youse round!
And while yer at it, Geoff, mate, why don't ya base yerself and the other top fat cats o/s..say in China, mate.
That way ya could draw a Chinese salery instead of an Ozzie one, and add at least another $1.8 mil to the bottom line!!
Good idea, mate?
C'mon Geoff - that's the spirit!
Be seein' youse round!
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JAL does have London based crews and they don't come close to their Japanese peers in terms of service.
At least Qantas is looking at London as a base and not China or India. London in some ways offers the same standard of living and pay rates as Australia.
At least Qantas is looking at London as a base and not China or India. London in some ways offers the same standard of living and pay rates as Australia.
Wait for the uproar from the media and unions when they get the details of another massive overseas outsourcing (non crew or call centre) that Qantas has signed. It will make the cabin crew move look miniscule.
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Lets just hope that QF will pay their London staff more than Richard Branson does his F/A's at Virgin Atlantic.
Good friend working for Sir Dick had to leave because she just couldnt physically afford to live in London on the miserly pay given.
She now works for BA and is much happier with being paid a more affordable wage.
The fact seems to remain that by our own standards here in Oz, we are so much better off than middle class people in the UK in terms of quality of life and standard of living.
Good friend working for Sir Dick had to leave because she just couldnt physically afford to live in London on the miserly pay given.
She now works for BA and is much happier with being paid a more affordable wage.
The fact seems to remain that by our own standards here in Oz, we are so much better off than middle class people in the UK in terms of quality of life and standard of living.
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Dam shame that.
No more shopping expeditions to Marcs and Spencer, Sainsbury's or Harrods at Knightsbridge.
I wonder if they would feel the same way if they were accomodated everywhere at Airport Hotels and miles from town as do CX at most ports.
No more shopping expeditions to Marcs and Spencer, Sainsbury's or Harrods at Knightsbridge.
I wonder if they would feel the same way if they were accomodated everywhere at Airport Hotels and miles from town as do CX at most ports.
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Air crew in for the long haul
Tues "The Australian"
Air crew in for the long haul
By Steve Creedy
June 29, 2004
QANTAS has told Australian flight attendants they will not lose money if they move to the airline's new London base - but they will be expected to work longer hours.
Flight Attendants Association of Australia representatives were told yesterday that Qantas would offer Australian cabin crew headed for London average pay of pound stg. 24,050 ($62,944), calculated on a base rate plus a lump sum to cover overtime and other benefits.
But FAAA international division secretary Michael Mijatov said Australian flight attendants opting to spend time in London would have to work up to 30 per cent longer hours and holidays would be cut from six weeks to five.
"What they're saying is we'll give you the same money but for a 30 per cent increase in hours," he said.
"It's like a 30 per cent pay reduction."
Mr Mijatov said British flight attendants employed at the base would get pound stg. 16,800.
He did not believe Qantas wanted Australian cabin crew to take up the offer.
The FAAA will begin meetings next week to gauge cabin crews' reaction to the Qantas proposal. The meetings will be held in Sydney, Perth, Melbourne and Brisbane.
The FAAA is unhappy with the attempt to breach a limit of 370 on the number of foreign-based flight attendants Qantas can employ.
Mr Mijatov said increasing the number of overseas-based flight attendants would severely compromise the union's ability to take industrial action.
The union would decide what to do after judging the reaction from the meetings.
"Hypothetically, if the bulk of flight attendants (are) going to say at the meeting that this isn't an issue for them, then so be it," he said. "But I don't think that's what they're going to say."
===========================================
Air crew in for the long haul
By Steve Creedy
June 29, 2004
QANTAS has told Australian flight attendants they will not lose money if they move to the airline's new London base - but they will be expected to work longer hours.
Flight Attendants Association of Australia representatives were told yesterday that Qantas would offer Australian cabin crew headed for London average pay of pound stg. 24,050 ($62,944), calculated on a base rate plus a lump sum to cover overtime and other benefits.
But FAAA international division secretary Michael Mijatov said Australian flight attendants opting to spend time in London would have to work up to 30 per cent longer hours and holidays would be cut from six weeks to five.
"What they're saying is we'll give you the same money but for a 30 per cent increase in hours," he said.
"It's like a 30 per cent pay reduction."
Mr Mijatov said British flight attendants employed at the base would get pound stg. 16,800.
He did not believe Qantas wanted Australian cabin crew to take up the offer.
The FAAA will begin meetings next week to gauge cabin crews' reaction to the Qantas proposal. The meetings will be held in Sydney, Perth, Melbourne and Brisbane.
The FAAA is unhappy with the attempt to breach a limit of 370 on the number of foreign-based flight attendants Qantas can employ.
Mr Mijatov said increasing the number of overseas-based flight attendants would severely compromise the union's ability to take industrial action.
The union would decide what to do after judging the reaction from the meetings.
"Hypothetically, if the bulk of flight attendants (are) going to say at the meeting that this isn't an issue for them, then so be it," he said. "But I don't think that's what they're going to say."
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6 to 8 Aus Dollars for a beer and 2 dollars for a litre of petrol! Welcolme to the SE of England! There is a reason so many UK based airline crews are living on the Continent.....
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Yes it is very expensive to live in LHR ..... thats why most of us planning on going there wont be living there .... I am thinking somewhere in Spain and a little commute for duty ....maybe france... the package is quite good, still get proper staff travel (at a subsidiary level), the pay compares well to other UK based airlines .... a few extra hours? ah well, I can cope with that ..... it can be seen as a great opportunity by those with a sense of adventure 
and such easy flying too LHR-SIN, LHR-BKK, LHR-HKG + summer charters .... very noice .....this old gal cannot wait !
and such easy flying too LHR-SIN, LHR-BKK, LHR-HKG + summer charters .... very noice .....this old gal cannot wait !
