PPRuNe Forums - Future of Jetstar

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- - Future of Jetstar (https://www.pprune.org/australia-new-zealand-pacific/631456-future-jetstar.html)

Quote:

Originally Posted by Sunfish (Post 10748116)

I add this comment as input to discussion of the future. If Virgin folds and there is no effective competition to jetstar, then I would expect the Qantas group to strangle the Australian tourist industry. Australia is borderline tourism competitive now(pre covid) there MUST be a competitive travel market or Qantas/Jetstar will just increase prices.

So far for our cancelled winter travel to Europe, we have recovered our airfares and cancelled our accommodation bookings with a loss to date of around $600. The yacht charter in Croatia was moved forward a year at no charge. The italian ferry company is supposedly bankrupt so no refund there.

The saddest part is that we had just perfected our holiday travel methods; A very small car, AirBnB in small towns, avoiding European air travel and substitute car ferry or train. Google and suchlike for restaurants and Waze on the iPad for navigation. If you are not time poor, such an approach is pretty economical compared to say staying in Australia and visiting Broome, Port Douglas or Hamilton Is.

When we look at it overall, two economy tickets with Vietnam Airlines and a couple of nights in Vietnam each way to break the jet lag plus the travel methods mentioned above are pretty good value compared to any Australian destinations. I remember the bad old days - when Qantas had virtual mono poly rights. I did the Melbourne sydney heathrow thing about seven times because I had a homesick British wife. The cost in those days was about $7000 for the three of us. I do not wish to see a return to that pricing (and never Heathrow) if Qantas once again dominated the market. As for domestic travel the charges were astronomical.

Yes Sunfish we get it. You hate Qantas. You would prefer to spend your money flying Wuhan Airlines on your overseas adventure, then spend a single $ at Qantas.

I'm sure Qantas doesn't miss you. You would be one of those passengers with a 'history' in the system. The cabin crew would know all about you, right down to when you whinged about being forced to sit next to a fat person, or how your economy meal wasn't up to standard.

Jetstar is here to stay. The cheap fares available 12 months in advance are here to stay. You know why? Because peoples plans change 12 months out, and Jetstar make a killing on no shows. If you think Jetstar prices will go up overnight you are a moron. As if Allan would give any foreign carrier a chance of setting up shop. Jetstar will remain where it is, as it still serves a purpose.

Quote:

Originally Posted by Sunfish (Post 10748222)

I may even have my yellow international health certificate book somewhere.

If you actually knew anything about aviation outside of Australia, you would know that foreign crew still carry it.

Quote:

Originally Posted by normanton (Post 10750380)

Jetstar is here to stay. The cheap fares available 12 months in advance are here to stay. You know why? Because peoples plans change 12 years out, and Jetstar make a killing on no shows. If you think Jetstar prices will go up overnight you are a moron. As if Allan would give any foreign carrier a chance of setting up shop. Jetstar will remain where it is.

Well I do agree with this, however the days of $50 return tickets to where ever will be gone for a few yrs, rightly so!

I hear certain radio personalities, Government ppl etc demanding SM step in and pay up to keep fares fair! Well someone needs to tell those ppl prices will go up after this we need to pay the debt back somehow. If SM comes to the party how else will VA pay back the debt! Not by lowering ticket prices that’s for sure.

VA will survive not as an Airline not with 330s,777 and the 70 737s. This will be JQ new competition, stopping a reformed VA from growing.

Questions for anyone in the know.....?

Is there a minimum staffing level from a regulatory point of view to keep an AOC going ?

I hear J* and QF are still running very limited domestic flights. Is it not possible to completely hibernate one of them for a few months ?

Surely one of them could handle any increase when it comes, and the other could be woken up at the end of the year / next year?

Thx

Quote:

Originally Posted by novice110 (Post 10750489)

stop it! That’s sensible talk you’re makin’ ...CASA will have you shot!

Quote:

Originally Posted by Ragnor (Post 10750454)

I hear certain radio personalities, Government ppl etc demanding SM step in and pay up to keep fares fair! Well someone needs to tell those ppl prices will go up after this we need to pay the debt back somehow. If SM comes to the party how else will VA pay back the debt! Not by lowering ticket prices that’s for sure.

It’s not SM’s money to stump up, it’s tax payers. If tax payer money is used to bail out Virgin, the government has to have a fairly good chance of recovering it.

I want Virgin to survive but not at massive tax payer expense.

I want VA to survive as much as the next person, I am not in favour of $1.4B of tax payer money given to them as a loan, has anyone figured out how they would pay it back?! $1.4B should be given to the industry not a single business.

Any news on JQ EBA? Pay freeze? Pay cuts?

Have heard 9% pay cut is already baked in due to the expired EBA ?

Quote:

Originally Posted by Hudson5 (Post 10957414)

Unfortunately VA won’t survive, too high cost base.

You living on mars?

it appears to me, QF are going to use JQ to try to combat lower cost Rex & new VA domestically & think JQ might ramp up trans-tasman before VA starts flying internationally

VA have already announced a number of Tasman services ex-OZ starting on 31 March. As for the EBA, most Jetstar pilots have already taken a 50% paycut this year. Joyce has said that whatever Virgin secures is what he will be looking for across the Qantas Group, I see Virgin have basically locked in a pay freeze. So for Jetstar the 50% pay cut and then a pay freeze for the next EBA will then say the Company 3% rises compounding.

Quote:

Originally Posted by Ollie Onion (Post 10957523)

50% cut to base?

Quote:

Originally Posted by NzCaptainAndrew (Post 10957528)

50% cut to base?

I think Ollie is referring to the fact that the majority of JQ pilots have been stood down for most of the year and will therefore not earn base wage. Jobkeeper was $3000/month, dropping to $2200/month, so if you didn't work for 9 months, you will likely earn about 50% of base wage.

That is still better than redundancy or Stand down without pay.

You will be cutting yourself to be paid less than a Rex pilot to the idiots that even contemplate it. It’s bad enough Rex used Jetstar as a pawn in determining how to craft it’s own pay scales, looking at the worst paid then taking 10% off it!

Nearly 2 decades in operation and you want to earn less than some new startup who had not even launched yet?

Nothing to cut. They have saved enough over the years as it.

I would actually be surprised if Rex even launch their 737 operation in March now. They will surely not fly it empty. Maybe ADL-PPH for the inaugural.

Quote:

Originally Posted by novice110 (Post 10957361)

Have heard 9% pay cut is already baked in due to the expired EBA ?

Is this true?

Flew VA yesterday.

Nothing worked; it was like Ryanair with red uniforms - their core will drift elsewhere.

Quote:

Have heard 9% pay cut is already baked in due to the expired EBA ?

An ENTERPRISE AGREEMENT remains in force after its' expiry date until a new agreement is approved or it is otherwise terminated by the FWC.

https://www.fwc.gov.au/enterprise-ag...0expiry%20date.

SO MUCH MISINFORMATION, do some research.

Yes remains in force. However no pay increases since expiry ?

3% + 3% + 3% = 9%

Quote:

Originally Posted by Icarus2001 (Post 10961510)

so does this mean they have permanently lost 9%?