Qantas ordered to pay $59M over illegally outsourced ground handling jobs
Qantas has been ordered by the Australian Federal Court to pay a penalty of $59 million (AU$90 million) for the illegal dismissal of 1,800 ground workers at 10 airports across the country and replacing them with outsourced contractors.
Federal Court Justice Michael Lee said that the Australian flag carrier had shown the “wrong kind of sorry”, whereby it was more concerned about the impact on the company rather than the effect the case had on the illegally sacked employees.
Lee ordered that $50 million (AU$32.5 million) be paid directly to the Transport Workers’ Union (TWU), while a further $40 million (AU$26 million) penalty, which could end up with the affected employees, will be held for future payment.
On August 18, 2025, Qantas said that it accepted the Federal Court’s decision on the penalty.
“Today’s judgement holds us accountable for our actions that caused real harm to our employees,” Qantas said in a statement.
The airline also said it has paid $120 million (AU$78 million) into the compensation fund for all affected former employees, which is being administered by Australian plaintiff law firm Maurice Blackburn.
“We sincerely apologise to each and every one of the 1,820 ground handling employees and to their families who suffered as a result,” said Qantas Group Chief Executive Officer, Vanessa Hudson.
The airline CEO admitted that the decision to outsource five years ago caused genuine hardship for many of the airline’s former team and their families, “particularly during such an uncertain time.”
“Over the past 18 months we’ve worked hard to change the way we operate as part of our efforts to rebuild trust with our people and our customers. This remains our highest priority as we work to earn back the trust we lost,” Hudson said, adding that the impact was “felt not only by those who lost their jobs, but by our entire workforce.”
The airline said that it will pay the penalty in accordance with the court’s decision.
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Qantas has been ordered by the Australian Federal Court to pay a penalty of $59 million (AU$90 million)…
The post Qantas ordered to pay $59M over illegally outsourced ground handling jobs appeared first on AeroTime.
