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Stranded Qantas passengers await labour ruling

Monday, 31 October 2011


SYDNEY, Oct 30 (Reuters): Tens of thousands of stranded Qantas Airways passengers are pinning their hopes on a government-appointed tribunal Sunday ordering an end to the industrial action that grounded the Australian national carrier's entire fleet. Qantas said Sunday it had cancelled 447 flights affecting more than 68,000 passengers since grounding more than 100 aircraft around the world Saturday. The airline is seeking to bring to a head a prolonged and increasingly bitter battle with its unions over pay, working conditions and plans to set up two new airlines in Asia. Qantas plans to cut 1,000 jobs and order $9 billion of new Airbus aircraft as part of a makeover to salvage its loss-making international business. The marked escalation in the dispute angered the government and came as an embarrassment for Prime Minister Julia Gillard, who was hosting a summit of Commonwealth leaders in the western city of Perth, 17 of them booked to fly out Sunday with Qantas. Qantas chief executive Alan Joyce has estimated the "bold decision, an unbelievable decision" would cost the company A$20 million ($21.4 million) a day. He said the special labour tribunal would have to terminate all industrial action before the airline could resume flying.