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Virgin Australia is waiting for the federal government to approve its deal with Qatar before announcing a new CEO, according to reports.
The Australian Financial Review has claimed the airline is mindful that the Transport Workers’ Union strongly opposes the favourite for the top job, former Qantas executive Paul Jones, due to his apparent role in the illegal sacking of ground workers mid-COVID-19.
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Current CEO Jayne Hrdlicka announced her resignation in February 2024 but remains in the post almost a year later, while Virgin Australia and its owners, Bain, have repeatedly refused to respond to speculation on who her successor will be.
Qatar plans to buy 25 per cent of Virgin Australia and launch wet lease flights to Doha using its own aircraft and crew.
The ACCC has approved the deal, but it still needs to be green-lit by the federal government’s Foreign Investment Review Board (FIRB), which advises Treasurer Jim Chalmers.
TWU national secretary Michael Kaine previously told Australian Aviation that Virgin still has “significant work to do to rebuild workforce morale” after long negotiations with crew over pay and conditions earlier this year, and that Jones would jeopardise these efforts.
“Clearly, in a time of immense uncertainty for Virgin crew around the implications of the wet lease with Qatar, a decision to install Paul Jones of Qantas illegal sackings infamy would be disastrous for morale,” Kaine said.
The TWU has backed the Qatar deal as being good for Australian job opportunities.
However, Kaine told the Financial Review it may revisit its support if Jones is appointed.
“We want to be supportive of the deal and getting Virgin back to long-haul flying. We want to be constructive and work with the airline, but that attitude will change if Bain decides to appoint Paul Jones,” he said.
The TWU had made its concerns about Jones known in a June letter sent to Bain Capital partner Mike Murphy, copied to Hrdlicka.
The union also says it has written to Virgin over concerns about working conditions and human rights in Qatar, including discrimination against female and LGBTQ+ employees. Hrdlicka has said the deal would be good for Australian workers.
“We have to be realistic about the substantial concerns workers and the travelling public have, given Qatar’s track record with human rights and worker abuses,” Kaine said in a statement.
“There need to be appropriate guardrails in place to make sure workers are consulted and protected throughout this process.
“It’s positive that Virgin has met with TWU delegates immediately to talk through these issues in what is an uncertain time for workers. We need to see Virgin make commitments to ensure positive outcomes from these arrangements with Virgin.”
Virgin and Bain have both declined to comment on who its next CEO will be.
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says:If the Govt. calls an election soon then just maybe the Virgin/Qatar deal will be on hold.