The $90 million penalty imposed on the national carrier – the “biggest ever ordered by a court for violations of industrial relations laws in Australia’s legal history” – is a shot across the bow for corporations across the country, says national law firm Maurice Blackburn.
According to Maurice Blackburn principal Josh Bornstein, who represented the TWU, the record penalty meant corporate Australia was on notice that courts would not tolerate “blatant attacks” on workers’ rights.
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“This record-breaking penalty reflects the monumental scale of Qantas’ wrongdoing and the court’s concern that Qantas and the business community need to understand that calculated, mass violations of workplace laws may result in severe financial punishment,” he said.
“Qantas, under then Alan Joyce’s leadership, seized the opportunity presented by the COVID pandemic to realise its long-held aim: to rid its operations of the TWU and its members working as baggage handlers and ground staff.”
“This was a carefully planned and executed union-busting operation. Qantas worked for months on its plan to try and avoid an adverse outcome in a legal challenge. Qantas tried to hide the involvement of Alan Joyce in the plan. The plan fell apart once Qantas had to hand over documents and its executives were cross examined in the federal court,” Bornstein said.
“The payment of the penalty to the TWU reflects the risks it courageously took to pursue and resource a difficult and hard-fought case on behalf of its members and other employees of Qantas. The payment should encourage others to pursue compliance with industrial relations laws. If unions like the TWU don’t enforce the laws, big businesses are emboldened to flout them.”
The judgment, the TWU noted in its own statement, marks the “end of a David and Goliath five-year battle”, and is “the final vindication for workers whose decision to fight the case was derided and mocked by Qantas management from day one”.
TWU national secretary Michael Kaine said: “These were committed Qantas workers who had done nothing wrong and had loyally served this company, in many cases for decades. They weren’t just sacked, they were told by Qantas that they were delusional for questioning it. This ruthless, self-interested and illegal calculation to kick them to the curb has rightfully merited the largest ever penalty of its kind.”
“These workers took on a fight against a company with almost limitless resources, knowing it was a long shot, and today’s decision is a $90 million message to corporate Australia that workers will stand up for what’s right,” he said.
“Qantas was not sorry to workers when it illegally outsourced these workers, many finding out they’d lost their jobs over a loudspeaker in the lunch room. It was not sorry when it dragged them all the way to the High Court, or when it argued it should have to pay them no compensation at all. Qantas is only sorry now that it has to pay the largest penalty fine of any employer in Australian corporate history.”
“If Qantas is serious about changing its behaviour, it will now move to improve standards for workers in its supply chain at companies like Swissport still suffering appalling safety incidents, understaffing and low pay,” Kaine said.