Qantas board under pressure on bonuses, Joyce’s share sale
Qantas’ major superannuation investors have put the airline’s board on notice over the “significant damage to reputation” it has sustained in the past 12 months, saying they are scrutinising executive bonuses this year.
The airline’s chief executive, Alan Joyce, was granted $10.8 million in shares on Friday under a pandemic-era retention scheme and for long-term bonuses from 2020, 2021 and 2022, which he had previously deferred. The airline posted statutory total losses of $6.3 billion over those three years.
The intervention from the Australian Council of Superannuation Investors adds to the significant pressure brought on the Richard Goyder-chaired board by a regulatory investigation which alleges the airline sold hundreds of millions of dollars of tickets on flights that were already cancelled.
Alan Joyce makes no apologies for Qantas’ blockbuster profit last week.
The Australian Competition and Consumer Commission on Thursday launched Federal Court action alleging the carrier had deliberately deceived thousands of passengers, forcing the company to scrap the expiry of $570 million of credits it was on track to book as breakage revenue in December.
The intervention of the industry superannuation funds – which between them and other public sector investors including the Future Fund control more than 20 per cent of the shares in Qantas – came after Labor national president Wayne Swan said the company’s board “should be accountable”.
“We have price gouging and deceptive conduct and real questions to be answered by Qantas, and in particular the Qantas board, which has appeared to be arrogant and very much in breach of the law,” he said.
Mr Swan said the Albanese government should reconsider a decision to stop Qatar
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