You are here

Conservative Salaries

Alan Joyce became CEO of Qantas in 2008. Prior to joining Qantas in 2000 Joyce served on the board that oversaw the collapse of Australia's other domestic carrier at that time, Ansett Airlines. Joyce was one of the few people to walk away from Ansett with full pay and remuneration.

In 2009 Joyce's salary was $3 million, a salary he described as "conservative". He also held shares in Qantas valued at $10 million. In 2011 Joyce announced job losses and restructuring at Qantas. This restructure included the outsourcing of maintenance to a Singaporean company owned by Orangestar Investment Holdings (Joyce is a former director and significant shareholder in this company).

In October of that year Joyce granted himself a 71% increase in his remuneration package, increasing his total remuneration to $5 million per annum. At the same time Qantas workers were involved in industrial action for better safety conditions and a 5% pay rise. Joyce responded by locking out workers and grounding the Qantas fleet. This cost the airline $68 million. Later that month the board of Qantas used their majority shareholder status to increase their total remuneration by 50%.

When Joyce became CEO of Qantas the share price was $3. Five years later it is $1.17. In the wake of a $252 million loss, Joyce announced yesterday a wage freeze for all Qantas employees and the axing of 5000 jobs. Joyce however will be staying on.

Commenting on this Blog entry will be automatically closed on April 28, 2014.