Australia’s national airline, Qantas, is facing a potential $121 million fine after a landmark High Court ruling was confirmed. The airline unlawfully sacked nearly 1,700 ground staff in 2020.
The airline has publicly apologised for the mass terminations. This occurred during the height of the COVID-19 pandemic, but the fallout is far from over. The case, originally brought forward by the Transport Workers Union (TWU). It may result in one of the largest corporate fines in Australian legal history.
What Happened?
Back in 2020, Qantas made the decision to outsource 1,683 ground handling jobs. And citing operational cost-cutting in response to pandemic-related disruptions. These workers were responsible for baggage handling, aircraft cleaning, and other on-the-ground duties at major Australian airports.
However, the TWU argued that the decision wasn’t just about cost. It was also an attempt to prevent staff from engaging in future industrial action.
After years of legal back-and-forth, the High Court upheld a previous Federal Court ruling that found Qantas had breached the Fair Work Act. The airline was found to have acted unlawfully by outsourcing the roles in a way that intentionally disadvantaged unionised workers.
Qantas Says “Sorry”—But Is That Enough?
Following the High Court ruling, Qantas issued a public statement expressing regret over the decision. The airline said it accepted the judgment and acknowledged it “deeply regrets” the impact on affected employees.
Despite the apology, the airline made it clear it will not reinstate the sacked workers. Compensation will be considered, with affected staff eligible for financial redress through further legal proceedings.
Union Demands Justice
The TWU has welcomed the court’s decision and is now pushing for the maximum financial penalty.
“This is a watershed moment,” said TWU National Secretary Michael Kaine. “The High Court has confirmed what workers have known all along. That they were targeted and treated unfairly by one of the most powerful corporations in the country.”
Kaine went on to say that anything less than the full $121 million fine. It would be a missed opportunity to hold Qantas accountable.
What Happens Now?
The Federal Court will now decide the exact financial penalty Qantas must pay. Under current industrial law, the airline could be fined up to $63,000 per breach, with a total of nearly 2,000 breaches potentially on the table.
Legal experts suggest that if Qantas is fined the full amount,. It could set a precedent for how companies are held accountable for large-scale workplace violations.
Impact on Reputation
For Qantas, the court ruling adds to a string of recent public relations challenges. Including controversies over flight delays, pricing, and executive pay.
Consumer confidence in the airline has been shaky. And this case is likely to further impact the brand’s image across Australia and beyond. Even here in New Zealand, where Qantas remains a key player in trans-Tasman travel.
