Qantas CEO Alan Joyce to fly the coop two months early
Qantas CEO Alan Joyce quits Qantas early after a string of PR disasters and a $250 million ACCC lawsuit. Vanessa Hudson to take over.
Outgoing Qantas CEO Alan Joyce will be departing the company two months early. CFO Vanessa Hudson will take over the role from Wednesday.
Qantas cops PR blow after blow
This news comes after a particularly tough week for Qantas, with the ACCC launching a $250 million federal court case against the airlines. The consumer watchdog is alleging that Qantas sold tickets across 8,000 flights that were already cancelled between May and July 2022.
But this was just the chaser of ongoing PR issues for Qantas. In the weeks leading up to the announced lawsuit, the federal government rejected a bid from Qatar Airways regarding an extra 21 flights per week servicing Melbourne, Sydney and Brisbane.
Just last week Assistant Treasurer Stephen Jones confirmed that the decision would assist in keeping Qantas profitable. This occurred just one week after Qantas posted a record $2.5 billion in profit.
Qantas also recently revealed that it was still sitting on $570 million in unredeemed flight credits from cancelled flights during the pandemic. The airline came under public scrutiny recently over plans to let the credits expire in 2024 and was forced to reverse the decision.
And lastly, the flying kangaroo also came under fire in August when the Australian Financial Review (AFR) reported on Prime Minister Anthony Albanese’s son receiving membership to the airline’s exclusive Chairman’s Lounge.
Passing the chalice
Considering the constant fires Qantas has been failing to put out lately, it’s perhaps unsurprising that Joyce’s retirement has been fast-tracked.
“In the last few weeks, the focus on Qantas and events of the past make it clear to me that the company needs to move ahead with its renewal as a priority,” Joyce said in a statement.
“The best thing I can do under these circumstances is to bring forward my retirement and hand over to Vanessa and the new management team now, knowing they will do an excellent job.
“There is a lot I am proud of over my 22 years at Qantas, including the past 15 years as CEO. There have been many ups and downs, and there is clearly much work still to be done, especially to make sure we always deliver for our customers. But I leave knowing that the company is fundamentally strong and has a bright future.”
As does Joyce. Back in June the CEO sold 90% of his Qantas shares for $16.9 million — a tidy sum to go out on as he passes the poisoned chalice to Hudson tomorrow.
Qantas Chairman, Richard Goyder, said Joyce’s decision is evidence of his ongoing commitment to putting Qantas first.
“On behalf of the Board, we sincerely thank him for his leadership through some enormous challenges and for thinking well-ahead on opportunities like ultra-long-haul travel.”
Qantas shareholders will officially vote on the appointment of Vanessa Hudson as the chief executive at the annual general meeting in November.
