Pandemic-Hit Qantas Considers New Wage System to Retain Key Executives

Sydney-Qantas said Friday that it is considering new ways to configure salaries to ensure that key executives are retained as they enter fiscal year three as a result of the pandemic’s slowdown in travel. rice field.

Qantas Chairman Richard Goyder said over the past two years, executives have faced high workloads without annual bonuses and wages have continued to freeze as turnover rates rise across airlines. ..

“Our executive cohort is talented and in high demand in a variety of industries, many of which, unlike aviation and tourism, are experiencing high growth rates and activities and are worth the financial rewards. “He said in the airline’s annual report.

For CEO Alan Joyce and executives, the incentive plan will replace the traditional annual bonus plan, Goider said, adding that a decision is expected later in the fiscal year.

Joyce’s total annual salary rose to A $ 1.97 million ($ 1.44 million) in the 12 months to June 30. This was a 13% increase over the previous year when the base salary was zero, but his salary was below 80% before COVID. -19 level.

Joyce expects to continue its role until at least July 2023 to complete a three-year recovery plan aimed at reducing ongoing annual costs by A $ 1 billion. Stated.

In another note to staff that Reuters saw, Goider said the company aims to reward all employees if the recovery plan is successfully completed by that date.

“We haven’t made a final decision, but we look forward to sharing the details in the first quarter of next year,” he said.

Other companies in the travel sector, including Flight Center Travel Group Ltd and Air New Zealand Ltd, offer shares to all employees as part of their retention efforts.

Jamie Fried