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Qantas Awaits Federal Court Penalty Decision Over Illegal Worker Outsourcing

The airline argues for a mid-range fine, citing a 'mistake,' as the TWU pushes for maximum deterrence in Australia's largest unlawful dismissal case.

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Overview

  • Justice Michael Lee has reserved his decision on the penalty Qantas must pay for unlawfully outsourcing 1,820 ground workers in 2020 during the COVID-19 pandemic.
  • Qantas seeks a penalty between $40 million and $80 million, arguing the decision was a 'mistake' and not intentional, and highlighting internal reforms to prevent future breaches.
  • The Transport Workers Union (TWU) is advocating for the maximum penalty of $121 million, emphasizing the need for deterrence against corporate misconduct.
  • The Federal Court previously ruled that Qantas violated the Fair Work Act, partly motivated by a desire to prevent industrial action, and ordered $120 million in compensation to affected workers.
  • The case underscores broader issues of corporate accountability and labor rights, with Qantas having received $2.7 billion in government subsidies during the pandemic.