Australia’s largest airline has been ordered to pay a landmark $90 million penalty after the Federal Court found it illegally sacked more than 1,800 ground staff in the biggest case of its kind in the nation’s history.
According to 9News, the ruling comes after the High Court last year rejected Qantas’s appeal, confirming that the 2020 outsourcing of baggage handlers, cleaners, and ground staff was designed to weaken union bargaining power during wage negotiations.
Justice Michael Lee described the “sheer scale of the contraventions” as unprecedented, handing down a penalty aimed at deterring other companies from similar conduct. Half of the $90 million will be paid directly to the Transport Workers Union (TWU), which led the case against Qantas.
“To deprive someone of work illegally is to deprive someone of an aspect of their human dignity, and this is not assuaged simply by expressions of regret,” Justice Lee said as per 9News, criticising the airline’s attempts to mislead the court and its refusal to compensate workers despite a public apology.
The decision adds to the airline’s mounting legal troubles. Qantas has already been ordered to pay $120 million in compensation to affected ground staff and fined $100 million by the ACCC for selling tickets on cancelled flights.
Union members and supporters packed the courtroom on Monday, embracing and cheering as the long-running legal battle came to a close. The TWU had sought the maximum penalty of $121 million, while Qantas argued for a mid-range figure between $40 million and $80 million.
Justice Lee noted that Qantas only began to accept responsibility for its actions in 2023, after the departure of former CEO Alan Joyce.
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