VIRGIN AUSTRALIA AND SINGAPORE AIRLINES TO FORM JVBack to Forum
Anonymous8 Jun 2011
This development must send shivers down the spine of the CEO of Qantas, Mr Alan Joyce.
Singapore Airlines and Virgin Australia will code share on each other services and passengers will enjoy reciprocal FF arrangements and lounge access.
This agreement paves the way for John Borghetti to increase Virgin Australia’s share of the corporate and small business travel market, while allowing Singapore Airlines access to Virgin Australia’s domestic market and the possibility of VA joining the Star Alliance..
The bad news just keeps getting worse for Joyce. He is in a battle with 3 unions and seems unable to manage the international business. Rumours have surfaced about dissent at the top. The Chairman even gave an interview to the Australian Newspaper last Saturday to dispel these rumours and stated that everyone on the board was in step with Joyce…. I have my doubts. Qantas share price is at its lowest in years, down 10% this week.
Qantas International is marred in problems.
The A380 accident last year, now delays surfacing about future A380 deliveries, then a statement in Singapore by Joyce that Qantas International may get no new aircraft, ageing 744 with operational problems and broken down IFE, the list goes on.
Speculation that Qantas is to stop flying to Buenos Aries, Frankfurt, Honolulu, Manila and even more destinations if Joyce has his way.
The defection of Key Qantas staff to Virgin Australia, the list goes on.
While no one can underestimate the greed and stupidity of the unions and in particular the International Pilots Union, who’s list of demands include, more money, lounge access, increased free travel and, which is far more damaging, the move to stop QF putting their code on other carriers and insisting that if an aircraft is flown with a QF code it’s tech crew must enjoy the same pay and benefits as a QF tech crew member. This would be very damaging to QF on the Tasman where its services are operated by a wholly owned subsidiary Jet Connect.
But Joyce has to be also singled out for his stupidity in the way he has managed Qantas and in particular his perceived obsession with trying to Jetstarize Qantas. He has been in the job for 3 years and one can only wonder how long he can last.
I received an e-mail from QF FF this morning about a new food and wine venture I would rather hear about some real management changes on service and route development. I am flying to LAX with my wife next week J class, RTW tickets aud15k each I have to ask myself why am I, like many, losing confidence in the Qantas brand.8 Jun 2011
austline……..I am flying to LAX with my wife next week J class, RTW tickets aud15k each I have to ask myself why am I, like many, losing confidence in the Qantas brand…….ouchhhhh that is expensive in J and at current exchage rates almost £10k each. I think I would lose more than confidence if I paid that…..QF product in J especially on the 747 is simply not worth that.8 Jun 2011
If I fly in to Aus on SQ, I’ll still be sticking to QF for domestic flights. It took 50 minutes of queuing at the Virgin Blue bag drop (flying MEL-BNE) last month. There were more staff managing the queue than there were on the bag drop desks (honestly). Contrast this with a MEL-BNE return last week and the new QF automated check-in/bag drop system which took a few minutes in both directions. On the other hand, the new QF one piece of checked luggage rule introduced a few days ago, might force me the other way! RC9 Jun 2011