Victorian Socialists call to renationalise QANTAS and protect David Jones workers’ entitlements

Victorian Socialists call to renationalise QANTAS and protect David Jones workers’ entitlements

Victorian Socialists are calling on the federal government to renationalise QANTAS immediately, or withdraw all existing subsidies and support for a company that does not protect its workers.

Victorian Socialists are horrified that thousands of workers from David Jones and QANTAS have been hit with the news this week that they are set to lose their jobs. Both companies have shown that profits come before workers and their families for corporate bosses.

QANTAS executives will cut 850 corporate and back-office jobs, justifying it as preparation for AI. In reality, they are outsourcing essential work to Accenture’s teams in India, where workers are hyper-exploited and paid a fraction of Australian wages. The ASU reports QANTAS had earlier assured it that the deal would not send jobs overseas.

This is made worse by the fact that QANTAS received $2.7 billion in taxpayer support during COVID and has refused to pay any of it back, even as its share price more than tripled. It gave Alan Joyce a $21.4 million package in his final year as CEO, and last financial year it posted a profit after tax of $1.29 billion. For this company to plead poverty while forcing 850 workers out of their jobs is absurd.

David Jones has collapsed into administration under private equity owner Anchorage Capital while employing more than 6,000 workers across Australia and New Zealand. Half its stores are now set to close, including Glen Waverley, Highpoint and Malvern Central in Victoria, putting thousands of those jobs at risk.

While campaigning in Wollert, our Northern Metro candidate Omar Hassan spoke to a local resident who had worked for DJs for over a decade. She said the head office had not communicated with the workforce at all, and everything she knew came from media reports. That is a shocking position for thousands of workers to be in. She is also pregnant, and faces losing her maternity payments and long service leave.

“This woman gave David Jones ten years of her working life, and now she’s finding out about her future from the news,” said Hassan. “Workers are treated as disposable, while the people at the top walk away with their millions.”

We call on the federal government to guarantee that every David Jones worker receives all the entitlements they are owed, including long service leave and parental leave pay, whatever happens to the company. This is the third high-profile collapse of an Anchorage-owned business, after Dick Smith and Scott’s Refrigerated Logistics. We also call for a public inquiry into Anchorage Capital’s record, so that workers and taxpayers are not left to pick up the pieces. Workers must be prioritised over the needs of shareholders and wealthy investors.

Both cases show how our economy is rigged for the rich. Victorian Socialists will always stand with workers and their unions in fighting for their rights.