AVIATION CRISIS DEEPENS WITH ADDITIONAL REX LAYOFFS

Rex administrators EY have confirmed another round of redundancies with more than 70 workers set to be laid off, on top of the 594 employees who’ve already lost their jobs.

The consultation process will run for 1-2 weeks, finishing a few weeks short of the next creditors meeting to determine liquidation or sale of the Rex regional business. The owed entitlements of all redundant workers are in limbo until that meeting.

The TWU has slammed the withholding of entitlements from 343 redundant workers from the now-defunct Regional Airways Limited (RAL) business which operated main city routes. The RAL business has been shut down and is not part of any sale discussions but has not yet been liquidated.

Administrators have not yet determined which workers from the chosen categories will lose their jobs, but the pool of 261 workers in those categories have been notified. Categories predominantly include ramp workers who load luggage and cargo onto planes, customer service, and catering workers.

TWU National Secretary Michael Kaine said:

“Rex and Bonza collapses now total almost 1,000 direct job losses, with further casualties in regional airports through third-party providers. This adds to the estimated 25,000 skilled, experienced workers lost from aviation during the pandemic. This is an industry in crisis. Hardworking families, passengers and regional communities are shouldering the burden of a deregulated industry held to the ransom of privatised, profit-driven and self-serving decision-making.

“It’s outrageous that workers will be waiting weeks to find out the outcome of their owed entitlements – either through a yet unknown sale process, or having to commence a process themselves through the Fair Entitlements Guarantee scheme weeks after losing their jobs.

“The public purse is set to be tapped once again for the entitlements of workers whose employer cannot pay. We need to see a reversal of the Morrison approach to no-strings handouts by ensuring any further taxpayer investment comes with a voice for the public. An equity stake in Rex allows the Federal Government to take a caretaker role, while a Safe and Secure Skies Commission would provide a long-term solution to the aviation crisis through binding standards for the industry.”