TWU WELCOMES FEDERAL GOVERNMENT LIFELINE TO SAVE REX

The TWU welcomes the Federal Government’s commitment to a long-term solution for Rex with the announcement today that it is prepared to support potential buyers or step in should there be no potential buyers.

The announcement comes as a relief to workers and passengers who rely on its critical regional routes and marks a significant turning point in rebuilding an aviation industry for the public good.

The TWU has been calling on the Federal Government to take an equity stake in Rex to safeguard jobs and provide certainty for regional Australia. Its commitment to attach conditions to any funding to potential buyers, including good governance and decent service for regional Australia, stands in contrast to the former Coalition’s government’s handout of billions in taxpayer dollars to companies like Qantas which went on to illegally sack 1800 workers.

It follows a previous commitment of $80 million in Federal Government funding to ensure early access to entitlements for redundant workers who’d been stuck in limbo during administration and taking on $50 million of the airline’s debt.

There is strong support for government intervention in Rex and more broadly in aviation, with an October YouGov poll commissioned by the TWU showing that:

• 71% support the Federal Government intervening to ensure Rex continues servicing critical regional routes
• 75% think the Government should take an equity stake when it bails out failing companies such as Rex.
• 74% support creation of a new independent commission to set standards for jobs and services in aviation.

TWU National Secretary Michael Kaine said:

“This announcement that the Federal Government will ensure Rex’s long-term future is a huge moment for the aviation industry. It means certainty for workers, for businesses, for everyone relying on these critical routes for essential healthcare appointments and to stay connected with family and community.

“This is a vital step towards a future where aviation actually works for the people of this country, not its overpaid executives. It is hugely promising to see the Federal Government investing in the future of regional Australia and the aviation industry, and making sure that Rex can keep flying its critical routes long-term.

“Workers and passengers are sick to death of airline and airport executives cashing in bonuses while they’re not sure if they’ll have a job or if their flight will actually get off the ground.

“Today’s announcement is a glimmer of hope for the future of aviation, after a decade of relentless pursuit of short-term profits that has driven the industry to its darkest point.

“There’s a lot left to fix in aviation. We need a Safe and Secure Skies Commission to reverse the trend of plummeting standards and restore a decent aviation industry that acts for public good.”