Tony Abbott says Qantas needs a level playing field

THE PM says it would be perfectly appropriate to “unshackle” Qantas from legislative restrictions put in place by Labor in the ‘90s, as the airline seeks help.

The negotiator ... Qantas chief executive Alan Joyce (right) in between meetings at Parliament House in Canberra.

TONY Abbott has declared it would be perfectly appropriate to “unshackle” Qantas, as the airline seeks government help.

“Qantas have been shackled by legislative restrictions that were put in place by the Labor Party back in the 1990s,” the Prime Minister told Fairfax Radio.

“Let’s not have Qantas competing with Virgin and others, with one hand tied behind its back”.

But while Mr Abbott called for a “level playing field” he did argue there is “no free ride on the taxpayer”, referring to the Coalition’s decision not to grant food processor SPC Ardoma a federal handout.

Bill Shorten said Labor was open to talking to the government, but did not support changing foreign ownership restrictions.

“I believe it is in the national interest to have a majority Australian-owned airline,” the Opposition Leader told reporters in Perth.

“We would work with the Abbott government on the future of Qantas because we are very interested and committed and passionate about defending Aussie jobs.”

The negotiator ... Qantas chief executive Alan Joyce (right) in between meetings at Parliament House in Canberra.

Greens MP Adam Bandt said he was worried that any changes to the Act would mean jobs would go offshore.

“This idea of the Abbott government that everything needs to be sold off is ultimately going to harm Australians,” Mr Bandt told reporters in Canberra.

He claims there is still an affection for having a national airline

The airline’s boss Alan Joyce visited Canberra this week pushing the case for assistance.He’s claimed the flying kangaroo is hamstrung by the Qantas Sales Act, which caps foreign ownership of the company at 49 per cent.

But Mr Joyce admits there is little support to change the law and instead would like to see a guarantee of the business’ debt.

Treasurer Joe Hockey yesterday said a decision was not an “immediate priority”, but confirmed talks were ongoing.

“If you think we’re being dragged kicking and screaming on this one, you’re right,” he told reporters.