Virgin staff unaware amid reports of 1000 job cuts

Virgin Australia staff have not been informed of any changes to their jobs amid reports the airline may stand 1000 workers down.

Virgin Australia Sydney staff have not been informed of any imminent changes to their working conditions as reports suggest the airline could stand 1000 workers down as early as tomorrow.

When contacted to confirm reports Virgin will follow Qantas’s lead and stand down pilots and cabin crew, a company spokesperson said: “Virgin Australia is consulting with unions to manage the reduced demand in flying and the available hours of work over the next 1-2 months.”

Qantas announced on Tuesday morning it would stand 2500 staff down for two months, but stressed the announcement did not amount to job losses.

A Virgin Australia crew member said staff had not heard anything about possible stand downs.

Reports suggest Virgin Australia could stand down 1000 workers. Picture: NCA NewsWire / Dan Peled

The Qantas announcement was made via a statement to the Australian Stock Exchange prior to the opening of the day’s trading, leading to speculation Virgin Australia may take a similar approach.

The Qantas stand down will impact pilots, cabin crew and airport workers for both Qantas and Jetstar, mainly in NSW, but also in other states.

Staff will be given two weeks’ notice that they are to be stood down.

Company CEO Alan Joyce said it was “clearly the last thing we want to do” but the company was faced with an extended period of limited flying.

Qantas and Jetstar had gone from operating at almost 100 per cent domestic capacity in May to 40 per cent in July because of the latest lockdowns, Mr Joyce said.

“We’ve absorbed a significant amount of cost since these recent lockdowns started and continued paying their full rosters despite cancelling thousands of flights,” he said.

Qantas is still operating a few services in and out of Sydney and these will continue.

Qantas says the current stand downs are not job losses. Picture: NCA NewsWire / Gaye Gerard

Mr Joyce said he was hopeful operations could get back to 50 to 60 per cent of their usual capacity once other states re-opened their borders to South Australia and Victoria in the next week or so.

The Sydney lockdown is officially scheduled to end on August 28 but today’s Qantas announcement is one of the strongest signs yet the business community believes lockdowns will be extended.

“Based on current case numbers, it’s reasonable to assume that Sydney’s borders will be closed for at least another two months,” Qantas said in its ASX statement.

“We know it will take a few weeks once the outbreak is under control before other states open to NSW and normal travel can resume.”

Mr Joyce stressed the “stand down is temporary because we need these skilled employees back when restrictions end”.

The 2500 staff stood down are in addition to the 6000 international crew who have been stood down since 2020.

The stand down announcement comes a day after the federal government threw a lifeline to the aviation sector, extending the popular half-price fares initiative until the end of November and the Domestic Aviation Network Support (DANS) and Regional Airline Network Support (RANS) programs until the end of the year.

Announcing the support package on Monday, Deputy Prime Minister Barnaby Joyce said aviation was “a crucial sector of the economy” and it was “crucial to keep a sovereign airline capacity”.

Last Thursday Qantas announced it intended to appeal the Federal Court’s judgment that it contravened the Fair Work Act in outsourcing the remainder of its ground handling function.

Originally published as Virgin staff unaware amid reports of 1000 job cuts