Transport Minister Catherine King the centre of firey question time
Under fire Transport Minister Catherine King has pointed to the Coalition’s record on international airline requests as she scrambles to defend her decision to turn down a bid from Qatar Airways for more flights from Australia.
NSW
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Under fire Transport Minister Catherine King has pointed to the Coalition’s record on international airline requests as she scrambles to defend her decision to turn down a bid from Qatar Airways for more flights from Australia.
The decision, which the Opposition claimed was a “sweetheart deal” between Qantas and the Albanese government, became the centre of a Question Time showdown between Opposition Leader Peter Dutton and Ms King.
It came as Foreign Minister Penny Wong revealed that she did not discuss the airline saga with Qatar’s Prime Minister Sheikh Mohammed bin Abdulrahman bin Jassim Al-Thani in a phone call she initiated on Monday.
Instead, the phone call was used to discuss a range of “bilateral matters” including an incident where five Australian women were strip searched at gunpoint at Doha airport.
On the same day that Ms King rejected Qatar Airways’ bid she also wrote a letter in response to the women who were victims of the same strip searching incident, assuring them that the government was not considering the airlines’ request.
In a rowdy Question Time debate, the opposition claimed Ms King was being “evasive” on answers about whether she spoke to Qantas before making the Qatar decision and moved a procedural motion as a stunt.
“The minister has a clear question before her, will she answer it honestly? So far she hasn’t and the Australian public demands nothing less of her,” Mr Dutton said.
“You’ve got this Minister who refuses to answer questions … This Minister has brought this house into disrepute.”
Ms King said she regularly meets with stakeholders including airlines and airports.
“I do meet routinely with the CEOs of all of the airlines, airports, and peak bodies, and from my recollection, the main people lobbying me about Qatar came from Virgin and a third party into my office on behalf of Qatar,” she said.
“I know that there are some businesses and airlines that would have liked me to make a different decision. But I have not based that decision on any one company’s commercial interests but on the national interest.”
Ms King pointed to the Coalition’s decision in office to put an application by Qatar Airways on hold.
“Well that ‘putting on hold’ was four years – that’s not putting it on hold that’s actually not making a decision on approval, and by the time a decision was actually taken nearly half the Coalition’s time in office that elapsed and the end of that four year hold they were granted only an additional seven flights per week.”
The “non stop yelling from both sides” promoted an intervention from Teal independent Kylea Tink calling on both sides to speak respectfully.
“If we could please have this debate and have it reasonably without yelling at each other I think that would be in the best interests of everyone,” she said.
The clash marked the continuation of a rowdy sitting week that previously saw pharmacists in the gallery reprimanded for booing the government over double dispensing proposals.
Ms King has been struggling to defend herself, telling Parliament on Tuesday that the history of the bilateral arrangement with Qatar featured “very slow increments and increases”.
“In fact, the last person who doubled the capacity of Qatar Airways into the Australian market was the now prime minister,” she said.
“From time to time, those requests are granted, and from time to time they are knocked back.”
Earlier, the PM admitted that he was unaware of when his transport minister signed off on a decision to ban more Qatar flights from Australia.
The controversy has already seen the early retirement of Qantas boss Alan Joyce and the Senate has voted to hold an inquiry into the decision that the Coalition had called a “sweetheart deal” between Qantas and the government.
In Question Time on Tuesday, Mr Albanese responded to a question from Opposition leader Peter Dutton and said he had spoken to Virgin Australia chief Jayne Hrdlicka before the Qatar application was rejected.
He maintained that he did not have a conversation with Mr Joyce.
But Mr Albanese later clarified that he actually spoken to Ms Hrdlicka on July 13.
“During that discussion I did not know that the transport minister has made a decision on 10 July 2023,” Mr Albanese said.
“(That) was only advised to me after Question Time.”
Beleaguered long-time Qantas boss Alan Joyce will leave the airline tomorrow after the board brought forward his retirement two months.
Mr Joyce was due to retire as chief executive at the end of this year but the Qantas board on Tuesday morning has advised the ASX the move will now take place on Wednesday.
Incoming chief executive Vanessa Hudson will assume the role of managing director and group CEO as of Wednesday.
It comes as the senate voted to set up an inquiry into the government’s decision to block Qantas rival Qatar Airways from doubling its flights into Australia.
The motion was put forward by opposition transport spokeswoman Bridget McKenzie who accused the government of running a “protection racket for the most complained about company in our country”.
Qantas chairman Richard Goyder said the board would look at clawing back some of Mr Joyce’s $24 million in bonus payments because of the fall in the share price.
“There’s been very close alignment between outcomes for executives and outcomes for shareholders,” he said.
“If you look a tour remuneration report, there’s provisions for clawbacks.”
In a statement released by Qantas, Mr Joyce said he believed the “best” he could do for the company in the wake of recent scrutiny of the airline’s conduct was bring forward his retirement and handing over to Ms Hudson.
“In the last few weeks, the focus on Qantas and events of the past make it clear to me that the company needs to move ahead with its renewal as a priority,” he said.
Mr Joyce said he left “proud” of his 22 years at Qantas, including the past 15 as chief executive.
“There have been many ups and downs, and there is clearly much work still to be done, especially to make sure we always deliver for our customers,” he said.
“But I leave knowing that the company is fundamentally strong and has a bright future.”
Qantas chairman Richard Goyder said Mr Joyce “always had the best interests of Qantas front and centre”.
“On behalf of the Board, we sincerely thank him for his leadership through some enormous challenges and for thinking well-ahead on opportunities like ultra long-haul travel,” Mr Goyder said.
“This transition comes at what is obviously a challenging time for Qantas and its people.
“We have an important job to do in restoring the public’s confidence in the kind of company we are, and that’s what the board is focused on, and what the management under Vanessa’s leadership will do.”
Shareholders will formally vote on the appointment of Ms Hudson as managing director at Qantas’ Annual General Meeting in November.
The announcement has triggered the bring forward of another executive change announced earlier this year, with Rob Marcolino to become Qantas group’s chief financial officer replacing Ms Hudson.
Mr Goyder is also being asked to detail the considerations of the board when they gave Mr Joyce permission to sell 2.5 million Qantas shares in June and what knowledge they had of the investigations into the sale of “ghost flight” tickets.
The Australian Competition and Consumer Commission is suing the airline in the Federal Court for misleading and deceptive conduct over the alleged sale of thousands of tickets for cancelled flights between May and July last year.
Mr Joyce sold his shares for $17m in June but the ACCC case has been one of many factors that has driven the share price down by 7 per cent since, to $5.60, meaning Mr Joyce would have netted $3m less if he sold those shares today.
There is no suggestion of any wrongdoing by Mr Joyce’s or any member of the board.
An airline source said it had only become apparent how serious the ACCC allegations were in recent weeks.
Previously, Mr Joyce has said he sold the shares for a “personal purchase”.
“It was the timing to do it given the market update, all information was disclosed. But I’m still a very large shareholder in Qantas and I more than meet the minimum level that the CEO is expected to hold,” he said in August.
Mr Goyder and the Qantas board on Monday issued a statement apologising and saying the ACCC allegations have “caused significant concern”.
It said it would fully co-operate with the ACCC investigation into the ghost flights.
The statement said the ACCC case came at a time when the airline’s reputation has “been hit hard on several fronts”.
One of those hits was the part payment of Mr Joyce’s bonus worth more than $10m on Friday.
The statement said the ACCC case came at a time when the airline’s reputation has “been hit hard on several fronts”.
One of those hits was the part payment of Mr Joyce’s bonus worth more than $10m on Friday.
Tamworth farmer Tom Lynch has noticed a spike in the cost of a ticket, with a return flight from Griffith costing him over $1000.
“We frequently travel to Sydney … and it’s getting more expensive,” he said.
“But as there are limited airline companies doing the flights we need we need to travel with Qantas.”
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Originally published as Transport Minister Catherine King the centre of firey question time
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