How Qantas decides who gets into its most exclusive lounge, and who doesn’t

While handing free upgrades to politicians, Qantas is booting out executives from its Chairman’s Lounge for failing to spend more than $1m a year with the airline.

Revelations of politicians soliciting free Qantas upgrades have sparked fury at the top end of town where executives are routinely pushed out of the exclusive Chairman’s Lounge for spending under $1m a year on travel with the airline.

The Australian reveals the calculating criteria for Chairman’s Lounge access, which offers members a private space to relax and network before flying, and bumps them further up the queue for upgrades.

A letter to one senior executive last year, informed him that then chief executive Alan Joyce and his team had reviewed his membership listing and was “unable to extend his membership beyond the current expiry”.

“Membership will continue to be strictly by invitation only from our Chairman and CEO and be very closely aligned to the member’s senior position in the government, corporate and diplomatic community,” the letter said.

Qantas’s Chairman's Lounge in Sydney.

“New criteria now require the member’s organisation to have a commercial airfares agreement with Qantas and agree to revenue and market share targets.

“While board membership, ­academia and private consultancy activity are well respected, these are no longer criteria for membership renewal.”

The letter added that “when a member retired, moved onto a new role or the organisation ceased to have a commercial airfares agreement with Qantas, their membership of the Chairman’s Lounge would be reassessed against the current criteria”.

“Following our most recent ­review, I hope you will understand that we are not able to ­extend your Chairman’s Lounge membership beyond its current expiry,” the letter finished.

The businessman, who did not want to be named, said it was a slap in the face after spending a small fortune on Qantas flights.

“The upgrades Qantas has handed out to politicians calls into question its consistency on who gets access to the Chairman’s Lounge and who doesn’t,” he said.

“There are executives and ­directors, myself included, who are being removed from Chairman’s Lounge despite spending hundreds of thousands of dollars, in some cases close to $1m a year with Qantas.

“Instead, some qualified by sitting next to the CEO on a plane, were friends of the state manager or worked in a government department but travel infrequently.”

Inside the Brisbane Qantas Chairman’s Lounge.

It was widely accepted that Qantas had set a minimum annual spending of $1m for travel for organisations to whom it extended Chairman’s Lounge membership.

Virgin Australia set a similar threshold for membership of its invitation-only lounge known as Beyond.

Qantas declined to discuss the criteria for Chairman’s Lounge eligibility, which has come into focus as a result of the Anthony Albanese upgrade controversy.

A new book by journalist Joe Aston claimed the prime Minister had leaned on Mr Joyce to provide flight upgrades while he was transport minister and then as Prime Minister. Mr Albanese has denied making personal requests for upgrades to Mr Joyce or anyone else in the Qantas team.

Among the many perks of Chairman’s Lounge membership, guests are provided with seat upgrades on flights when available.

Platinum One frequent flyers were second in line, with free upgrades from time to time.

However, it’s understood requests were still frequently made to Qantas for better seats, particularly on long-haul international flights, by “all sides of the political fence”.

Mr Joyce has declined to ­answer questions about his relationship with Mr Albanese.

Originally published as How Qantas decides who gets into its most exclusive lounge, and who doesn’t