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Jobs lost, tourism sector hit: $100m loss from Bonza collapse

Sunshine Coast Mayor Rosanna Natoli has sought an urgent meeting with Premier Steven Miles to address the region’s $100 million economic blow from the collapse of budget airline Bonza.

Bonza officially terminates all staff

Sunshine Coast Mayor Rosanna Natoli has sought an urgent meeting with Queensland Premier Steven Miles to address the region’s $100 million economic blow from the collapse of budget airline Bonza.

The Sunshine Coast was one of the ill-fated airline’s main headquarters and at the peak of its operations employed about 150 staff in the region, as well as forging links with dozens of external contractors and suppliers.

Sunshine Coast Mayor Rosanna Natoli. Picture: Iwan Jones
Sunshine Coast Mayor Rosanna Natoli. Picture: Iwan Jones

Councillor Natoli has written to Mr Miles seeking a meeting to discuss the economic impacts on the region and what measures could be implemented to soften the blow.

As well as the loss of jobs, there are concerns Bonza’s demise will leave a gaping hole in the Sunshine Coast tourism sector, with the airline transporting almost 500,000 passengers to the region in its 15 months of operation.

That figure made up more than 20 per cent of the total passenger numbers at Sunshine Coast Airport during the period and was widely credited as part of the reason for record spending by holiday-makers on the Sunshine Coast last year, according to data from Tourism Research Australia.

Bonza’s business model – using direct flights between smaller regional centres outside major cities, means many potential visitors cannot simply book flights on a different airline, sparking fears they will take their tourist dollars elsewhere.

Councillor Natoli said the region had benefited significantly from Bonza’s presence and had suffered since flights were grounded almost two months ago.

“Its presence, along with the other major airlines, helped achieve a record number of interstate visitors last year,” she said.

Grounded Bonza planes at Sunshine Coast airport on Tuesday morning. Picture Lachie Millard
Grounded Bonza planes at Sunshine Coast airport on Tuesday morning. Picture Lachie Millard

“I have written to the Premier of Queensland to explain what this loss means to our region (and) I’ve requested an opportunity to discuss options and talk through how we can work in partnership with the Queensland Government to recover from Bonza’s sudden and disappointing collapse.

“The annual economic impact associated with the loss of Bonza is likely to top $100m will be felt hard, particularly by the region’s smaller businesses.

“The number of indirect jobs affected by the sudden closure is also likely to be significant with dozens of businesses impacted (and) we need Queensland Government support now to mitigate the impacts on our community.”

The majority of products sold on board Bonza flights such as food and drink, were supplied by 11 outfits based in southeast Queensland, while there were also flow-on benefits for other businesses ranging from aircraft maintenance to accommodation providers for crews.

Premier Steven Miles. Picture: Liam Kidston
Premier Steven Miles. Picture: Liam Kidston

Mr Miles said he understood the difficulties facing those affected by Bonza’s collapse and would welcome dialogue with the Sunshine Coast Council.

“The Queensland Government is in regular contact with the administrators of Bonza and we have provided information on support options for Bonza workers,” he said.

“We will work with the Federal Government and relevant unions to support affected workers during this tough time, and urge administrators to ensure that the rights and entitlements of workers are upheld.”

Originally published as Jobs lost, tourism sector hit: $100m loss from Bonza collapse

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Original URL: https://www.thechronicle.com.au/news/queensland/jobs-lost-tourism-sector-hit-100m-loss-from-bonza-collapse/news-story/0c3f9cfac3e7f1116a80ebf58dc789a5