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April 21, 2020

CALL FOR FEDERAL GOVERNMENT TO MEET UNIONS TO DISCUSS VIRGIN’S FUTURE

The Transport Workers’ Union is calling on the Federal Government to meet unions representing Virgin workers to devise out a plan for the airline’s future, as Virgin announces voluntary administration.

TWU National Secretary Michael Kaine said it was imperative that the Federal Government developed a plan to approach administrators with and that the future of Virgin workers had to be central to that plan.

“We urge the Federal Government to sit down with the trade unions representing the 16,000 Virgin workers to work out a plan to go before administrators. The future of these workers and the options available to the travelling public are the biggest issues facing the Government now that Virgin has entered voluntary administration. Unions stand ready to work with the Government on helping to devise a solution on Virgin’s future to ensure good jobs, a decent reliable service for the public and a return for taxpayers,” Kaine said.

“There is still time to rescue Virgin and for the Federal Government to take a bold move to ensure that the Australian economy is ready to bounce back when the crisis abates. Governments around the world are taking the difficult decisions to protect their economy and jobs and we urge the Australian Government to follow suit,” he added.

Virgin confirmed to workers that their entitlements such as leave will be preserved. Virgin workers will continue to receive JobKeeper payment while the company is in voluntary administration.

The Government faces a potential entitlements and redundancy bill of $800 million if it allows Virgin collapses.

A crisis roundtable on Friday heard a call for a call for the Federal Government to take an equity stake in return for bailing out airlines.

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