The CEO's hands are tied by a Board that is paralysed with inertia. They are all financially very comfortable career Boardies, with most having other directorships. Why rock their own boat, what have they got to lose?
BHP told us a few days ago that their Australian coal workers receive 50% higher salary than their US New Mexico workers. But the product is sold on the world market at the same price. Ergo, BHP's Australian operations make a lot less money.
That is Qantas basic problem, it has to compete on a world market with other airlines who's costs are much lower. That's not an attack on Australian workers, its a simple statement of fact. A clever and enthusiastic CEO and Board could deal with that, plenty of companies do.
The focus and heat should be on the Board. But we never hear from them. Why not?
QAN Price at posting:
$1.15 Sentiment: None Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)