The Australian Financial Review www.afr.com l Friday 28 September 2012 NEWS 11

CFMEU IR: Joyce stands his ground questions Rachel Nickless cate with staff better. In the past, change in culture from 2010 to 2011, Mr Scriven said, employees often positive change continued but to a Qantas Airways chief executive Alan heard about major change at Qantas lesser degree in 2012. But workers still comments Joyce has reaffirmed his controversial via the press. believed they were moving away from decision to ground his fleet last year, Mr Joyce said a key focus was a culture dominated by low standards and said other options would have led ensuringamoreconsistentexperience and passing blame to one where relia- Lucille Keen to the death of the airline, but he has for customers. “When Qantas is good bility, collaboration and taking own- also admitted to failures by manage- it’s the best airline in the world. When ership were more prevalent. Lawyers for the CFMEU have ment. it’s bad, it’s really bad,” he said. Mr Nason said he learnt the hard questioned whether the courts can act Giving in to union demands chief David Thodey also way early in the cultural change pro- over comments by Victorian Premier “wouldn’t have caused a problem admitted to ongoing customer service gram not to crow about success. Com- Ted Baillieu to the media about the when I was CEO, but would have Alan Joyce plans changes at Qantas. problems and told the conference Tel- plaints to Mr Thodey spiked “every union’s 16-day blockade earlier this caused problems for the long-term sur- stra had only gone 5 per cent of the time we said something in the market month. vival of Qantas,” Mr Joyce said. JonScriven,said:“Overtimeourman- way to achieving its cultural change which said we were improving cus- The CFMEU’s barrister, Peter Had he not locked out staff after agement capability has probably not goals, despite the “amazing change” tomer service”, he said. “You don’t talk Morrissey, SC, said he would inquire three months of industrial disputes, been as strong as we might have that had been delivered through the about the future, you talk about what into statements made by Mr Baillieu the disputes at his workforce would wanted.” program he launched 2 ½ years ago. you have done.” in a Ninemsn report, alleging that still be going on, he said yesterday at Mr Joyce and Mr Scriven outlined Mr Thodey and Telstra group man- Mr Thodey said the program’s the “blockade should have been lifted the HRizon world human resources changes they had made to improve aging director, business support and benefits included cutting costs by up in line with the court’s ruling”. congress in . However, he Qantas leadership, management and improvement, Robert Nason, dis- to $2 billion, lifting employee engage- In the article, Mr Baillieu claimed acknowledged that Qantas suffered customer service, including manage- cussed their mistakes and successes in ment by 2 per cent, and a 26 per cent the blockade was unlawful. from poor management and commu- ment training for 4000 front-line staff trying to change company culture. fall in customer complaints. Cus- “It was declared so by the Supreme nication with staff in some areas. over the past four years. Mr Thodey said while employee tomer service levels were now compet- Court of on multiple Qantas group executive for people, Qantas is also trying to communi- surveys suggested there was a major itive, he said. occasions,” the article quoted Mr Baillieu as saying. Mr Morrissey raised the issue at the start of the second day of court proceedings in which Grocon is Expert calls for all to share in boom seeking $10.5 million in damages from the union for the delays to its projects. Joanna Heath society was a good thing, extreme Mr Morrissey said he was not inequality was destabilising. “I don’t “entirely sure at this point” what he Australia is at a crossroads and think you need extreme inequality as wanted done but “it would be needs to implement policies to an incentive for people to work extremely regrettable if that was said”. improve the quality rather than the harder, I think that’s a fallacy.” “We’re not sure what we want to quantity of jobs to capture the pro- University of professor do about it and we’re not sure what ductivity benefits of the mining Chris Warhurst, who convened a your honour [judge Anthony boom, academics have warned. two-day conference in Sydney this Cavanough] has the power to do . . . Job quality expert Arne Kalleberg week on the subject, said Australia about it. Wewould like it to be put on of the University of North Carolina must act on job quality during the record.” says Australia should learn lessons mining boom to prepare for its end. Mr Morrissey said it appeared to from mistakes made in the US on “The number of low-wage workers him to be “inaccurate”. The Supreme improving the quality of jobs. in Australia has now approached Court had not been called upon to “In the US, the kinds of relatively levels similar to the US and UK, so make that finding and it wouldn’t be low-skilled, high-paying jobs in the we have a real wake-up call. It’s to do a finding the court would have to automobile industry and manufac- with the shift from manufacturing to make. After hearing yesterday from turing industry were the backbone of services. two witnesses for Grocon, the case the middle class. Those kinds of jobs “Trade unions are not as strong as was closed. Final submissions are have basically gone away,” Professor Arne Kalleberg at the University of Sydney yesterday. Photo: MICHELE MOSSOP they could be in some of the bottom- expected to be delivered on Friday. Kalleberg said. end service jobs and government Grocon has alleged that CFMEU “The US had booms too. The prob- from the mining boom are shared by that workers being made redundant regulation in that area is very ambig- official John Setka drove into and hit lem with our booms is we did not workers.” in manufacturing and other sectors uous in its effects,” he said. Grocon executive project manager have broadly shared prosperity ... Although Australia’s relatively were offered reskilling programs so Studies from Europe showed links Frank Bortoletto. that led to economic stagnation, high minimum wage and health high-quality jobs were not out of between national productivity, inno- It also claims union officials and decline in demand. insurance system was helping to pre- their reach, he said. vation and a higher number of good- members threatened and intimated “Australia has to pay very close vent workers from having to take any Professor Kalleberg said that quality jobs, Professor Warhurst employees of other contracted attention to making sure the gains job they could get, it was important while some inequality of wealth in said. companies working on Grocon sites.

Congratulations Policy Research Leader to our New Fellows September 2012 • Branch Head – The Productivity Commission is Government’s independent research and advisory body SES Band 1 on a broad range of economic, social and environmental policy issues affecting the welfare of Australians. Mr Keith Almeida Miss Jane Miao The Commission has a vacancy in its Canberra offi ce at the Assistant Commissioner level. As a • Canberra Mr Chong Wen Ang Mr Andrew Ngai branch head, you would have the opportunity to lead a team undertaking research and analysis Mr Jason Aront Mr Anthony Saliba on important public policy issues. You can expect to be working on public inquiries and studies • Exceptional Mr Joel Atputharaj Miss Ai Nee Seow commissioned by the or a range of supporting research activities. The leadership Mr Weihao Choo Miss Hui Yen Tai opportunity balance of responsibilities will depend on your experience, skills and preferences. Mr Scott Duncan Mr Steven Thai We are looking for a talented and motivated person with demonstrated management and analytical • Independent skills of a high order, as well as the capacity to provide intellectual leadership to a team of professionals Mr Kok Goh Mr David Wilheim research and engaged in public policy research and analysis. Excellent oral and written communication skills are Miss Melanie J Haymet Mr Dickson Wong analysis required. Academic qualifi cations in economics at honours level or higher are essential. Mr Jonathon Hua Miss Stephanie Wong • Remuneration A competitive remuneration package commensurate with the responsibility of this fulltime position Ms Ying Kang Mr Chee Chang Woo package will be negotiated. To be eligible for engagement, you must be an Australian citizen. Miss HyeSun Kwon Mr Haoyu Wu negotiable For further information about this position please contact the Commission’s Head of Offi ce, Mr Chung Wai Law Mr Martin Wu Mr Daryl Quinlivan, on (02) 6240 3209. Dr Stephen Long Background information regarding the Commission’s work program and selection documentation is Mrs Bronwyn Lusby available from our website at http://www.pc.gov.au. Applications addressing the selection criteria should be emailed by cob Friday, 12 October 2012 to www.actuaries.asn.au [email protected], or sent to The Recruitment Offi cer, Productivity Commission, Locked Bag The Actuaries Institute represents the actuarial 2, Collins Street East Post Offi ce, Melbourne, Vic. 8003. profession by creating, expanding and maintaining an environment where the skills of actuaries are widely used and AG68715 valued.

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