Qantas shareholders have vented their fury at board members over a year of reputational crises at the airline's annual general meeting.
Create a free account to read this article
or signup to continue reading
The Qantas brand was left in tatters by a whirlwind of PR disasters, including a High Court defeat over illegal job outsourcing, vicious Senate grillings over its role in the cost-of-living crisis and allegations it misleadingly sold tickets to flights that had already been cancelled.
The meeting was Richard Goyder's last as chairman, after he announced plans to retire in 2024 amid relentless pressure.
"It's clear there's been a substantial loss of trust in the national carrier and we understand why," he told shareholders at the Melbourne Convention and Exhibition Centre on Friday.
"There are things we got wrong. There are things we could have handled better and should have handled better. Things we should have fixed faster. And for all those things we apologise."
A total of 83 per cent of votes cast before the meeting rejected Qantas' remuneration report, which set out a three per cent rise in base pay for board members.
"This is obviously a very clear message from shareholders and it's matched by the determination we have to restore trust and confidence," Mr Goyder said.
Another vote against the remuneration report in 2024 would result in a spill motion, requiring all directors who approved it to stand for re-election.
It was Qantas' first remuneration strike and one of the biggest in Australian corporate history.
"We are extremely disappointed," Rachel Waterhouse, chief executive of retail investor group the Australian Shareholders Association, told ABC News.
"There is quite a lot to do and a board that really needs to step up and govern the organisation appropriately."
Shareholders questioned TV personality and marketing guru Todd Sampson's suitability for re-election to the board, given he had "completely misread the zeitgeist" of recent years.
The Gruen co-host revealed he had contemplated standing aside but decided his professional experience and the need to retain corporate memory merited his continuation.
"I've spent a career helping other clients in similar brand situations that we now find ourselves," he said.
"Of all times in Qantas history, especially with a new CEO, this is when my experience will be most valuable."
More than a third of shareholders - 34 per cent - disagreed with Mr Sampson's evaluation but it was not enough to unseat him.
Mr Goyder thanked former CEO Alan Joyce, who received a $21.4 million final payout, for his service to the company.
"He guided this company through some of its biggest challenges, which meant making some tough decisions," he said.
Mr Goyder denied any impropriety from Mr Joyce in selling 90 per cent of his stake in Qantas before the consumer regulator announced its investigation into the carrier for misleading conduct.
As Mr Goyder asked for shareholder Chris Maxworthy's microphone to be cut off when he tried to continue his line of questioning, cries of "shame on you" swelled throughout the hall.
Mr Joyce's successor, Vanessa Hudson, continued the apology party.
"There are many things big and small that we didn't get right," she said.
Ms Hudson said the company was investing in customer experience, would work with banks to automate the recovery of customer's unclaimed flight credits and consider bringing call centre staff onshore.
A NSW court was on Friday due to rule on whether Qantas unfairly dismissed Transport Workers Union representative Theo Seremitidis, who called out cleaning standards during the COVID-19 pandemic, but the hearing was adjourned.
TWU national secretary Michael Kaine called for a worker representative on the company's board.
Labor senator Tony Sheldon demanded Mr Goyder's immediate departure.
"They operate like a crime gang," he said.
"Only a root and branch change in this company is going to make any difference to the travelling public and the workforce that relies on Qantas to be great again."
Australian Associated Press
