The former Qantas CEO Alan Joyce has had more than nine million dollars stripped from his golden handshake with the airline. An independent review has found that mistakes were made that heavily impacted on the airline's customer service and reputation and that Mr Joyce's dominant leadership style was a contributing factor.
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00:00He's the CEO that left Australia's biggest airline with a shattered reputation and costly
00:07court battles and now he's paying the price.
00:10I don't know why you get a huge payout for underperforming.
00:14Way more than the Prime Minister or anybody else like that so I don't think he needs anymore.
00:19He is a rogue, fortunately he hasn't destroyed the airline but he's pocketed millions.
00:25After mounting pressure from investors and a string of controversies including the illegal
00:29sacking of about 1,700 workers, the selling of tickets on already cancelled flights and
00:35allegations of anti-competitive behaviour, former Qantas boss Alan Joyce will have more
00:40than $9 million cut from his final pay packet.
00:44Qantas has left a trail of destruction under Alan Joyce.
00:48The former CEO walks away with $125 million in total over his 15 year career with the
00:55airline.
00:56The short term bonuses of other executives including current CEO Vanessa Hudson have
01:00also been docked.
01:02The review found that mistakes were made and in some cases the responses of the board and
01:07management were a contributing factor.
01:09It said Alan Joyce had a command and control leadership style and this led to events that
01:14negatively impacted Qantas' relationships with its stakeholders including customers,
01:20employees, investors and governments.
01:22There will be clearly scrutiny at future shareholder meetings.
01:28Investors will be looking at the alignment between remuneration and incentives as well
01:33as board oversight to make sure these issues don't happen again.
01:37The review makes 32 recommendations including changes to the way executives are paid and
01:43greater oversight of when a CEO can sell shares.
01:46But Qantas concedes it still has much work to do to win back the trust of its customers.
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