There are some major management changes coming to Qantas, as the carrier’s long-serving CEO is retiring, and is being replaced by another senior Qantas executive.
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Qantas CEO Alan Joyce retiring in November 2023
Alan Joyce will be retiring from Qantas as of November 2023. 56-year-old Joyce has served as CEO of Qantas for 15 years, making him one of the longer serving CEOs in the industry, as it’s rare they last that long in one position. Joyce was reportedly supposed to retire around the start of the pandemic, but at the request of the board, ended up staying on throughout the pandemic.
Qantas Chairman Richard Goyder said the following about Joyce’s retirement:
“Much of the credit for the bright future in front of Qantas goes to Alan. He’s faced more than his fair share of challenges as CEO and he’s managed them exceptionally well – from the GFC, to record oil prices, to intense competitive pressures and the COVID crisis.”
“The company was restructured to deal with a number of external shocks and Alan led it to a several record profits. He’s overseen a lot of investment in aircraft, lounges, the creation of Jetstar, our cornerstone partnership with Emirates and innovations like the Perth-London route and Project Sunrise.”
“Alan has done a superb job of leading a team that is absolutely committed to the national carrier’s long-term success and it’s from that team that his successor has been chosen.”
If you ask me, Joyce has a mixed legacy at the airline, and is pretty polarizing — some people think he has done a great job, while others think he has done a terrible job.
To Joyce’s credit, he has always run the airline in a disciplined and conservative way, and the company has weathered quite a few storms under his leadership. Some cool innovations have come under Joyce’s leadership, like launching nonstop Perth to London flights, ordering Airbus A350s for the world’s longest flights, which will be known as “Project Sunrise,” and refreshing the narrow body fleet.
What sticks out to me most about Joyce, though, is the way he has approached labor relations. He has consistently viewed staff as being completely replaceable, and has made some pretty ruthless labor cuts, from outsourcing, to hiring staff under new contracts.
Furthermore, there’s no denying that the perception of Qantas has deteriorated significantly in Australia during the pandemic, as the airline isn’t the beloved national airline that it once was. Then again, declining perceptions of airlines is hardly unique to Australia.
Vanessa Hudson will become new Qantas CEO
Alan Joyce will be replaced by Vanessa Hudson, who will take over as Qantas CEO as of November 2023. She currently serves as Qantas Group’s Chief Financial Officer, and has worked in the airline group for over 28 years, including as Chief Customer Officer and SVP for the Americas and New Zealand.
Here’s what Qantas Chairman Richard Goyder said about Hudson’s appointment:
“Vanessa has a deep understanding of this business after almost three decades in a range of roles both onshore and offshore, across commercial, customer and finance. She has a huge amount of airline experience and she’s an outstanding leader.”
“For the past five years Vanessa has had a direct hand in shaping our strategy as a member of the Group Management Committee, and her handling of the finance and treasury portfolio during the COVID crisis was outstanding. She also led the fleet selection process in 2022 for the renewal of our domestic jet aircraft over the next decade.”
“A key strength of Qantas is the sheer depth of talent it has, and Vanessa will be supported by a deep bench of executives across the organisation as well as by the Board.”
Congrats to Hudson on her new job. I think it’s safe to say that it will be business as usual at Qantas, and that she won’t be rocking the boat too much. She seems like a safe option, given how long she has been in the Qantas ecosystem, and has been working with Joyce.
While it’s fun to imagine a CEO with fresh thinking and an outside perspective, the reality is that Qantas is at quite a transitionary point, between its narrow body fleet replacement, and the A350s joining the fleet in the coming years. I think she’ll have her hands full executing that vision.
Bottom line
Qantas will finally see a senior management change, as Alan Joyce retires after 15 years of being the company’s CEO. He will be replaced by Vanessa Hudson, who is currently CFO, and has been at the airline for decades. Congrats to Hudson on this new role, as it’s always great to see more female CEOs in the airline industry.
If Qantas’ goal is to maintain the status quo (which it seems to be), then I think she’s a great choice.
What do you make of Qantas’ CEO changes?
I don't think the Irishman ever had a customer focus, he was appalling in that area and consequently, the reputation of the airline has suffered dramatically in Australia. Australians once had a unique relationship with our national carrier. But through the irishman turning it in to this woke airline he forgot about customers and customer service. He turned it into an also ran. Not being Australian didn't help him understand the relationship or the culture....
I don't think the Irishman ever had a customer focus, he was appalling in that area and consequently, the reputation of the airline has suffered dramatically in Australia. Australians once had a unique relationship with our national carrier. But through the irishman turning it in to this woke airline he forgot about customers and customer service. He turned it into an also ran. Not being Australian didn't help him understand the relationship or the culture. Sure it's profitable, but who wouldn't be in this environment. It's no longer the Spirit of Australia, it's become the Spirit of the Woke. They don't even say Ladies & Gentlemen anymore for christ's sake. Completely ridiculous. Good riddance. Hopefully under the woman we'll see the airline focus on flying and customers instead of this woke PC agenda of the Irish dude. It's an airline.
The new CEO can go to the Bar more often now.
I admire the Australian people’s passion for their flag carrier. Keep letting the company know how you feel. Things might change. You care enough to keep them on their toes. Good for you.
I agree that the CFO's promotion signals the QF Board's prioritization of bottom line over product. I also understand why that's unattractive to many customers (including me).
It might be worth remembering, however, that John Borghetti - the very talented, product driven, former Executive GM of Qantas and then CEO of Virgin Australia wasn't able to make his version of Virgin profitable over many many years and it subsequently failed. The same could be...
I agree that the CFO's promotion signals the QF Board's prioritization of bottom line over product. I also understand why that's unattractive to many customers (including me).
It might be worth remembering, however, that John Borghetti - the very talented, product driven, former Executive GM of Qantas and then CEO of Virgin Australia wasn't able to make his version of Virgin profitable over many many years and it subsequently failed. The same could be said of James Hogan - a product innovator - who very nearly sent Etihad bust had it not been for the owner's deep pockets after the billions lost in a failed growth strategy.
Airlines are a license to lose money very quickly - given the huge cost of capital and highly dynamic market which can almost wipe out margin overnight. It doesn't surprise me that very few airlines are appointing product innovators to the top job, instead promoting bean counters who's primary aim is to keep shareholders happy. A shame, but reality for the time being in many parts of the world.
It might be worth remembering, Alan Joyce rose from network planning which is more finance driven than customer driven. So QF's board didn't really shifted priorities for decades.
Agree. BA's Board has taken a similar approach. Willie Walsh was all about cost cutting. Alex Cruz did the same and only because of major backlash over the outdated Club World seats did he introduce Club Suites - an off-the-shelf seat with little innovation.
The above said - unless you're an Emirates or Qatar which very rich parents prepared to spend - most airlines are obsessed with bottom line including cutting costs and improved...
Agree. BA's Board has taken a similar approach. Willie Walsh was all about cost cutting. Alex Cruz did the same and only because of major backlash over the outdated Club World seats did he introduce Club Suites - an off-the-shelf seat with little innovation.
The above said - unless you're an Emirates or Qatar which very rich parents prepared to spend - most airlines are obsessed with bottom line including cutting costs and improved efficiency. Product needs to fit within those parameters.
Alan Joyce was the CEO that pillaged the Australian taxpayer from billions of dollars. That sacked thousands of workers illegally. That left Australians stranded abroad. And saws a blow out in fleet age.
Good riddens to a terrible individual that reflected the worst of Australia
Like the recent trends around the world.
Promoting CFO = Shareholders happy
Promoting COO = Customers happy
Qantas is a public company so it not hard to see why.
Very mixed feelings here.
Joyce has absolutely killed the Qantas spirit. From an airline absolutely loved by the nation, it has become the airline everybody loves to complain about. I don't think there is anyone in Australia sad to see him leave.
His replacement is an unknown quantity, but like others, I think that appointing a CFO to the top job is a bad sign. Unlike others, I think appointing Wirth wouldn't be...
Very mixed feelings here.
Joyce has absolutely killed the Qantas spirit. From an airline absolutely loved by the nation, it has become the airline everybody loves to complain about. I don't think there is anyone in Australia sad to see him leave.
His replacement is an unknown quantity, but like others, I think that appointing a CFO to the top job is a bad sign. Unlike others, I think appointing Wirth wouldn't be a great idea either. Qantas Loyalty is working exceptionally well for Qantas, but is a program that uses its near monopoly status to offer very sub standard value to its members.
I have switched to Virgin for all my domestic travel (a very big step for me) and while the airline is most definitely no frills, the service, and reliability are significantly superior to Qantas
As an Australian who used to absolutely ADORE this airline, my
opinion is that this arsewipe has totally besmirched the once-proud QF brand. He indeed views staff as completely replaceable, and it is when he grounded the entire airline in order to get his way that he began the long and irreversible slide (hebby slide) to the bottom.
It is the frontline staff that truly make this airline what it once was, and...
As an Australian who used to absolutely ADORE this airline, my
opinion is that this arsewipe has totally besmirched the once-proud QF brand. He indeed views staff as completely replaceable, and it is when he grounded the entire airline in order to get his way that he began the long and irreversible slide (hebby slide) to the bottom.
It is the frontline staff that truly make this airline what it once was, and I share in all their joy tonight as they cheer and shout at his departure. Good riddance; don’t let the aircraft door hit ya, where the good lord split ya, you little, little man.
Totally agree - he has trashed the brand and every employee will be jumping for joy .. but only when the proverbial “don’t let the door kick you in the ass on the way out” struggling with the weight of that case filled with millions of dollars
I think we can expect no major innovations after Project Sunrise then (if it even happens). Never a good sign for the customer experience when an organisation puts the CFO in charge..
You can all judge the guy but not one of you could have filled his shoes well done Alan Joyce! you should be proud. You didn’t alway make the best decision but you tried and made a more profitable stronger airline…. Say what you want
You can all judge the guy but not one of you could have filled his shoes
Based on WHAT??
Have you somehow not noticed that an individual from almost any professional background (lawyer, accountant, glorified CSA) can be plopped into a c-suite, called an executive, and "run" an airline?
One can argue the areas/degrees of success for each type in doing so, but the historical fact remains: "airline executive" isn't exactly a job with...
You can all judge the guy but not one of you could have filled his shoes
Based on WHAT??
Have you somehow not noticed that an individual from almost any professional background (lawyer, accountant, glorified CSA) can be plopped into a c-suite, called an executive, and "run" an airline?
One can argue the areas/degrees of success for each type in doing so, but the historical fact remains: "airline executive" isn't exactly a job with narrow/atypical/rare qualifications.
43 years a QANTAS customer, and I haven't been this ecstatic since I first flew their 747 in '84. Good riddance to bad rubbish! He should have left in 2013 to secure a positive legacy. But like many a power-hungry CEO, he stayed on too long and tarnished his own image. BTW: the aviation forums and blogs here in Oz are in virtual party mode judging from the delighted comments. You get the picture..
(Australian) Senator Sheldon remarked today "Rather than waiting until the end of the year, Alan Joyce could give Qantas workers and customers an early Christmas present by resigning today,” ...
"he could bring back 1700 ground staff whose jobs the airline outsourced during the pandemic, as well as pay back government handouts".
[In 2020-21 Qantas received government "Jobkeeper" handouts of A$800m to make sure they would retain all their staff. But Qantas fired thousands...
(Australian) Senator Sheldon remarked today "Rather than waiting until the end of the year, Alan Joyce could give Qantas workers and customers an early Christmas present by resigning today,” ...
"he could bring back 1700 ground staff whose jobs the airline outsourced during the pandemic, as well as pay back government handouts".
[In 2020-21 Qantas received government "Jobkeeper" handouts of A$800m to make sure they would retain all their staff. But Qantas fired thousands of workers anyway and instead spent the taxpayers' money on a share buyback.]
“To Joyce’s credit, he has always run the airline in a disciplined and conservative way…”
No, he ran it like a class A asshole. Good riddance to bad rubbish.
Great news for shareholders (of which I am one) not so good news for passengers (which I am also), for whom Olivia Wirth, head of Qantas Loyalty would probably have been a better choice.