Qantas is eager to put this year behind itself. Several mid-air incidents caused the airlines commitment to safety to come into question. Also, their plan to outsource labor caused a ruckus with local unions. Nonetheless, the Qantas is keeping its head above water. It dominates lucrative routes between the US and Australia and holds its own against stiff competition in Asia.
So when a price-fixing scandal involving the airline’s freight division came to public attention, Qantas was only too willing to make amends. Between 2002 and 2006, Qantas was one of over 30 airlines to charge unnecessary fuel surcharges. Virgin Atlantic and British Airways are the two high profile airlines already guilty of price fixing via fuel surcharges. But whereas the two London-based carriers’ scandal involved passengers, Qantas was only accused of fixing prices on air freight. Chief exec Geoff Dixon announced that the issue was settled before the Australian Competition and Consumer Commission (ACCC). A fine of AUS$20 million was paid to the ACCC. Last year, Qantas paid US$61 million for a related price-fixing charge in the US.