Description: Weeks of disruptions by union employees resulted in a decision by Qantas Airlines to ground all flights and lock out workers. The Australian government held an emergency hearing to consider whether to order the airline to resume flights.
Source: Associated Press, “Qantas Airlines Grounds Global Fleet in Employee Lockout, Says Strikes Are ‘Crisis’ for Airline,” Washington Post
Date: October 29, 2011
Questions for discussion:
- What are some of the general environment conditions that are contributing to actions by both labor and management in this situation?
- Consider the role of competitive advantage for an airline. What are some ways Qantas might maintain a competitive advantage? How might union activities negatively affect competitive advantage?
- What are the keys to organizational effectiveness for Qantas? What impact would strikes, work slowdown, and unwillingness to work overtime have on effectiveness?
- Discuss the pros and cons of using the various weapons available to each side.