Qantas Chairman Richard Goyder to Step Down in Boardroom Cleanout Amid Reputation Crisis
Qantas Airways has announced that its Chairman, Richard Goyder, will be stepping down next year as part of a boardroom overhaul aimed at repairing the airline’s tarnished reputation. Goyder’s retirement will take place before the airline’s annual meeting in late 2024. In addition to Goyder, fellow directors Jacqueline Hey and Maxine Brenner will retire at the half-year results in February, following their decade-long tenures.
This decision comes after Goyder resisted calls to step aside and take responsibility for the recent scandals that have undermined the standing of Australia’s largest airline. He has also faced criticism for simultaneously chairing oil and gas giant Woodside Energy Group and the Australian Football League, which is the most popular spectator sport in the nation.
During Goyder’s tenure, Qantas faced several challenges that damaged its reputation. The airline illegally dismissed 1,700 ground workers during the pandemic, while passengers became increasingly frustrated with mounting cancellations and delays. Additionally, Australia’s antitrust regulator is suing Qantas for selling seats on numerous flights last year that the airline had already decided to cancel.
Goyder’s decision to step down comes after the early retirement of former CEO Alan Joyce, which took place last month. Qantas shares rose by 1.3% following the announcement. However, the stock is still down about 26% from its peak in July due to passenger dissatisfaction, legal issues, and investor concerns.
The Transport Workers’ Union, which opposed Qantas over the controversial Covid-era dismissals, expressed dissatisfaction with Goyder’s delayed departure and called for a worker representative to be added to the airline’s board. The union argues that Goyder is leaving with a year’s pay in his pocket while overseeing the largest case of illegal sackings in Australian history.
Recognizing the significant reputational and customer service issues plaguing the airline, Goyder issued an apology and emphasized the need for accountability in order to restore trust. Qantas has also announced that an independent review will be conducted to address major governance issues from the past year, with the results expected in the second quarter of 2024.
Once the new directors are appointed, Qantas board members will have an average tenure of about three years leading up to the 2024 annual meeting, according to the airline.
Overall, this boardroom cleanout marks an effort by Qantas to address the challenges it has faced and rebuild its damaged reputation. As the airline undergoes these changes, stakeholders will be looking for transparency, accountability, and a commitment to improving customer service.
