News

Bombshell report reveals Qantas ‘senior managers knew’ ghost flights were being sold

Qantas management was aware the airline was selling tickets for flights that had already been cancelled, according to a report issued by the ACCC around the ghost flights saga.

Qantas’ new CEO Vanessa Hudson agreed to settle the ACCC claim earlier in the year, with the airline paying $120 million in damages.

In doing so, the airline admitted 86,597 customers were sold cancelled flights, totalling $170.9 million, with an average of 11 days between the sale of the flights and the airline notifying the traveller the flights had been cancelled.

The statement of agreed facts was issued by the ACCC, and is subject to approval by the Federal Court.

“Senior managers responsible for different aspects of Qantas’ systems and operations knew: That flights the subject of a cancellation decision were not immediately removed from sale; that some consumers could and did make bookings on flights after those flights had been the subject of a cancellation decision; that consumers who had made bookings on flights that were the subject of a cancellation decision were not notified of that decision immediately,” the ACCC wrote.

The management also knew “the Manage Booking Pages for flights that were the subject of a cancellation decision were not updated to reflect that decision promptly, although no single person knew all these ­matters.”

The ACCC acknowledged that Qantas had since automated this process so these errors cannot occur again.

Qantas CEO Vanessa Hudson said the airline’s admission of guilt and payment of the fine was “another important step” in restoring customer confidence back in the airline.

“When flying resumed after the COVID shutdown, we recognise Qantas let down customers and fell short of our own standards. We know many of our customers were affected by our failure to provide cancellation notifications in a timely manner and we are sincerely sorry,” Hudson said.

“The return to travelling was already stressful for many and we did not deliver enough support for customers and did not have the technology and systems in place to support our people.

“We have since updated our processes and are investing in new technology across the Qantas Group to ensure this doesn’t happen again.”

ADVERTISEMENT

Get the latest media and marketing industry news (and views) direct to your inbox.

Sign up to the free Mumbrella newsletter now.

"*" indicates required fields

 

SUBSCRIBE

Sign up to our free daily update to get the latest in media and marketing.