Scandal-hit Qantas fights to overcome its 'lying kangaroo' repute

Qantas Airways, a storied airline that was once the pride of Australia, has been rocked by a spate of scandals, including sales of seats on thousands of canceled flights, leaving newly appointed CEO Vanessa Hudson scrambling to win back customer trust. The company's first female CE, who took office two months earlier than planned, will now try to put the nation's top carrier back on a growth track amid rising fuel costs and intensifying competition. "I know that we have let you down in many ways, and for that, I am sorry," said Hudson in a video released on Sep. 22. "We need to earn your trust back, not with what we say, but what we do and how we behave." Australian regulators took Qantas to court in August, accusing it of selling tickets for 8,000 flights between May and July 2022 that the airline had already canceled. Unknowing passengers who bought the tickets were forced to purchase more expensive ones after the cancellations were announced. The company could be fined up to around 2b Australian dollars ($1.3b), equivalent to 10% of annual sales. Its response to the pandemic also rankled customers. Rather than refunding tickets for flights canceled because of the pandemic, Qantas issued travel vouchers and credits with expiration dates. Its call centers could not handle a flood of inquiries, resulting in long waits. This has prompted customers to file a class-action suit against Qantas for refunds. Qantas finally relented in August this year, announcing that it would remove the expiration date on the travel vouchers and offer cash refunds. The week after Hudson's video apology, it announced an additional AU$80m investment to strengthen call centers. The carrier plans to spend AU$230m in total this fiscal year to improve customer service. The legal battles were a stunning fall from grace for the world's second-oldest airline, which was founded in 1920 as a state-owned company. <br/>