Should Qantas be a kangaroo?

Overpaid bosses are the cause. Too many enjoy totally unjustifiable levels of largesse - and it is difficult for them to justify either earning or deserving it. Because of this widely-held view of overpayment of executive salaries right around the globe, the union problems at Qantas won't be fixed until the executive team give themselves a haircut that makes them look like Yul Brunner. The pilots can follow their example.

Of course, the turmoil at Qantas is only the tip of the iceberg in terms of the productivity of our nation. If we acknowledge that an airline can't operate profitably in Australia at our current levels of wage costs, then no company in any industry here can survive either. Every significant industry in Australia will have to follow Qantas and move offshore.

If we don't want this to happen, then we had better do something drastic about it. Not only must the bosses be paid less, all workers must also accept lower wages -like the Greeks and Italians are being forced to do with much kicking and screaming. If the world has changed for Qantas, then it has changed for all of us, and we have to swallow some harsh and unpalatable medicine. It is time to acknowledge that we are living beyond our means.

Be that as it may, let us get a bit positive. It seems to me that if Qantas really wants to have Australians cheering them on instead of copping flak for trying, its headquarters should move to Dallas, Texas, not Singapore.

The airlines in America are close to being the very worst in the world, and Qantas could get a substantial share of a badly-serviced market by taking over a local airline, making it more efficient and expanding its scope. From this new base, it could eventually dominate the Atlantic skies from Dallas, as Europe's airlines are only marginally better than America's, and many of them will go to the wall as Europe goes into a deep recession.

I was pleased to read that Qantas has had second thoughts about Singapore, where Singapore Airlines is well managed and prosperous.

Additionally, they are not friends of Qantas as they have for many years deeply resented being denied the right to fly from Australia to North America. Nor is the Singapore Government a friend after our scuppering of the plan to merge their Stock Exchange with ours. Malaysian Airlines is a better bet, but it pales into insignificance compared to the American opportunity.

The Flying Kangaroo has a golden opportunity to show the world that the nation of its birth is the fastest growing and most stable in the G20. The time for the Kangaroo to jump high is now. Let us not try to take a small step into the highly competitive Asia scene when we can take on the whole world from the large base of an American market which is struggling.

All that is needed is a courageous leader to walk in the footsteps of Hudson Fysh and recapture his vision and tenacity.