Hrdlicka installation sparks fears of low-cost Virgin

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Mr Scurrah was said to be pushing to keep the airline’s options open to launch a low-cost offshoot similar to the now-defunct Tigerair Australia in the future.”Having seen the company through COVID-19, voluntary administration, the sale to Bain Capital and the redesign of the business, I will be stepping down as CEO and managing director,” Mr Scurrah said in a statement.He declined to elaborate on the reasons for his exit.If Virgin 2.0 was to become a low-cost carrier, it would thrust the airline into direct competition with Ms Hrdlicka’s former employer, Jetstar, starving parent company Qantas for competitors at the upper end of the domestic market.Among the promises the private equity firm made when securing the airline was that Virgin would have 5000 to 6000 employees and operate 60 to 70 planes at full capacity. Seven unions, led by the TWU, wrote to Bain asking them to clarify these commitments as news emerged Mr Scurrah was preparing to leave the airline after butting heads with Bain.Bain responds to union letterIn response, Mr Murphy on Thursday recommitted to employing 6000 at full tilt – something Virgin’s management team formally outlined in August – but did not put a firm number on the fleet.”The …

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