Alan Joyce, who served as CEO of Qantas Airways for 15 years, has resigned two months earlier than previously planned, according to the carrier. He will be immediately replaced by Vanessa Hudson, the first woman to lead the carrier.
The hastened departure comes after Qantas apologized for its service standards falling short and acknowledged it was suffering reputational damage, less than two weeks after it reported record annual earnings.
Australian authorities last week sued Qantas for allegedly selling tickets for more than 8,000 canceled flights between May and July 2022 without disclosing they had been canceled.
The airline had also faced scrutiny from politicians and the public over a decision to let nearly $323 million of pandemic-era flight credits expire by the end of the year, which it reversed shortly after the regulator filed its lawsuit.
Joyce said that in the last few weeks, “the focus on Qantas and events of the past make it clear to me that the company needs to move ahead with its renewal as a priority.”
Richard Goyder, chairman, said in a statement that the executive transition came at a “challenging time” for the airline and its staff. He said the carrier “has an important job to do in restoring the public’s confidence in the kind of company we are, and that’s what the board is focused on, and what the management under Vanessa’s leadership will do.”