Virgin Australia will set up a base for cabin crew in Adelaide, creating about 80 new jobs.
Virgin Australia chief customer officer Mark Hassell says the move highlights Adelaide as an important market for the airline’s domestic operations.
“Having a cabin crew base in Adelaide will create significant benefits for our business, giving us greater flexibility in scheduling flights and crew,” he said.
Flights out of Adelaide have previously been serviced by cabin crew from other states.
The news comes two years after competitor Tiger closed its Adelaide base in August 2011, taking an estimated 60 jobs with it.
Premier Jay Weatherill stepped out at Adelaide Airport this morning to welcome the announcement.
He said the new jobs would be in addition to the 180 customer-service and ground crew already working at Adelaide Airport – and part of the training for the cabin crew staff will be conducted in Adelaide.
“Airlines play a significant part in our economy, bringing business and tourism to the State,” Weatherill said.
“Today’s announcement by Virgin Australia shows that Adelaide is an important destination in its operations.
“Importantly, having a cabin crew base here also means about 80 new jobs in Adelaide.
“Previously, the more than 40 Virgin flights in and out of Adelaide have been serviced by cabin crew from other States.”
Virgin already operates a pilot training centre in Adelaide.
The Virgin decision follows a number of air carrier announcements in the wake of new alliances and route hub adjustments in the industry.
Emirates has started direct flights from Dubai to Adelaide, budget carrier AirAsiaX will be flying into Adelaide from next month and Singapore Airlines recently increased its services into Adelaide to 12 flights a week.
“Adelaide airport is the fastest-growing international airport in Australia,” Weatherill said.
“This continued investment by airlines is a key part of South Australia being able to market itself to the world.
“Invest in South Australia has done great work in attracting this latest opportunity.”
How much has been paid in taxpayer funded incentives rarely comes to light in these announcements and no detail was mentioned in the Premier’s statement today
The history of State Government incentives to aviation carriers includes;
• An unknown amount to AirAsiaX in 2013 dubbed “commercial-in-confidence” by Tourism Minister Leon Bignell. The deal went pear-shaped early on when AirAsiaX ran an ad campaign that encouraged people to travel abroad rather than South Australian regions. “The ads were not in the spirit of the Government’s agreement with the airline and they are being removed,” Bignell admitted in August.
• A $2 million package in 2008 to Tiger Airways to base two aircraft in Adelaide and create “about 50 new jobs for pilots and cabin crew”. Tiger’s base closed in August 2011.
• In 2005 Premier Mike Rann announced the arrival of OzJet Airlines, a business class airline. “The company plans to employ nearly 300 people in high-tech and professional jobs as well as operational positions over the next three years, and will generate an estimated $31 million in economic benefit to the State over the next five years.” OzJet instead opted to go to Melbourne, and collapsed 13 months later.
