It could be months before Rex Airline workers receive their pay and entitlements
It could be months before Rex Airline workers receive their pay and entitlements -- with efforts continuing to keep the heavily indebted regional carrier flying.
Category
đź“ş
TVTranscript
00:00Well, the question hangs over Rex's future right now, and there's lots of answers that
00:06people will be seeking, most of all the staff of the airline, the regional residents who
00:10rely on those routes, as well as the creditors who are owed a large sum of money.
00:15It's been said that Rex is about $500 million in debt, with 4,800 creditors still waiting
00:21for money that's owed to them.
00:23That debt is hanging over Rex this month as the administration process gets underway.
00:28So far, we know that they've grounded their Metro 737 routes, instead choosing to focus
00:33on regional routes, as was their original purpose.
00:37Administrator Sam Freeman spoke a little bit earlier today, and he says the airline is
00:41looking to focus solely on those routes.
00:45We're saying to Australians, keep booking with Rex.
00:48The administrators are in control of the business and are overseeing its operations.
00:52We have demonstrated since the appointment that the Rex planes are getting people where
00:57they need to go to, and we've secured funding to enable us to continue to do so in the administration
01:03period.
01:04We've heard further reports that the airline was looking to potentially market or sell
01:09some of those smaller flights prior to going to administration, but now administrators
01:13will be looking at the assets that Rex has, the land, the buildings that they might be
01:17able to look at to realise and recover some value.
01:21Several groups have indicated their interest in being involved in the committee of inspection,
01:25including government representatives, airlines and unions, who are looking to help and assist
01:30Rex in any way they can.
01:33Administrators are still in their investigative period, looking at what went wrong at Rex
01:37and why, but their aim is to provide the best return for creditors, although staff could
01:42be waiting months for the money that's owed to them.