Qantas shareholders have questioned Qantas ex-CEO Alan Joyce's exit terms after a dramatic week at the carrier. 

Qantas shareholders, including superannuation investors, have expressed concerns about bonuses for outgoing CEO Alan Joyce.

Qantas shares have fallen significantly, shedding over $1 billion in market value amid a series of scandals, including allegations of illegal ticket sales and ethical concerns surrounding the airline's management.

Major shareholders at Qantas are demanding answers from the company's board regarding the exit terms of the outgoing CEO. 

The Australian Council of Superannuation Investors (ACSI), representing significant superannuation funds and other public sector investors, questions the justification for any executive bonuses given the challenges Qantas is grappling with under Joyce's leadership.

Louise Davidson, CEO of ACSI, says that Joyce's early departure does not alleviate the need for transparency: “The early departure of the Qantas CEO this week has not erased the issues that concern us, and we are interested in the terms of his exit”. 

She further stressed the importance of the board's careful consideration of executive bonuses in light of the company's ongoing issues.

Qantas, whose shares have plummeted nearly 15 per cent since early August, losing over $1 billion in market capitalisation, will disclose executive pay details, including Joyce's, this month.

ACSI had previously issued warnings about closely scrutinising Qantas following allegations by the Australian Competition and Consumer Commission (ACCC) of illegal ticket sales before Joyce's decision to depart. 

These allegations, combined with ethical concerns surrounding the airline's operations, have put the board under increased scrutiny.

The airline's new CEO, Vanessa Hudson, has pledged to focus on customers and rebuilding the company's tarnished reputation. 

Nevertheless, shareholders and investors are keen to see concrete plans for repairing the airline's reputation and restoring public trust.

This situation raises questions about the accountability of both the outgoing CEO and the board. 

Institutional Shareholder Services (ISS), providing proxy voting advice services to Qantas's long-term investors, has recommended against awarding bonuses to Joyce under the airline's recovery retention plan, despite 90 per cent of shareholders approving it at the last annual meeting.

Qantas's challenges, combined with Joyce's tenure and his share sell-off during an ACCC investigation, serve as a cautionary tale about the potential pitfalls of long-serving CEOs and the importance of board oversight.

Additionally, this situation highlights the complex relationship between big businesses and governments, showcasing the potential for regulatory capture and the need for vigilance in holding powerful entities accountable. 

The episode at Qantas also underscores the potential drawbacks of extensive share buybacks, as they can prioritise short-term stock price performance over long-term business sustainability.