Lily Plass
31 July 2024, 9:20 PM
Regional Express Holdings (Rex) airlines entered voluntary administration on Tuesday 30 July and are no longer servicing major cities.
Despite vowing to keep up their services in regional areas, NSW Nationals Leader Dugland Saunders said the cut is a devastating blow to regional and rural areas in regional and rural NSW.
“This news is very concerning and will have a flow-on effect for anyone who lives and works in the bush,” Mr Saunders said.
“Being a regional MP, I’m one of the seven million Australians living outside the city, that relies on companies like REX to access the services we need.”
Rex Airlines provided valuable transportation for medical services, personal travel, coal mining jobs, and many other professions.
"Rex is an important airline for regional and remote communities and Rex's continuation is in the best interests of regional Australians, the travelling public, its workers, and the aviation sector," Catherine King, Minister for Infrastructure, Transport, Regional Development, and Local Government said in a press release..
John Fetuani. IMAGE: LinkedIn
John Fetuani CEO of the Bourke Aboriginal Medical Service (BACHS) said Rex Airlines has been crucial in bringing medical personnel to their centre.
“We face significant challenges in recruiting health professionals, and airlines like Rex have been instrumental in transporting clinicians from major hubs to regional centres."
"From there, clinicians either connect with another airline or undertake a four-hour drive from Dubbo to Bourke.
"It is crucial that more support is provided to outback health services like BACHS to effectively source and retain clinicians,” Mr Fetuani said.
Some rural and regional areas that are still serviced by Fly Pelican and AirLink are less impacted by the administration process.
Cobar shire mayor Jarrod Marsden said the Rex Airlines service cut will have no impact on their shire because are they still serviced by Fly Pelican.
Virgin Airlines has offered to take on customers whose flight was cancelled due to the administration process on 13 overlapping routes.
The official number of Rex employees who will lose their job is yet to be confirmed but estimates by the Transport Workers Union show upwards of 600 jobs will be cut. Both Virgin and Qantas airlines said they will look into how to support Rex workers.
The voluntary administrators for Rex Airlines are Samuel Freeman, Justin Walsh, and Adam Nikitins from Ernst & Young Australia (EY Australia).
Minister King said she has been engaged in talks with EY from Tuesday 30 July to Wednesday 31 July to discuss the future of regional air transport.
"There’s been a fair bit of work done yesterday, and they will continue today to ensure that workers are looked after," Hon King said on Wednesday morning.
"It is challenging, but I think where we are with Rex right at the moment, I think it’s in everyone’s interest that this airline continues, and we’re determined to do what we can."