Virgin Australia appoints Danielle Keighery as Chief Experience Officer
Virgin Australia has overhauled its leadership team and announced a round of cost and job cuts in a bid to save $75m a year. Some 750 staff will be affected. The company states:
Virgin Australia has announced a new Executive Leadership Team, simplified organisational structure and an organisational rightsizing program. These measures will drive greater business integration, customer focus and reduce costs.
Executive Leadership Team
A new Chief Financial Officer, Chief Commercial Officer, Chief Operations Officer will join the Group as part of a new Executive Leadership Team appointed by Group Chief Executive Officer and Managing Director, Paul Scurrah.
The appointments include:
- Chief Financial Officer, Keith Neate
- Chief Operations Officer, Stuart Aggs
- Chief Commercial Officer, John MacLeod
- Chief Experience Officer, Danielle Keighery (current Group Executive, Brand, Marketing & Public Affairs)
- Chief Strategy & Technology Officer (new role, vacant)
- Chief Legal and Risk Officer, Dayna Field (current Chief Legal & Risk Officer)
- Chief People & Culture Officer, Lucinda Gemmell (current Group Executive, People)
- Chief Executive Officer, Velocity Frequent Flyer, Karl Schuster (current CEO VFF)
- Company Secretary, Sharyn Page (current Company Secretary)
New Organisational Structure
The new Group structure will integrate the corporate, operational and commercial functions of Virgin Australia Airlines, Virgin Australia Regional Airlines and Tigerair Australia into single functions and points of accountability. Each executive leader will be accountable for driving business outcomes for the Group and maximising the value of the brands.
Virgin Australia Group CEO and Managing Director, Paul Scurrah, said “I’ve been reviewing the structure of the organisation since I joined the Group in March with a view to simplify the current structure, which has grown overly complex over time.
“Transitioning to the new Group structure will streamline common functions and create greater opportunities, but will also identify efficiencies and duplication, which will form part of the organisational rightsizing program.
“Having Group accountability at the executive level will deliver significant financial, operational and technological benefits, and it’s important we have an executive leadership team that is working together to deliver better financial outcomes for the Group.
“Maximising the value of the brands we operate will also ensure a strong focus on the customer experience, right across the Group,” Mr Scurrah said.
Organisational Rightsizing
The Group will implement an organisational rightsizing program with a reduction target of 750 roles, largely focused on corporate and head office positions. This will result in expected cost savings of $75 million per annum. It’s anticipated the majority of affected team members will have left the business by the end of the 2020 financial year.
Mr Scurrah said the business needed to make some tough decisions in order to ensure a strong future for the Group.
“Decisions which have a direct impact on people’s livelihoods are never made lightly, and I regret the need to reduce the size of our workforce so quickly. However, recent financial results tell us loud and clear that we need to reduce costs. Once the program is complete, the Virgin Australia Group will still be one of the largest employers in Brisbane, and proudly employ people across Australia, New Zealand, Hong Kong and Los Angeles.
“Those who do leave the business will be closely supported through this process and given opportunities to transition into a new role. I’d like to sincerely thank them for their dedication to the Group,” Mr Scurrah said.
The Group also announced a salary freeze of non-EBA middle-management and above for the 2020 financial year.