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Australia’s Qantas Airways said on Tuesday that it has reached a settlement with the Transport Workers Union (TWU) for compensation of A$120 million ($76.2 million) that it will pay former ground workers who were sacked in 2020.

The airline will pay the ex-employees through a compensation fund that will be established in early 2025, it said.

The carrier added that the final amount will comprise of factors including compensation to the TWU and the costs incurred to distribute the funds to the individuals.

Qantas plane returns to Australia airport due to ‘engine failure’, sparks fire

The Federal Court will conduct a separate hearing at a later date to determine whether Qantas will be penalized for sacking the individuals, the airline said.

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