The lingering disagreement between the Australian and International Pilots Association (AIPS) and the management of the leading airline in the country has already ruined travel plans of more than 60,000 passengers in Australia.

It may also turn out to be a big black eye for the tourism industry particularly at this time when Christmas is just two months away.

The Australian federal government may be forced to mediate in Qantas's current industrial relations dilemma after the airline announced that it would be compelled to ground its airplanes following another notice of strike filed by engineers next week, according to the eTurbo news.

Tourism Minister Martin Ferguson said if the airline and unions failed to resolve the dispute, the government could approach the industrial umpire.

The situation may worsen when Qantas announced that five aircraft - four Boeing 737s and one 767, would be grounded for one month which could force the cancellation of 97 flights a week.

Flights in Melbourne, Sydney, Brisbane and Adelaide would definitely be affected.

Qantas management claim it is remains duty-bound to continue talks with the pilots' union.

Qantas, Unions Claims

However, officers of the Australian and International Pilots Association (AIPS) claimed the airline company was abandoning the listed conciliatory negotiations as Fair Work Australia.

A press release of the Sydney Morning Herald said that Qantas management has been very patient in dealing with the labour unrest for the past 14 months. It said in a press statement that the AIPS has not responded to their recent letter.

Qantas only wants the union to pull out its unworkable and detrimental demand that Jet star and Jet connect pilots should be given the same high wages and privileges as Qantas pilots.

"If Qantas were to agree to this claim it would increase airfares for our customers and endanger the jobs of other employees within Qantas," key officials of the firm said.

AIPA president Barry Jackson insists that management walked out on the meeting.

Captain Richard Woodward, vice president of the pilots' union said in a exclusive interview with ABC News that they received a letter from Qantas indicating that "it is disproving their "claims on their new Qantas flight, flight flaws and therefore they couldn't see any point on in going on with further negotiations in the Fair Work Australia."

Woodward clarified that there is no intention from their end to resort to a work stoppage and cause inconvenience to travellers.

Their alternatives include "behind the scene actions that would hopefully get the company's attention and bring them back to the table."

However, Qantas spokesperson Olivia Wirth asserts that the demands of the union are beyond reason.

Wirth said this action would hurt their business even more and ruining schedules with passengers bearing the brunt of these protest moves.