The intercession of Australian Prime Minister Julie Gilliard is seen as one of the major reasons for the prompt resolution of the Qantas labour dispute.

At the height of the industrial row between the management of the country's premier airline and workers' unions, Gilliard called on watchdog Fair Work Australia to put an end to the crisis and prevent further negative effects on the economy.

Nine News reported that while Gilliard was not asked by Qantas to intervene in the dispute, she believed that it was necessary to settle the disagreement immediately in the interest of the nation and all parties concerned.

Gilliard said that the government seldom calls on regulators to arbitrate in any industrial discord it became necessary to do so to prevent adverse repercussions to the national economy, according to the Vancouver Sun.

Earlier Qantas CEO Alan Joyce announced the grounding of all flights to stop the strike that has paralyzed the company's operations.

The protest actions were perceived as a reaction to cost-cutting measures which management implemented.

The decision of Joyce drew numerous criticisms from the public since it stranded thousands of passengers and reportedly embarrassed the government as it hosted leaders from the 54-nation Commonwealth bloc in a summit in Perth, the Vancouver Sun reported.

Alan Kohler of Business Spectator mentioned in his commentary that Qantas chair Leigh Clifford insisted that the "that the grounding and lockout announced on Saturday night was not part of a carefully planned strategy to end the EBA dispute with the engineers, pilots and baggage handlers and their unions through the compulsory arbitration provisions of the Fair Work Act."

The Sydney Morning Herald said that Qantas would resume operations tonight after Fair Work Australia declared that the dispute has come to an end.

This means that both parties are given three weeks to resolve their disagreements and reach a covenant that would be compulsory. Failure to do so would entail obligatory arbitration.

ACTU national secretary Jeff Lawrence announced that members of the Transport Workers unions will cooperate with the airline to get planes flying again as soon as possible to prevent more inconvenience to the general public.

Meanwhile, opposition leader Tony Abbott blamed the government of causing needless pressure by not immediately invoking special powers under section 431 of the Act, which would have terminated the dispute right away without involving Fair Work Australia.