Qantas Industrial Relations Update
One of the reasons Qantas is the best case study to use for HSC Business Studies is that it ticks all the syllabus boxes with regard to industrial dispute resolution. Qantas must work with 16 unions to negotiate a massive 44 enterprise agreements. Qantas is always embroiled in enterprise bargaining for one agreement or another and often facing a bout of industrial action in the process.
Several EBA’s that were put off because of COVID have been back on the negotiating table with mixed results. Surging profits (Qantas has just issued its third profit upgrade and has flagged a first half 2023 profit of $1.45 billion as travel demand soars) makes its hard for Alan Joyce to convince its workforce to lock in new agreements without undermining its $1 billion cost savings target.
Almost 100% of the airlines 1200 domestic flight attendants have just voted in favour of protected strike action over protracted enterprise bargaining negotiations. The Flight Attendants’ Association of Australia said members want a bigger pay increase and for proposed changes to working hours including fewer breaks to be scrapped. Qantas has offered 3 per cent annual pay rises to its workers after they accepted a two-year wage freeze when planes were grounded because of COVID-19.
The union says Qantas can afford to pay higher wages as demand for travel rebounds following the Covid-19 pandemic. Qantas’ enterprise agreement offer would extend domestic cabin crew shifts from 9.5 hours to 12 hours, and up to 14 hours if there’s a disruption. The proposed agreement also reduces rest periods to 10 hours, which concerns the union which said it would increase fatigue issues.
Qantas says the shift length changes it was asking for were the same that applied to crew working at other domestic airlines in Australia. The airline also highlights that in addition to three per cent annual pay rises on offer cabin crew would qualify for $7000 in bonus payments as well as receive 1000 shares worth around $6000.
The union has made no announcement of the proposed date or scope for industrial action but had treated to take action over the Christmas holiday peak.
On a positive note, following almost 2 years of bargaining (over a 4-year period) that included industrial action a new 3-year Enterprise Agreement for Jetstar pilots (that had expired in 2019) was finally secured and approved by the FWC. Negotiated by the AFAP (Australian Federation of Air Pilots) the new agreement which expires at the end of 2025 results in immediate salary increases (22.9% increase in base salary), improvements in pilots working conditions but also includes several concessions like online training provisions.
Source: Flight attendants vote to strike on day after Qantas’ $150m profit upgrade by Amelia McGuire SMH Nov 24th, Flight attendants threaten to strike over Christmas by Savannah Meacham 9 News Nov 25th.