Australian pilots union rejects Qantas Airways' wage proposal

investing.com 01/10/2024 - 07:37 AM

Qantas Pilots Union Rejects Wage Proposal

(Reuters) – The Australian pilots union announced on Tuesday that it has rejected a wage proposal from Qantas Airways for its short-haul pilots, following a recent strike by the airline’s engineers demanding better pay.

Proposal Details

The proposed deal included:
– A two-year wage freeze
– Higher minimum guaranteed hours
– Increased standby pay
– Guaranteed payments for flying hours possibly lost due to unplanned disruptions or schedule changes during a roster period.

Union’s Statement

The Australian Federation of Air Pilots (AFAP) stated that Qantas’ insistence on a wage freeze, despite being highly profitable, while also seeking concessions on key conditions, was seen as unreasonable. Qantas reported an annual profit after tax of A$1.25 billion ($865.8 million) for fiscal 2024.

Voting Results

Out of 786 short-haul Qantas pilots who voted, 63.4% rejected the deal. The decision follows an engineers’ strike last Thursday, during which they demanded a 5% annual pay hike.

Potential Escalation

The pilots’ union warned of potential escalation if the airline disregards the vote outcome. “If Qantas chooses to ignore the vote outcome and resort to its traditional hostile bargaining tactics, this negotiation could escalate,” said AFAP Executive Director Simon Lutton, without providing specifics.

Qantas Response

A Qantas spokesperson mentioned that the agreement provided included several structural improvements in pay and roster conditions sought after by pilots for years, and noted they will take time to consider the next steps following the outcome of the vote.

($1 = A$1.4436)




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