Qantas has responded to the Australian Labor Government’s ‘Same Job Same Pay’ legislation, passed in December 2023. The legislation, which aims to ensure equal pay for workers doing the same job regardless of their employer, has brought significant changes to the airline industry and other businesses. Following discussions with the Flight Attendants Association Australia (FAAA), Qantas has confirmed its support for the union’s three ‘Same Job Same Pay’ applications concerning its short-haul cabin crew. These applications will be submitted to the Fair Work Commission (FWC) for review.
In addition to supporting the union’s applications for short-haul cabin crew, Qantas has reached an in-principle agreement with the FAAA regarding its long-haul cabin crew workforce. The agreement aims to balance the impacts of the new legislation while maintaining Qantas’ competitive edge and ensuring the sustainability of its business. The agreement includes plans to amend the current Long Haul Cabin Crew Enterprise Agreement, guaranteeing pay increases for approximately 2,500 international crew, similar to those received by their short-haul counterparts. This agreement also grants these employees access to the new A350-1000 Ultra Long Range aircraft, including participation in Project Sunrise flights.
The decision to support the union’s applications is expected to result in pay increases for up to 800 Qantas short-haul cabin crew. The specific amounts will be determined through ongoing negotiations with the FAAA and pending FWC approval. Qantas anticipates that the gross cost impact of these proposed changes for FY25 will be around $60 million. Implementation is expected to begin on November 1, 2024, subject to final agreements with unions and the FWC.
Qantas is looking to offset these costs through revenue generation and savings, while emphasizing the importance of maintaining a strong, profitable business that allows continued investment in new aircraft, ultimately benefiting customers, employees, and shareholders. Qantas Group Chief People Officer, Catherine Walsh, stated, “Our people continue to deliver exceptional service to our customers every day. We have had positive engagement with the FAAA as we work together to meet the requirements of the legislation while ensuring our business can continue to grow and compete. The decision to support the Qantas Domestic Same Job Same Pay applications will result in wage increases for hundreds of our short-haul cabin crew. The in-principle agreement we have reached with the FAAA will, if voted up by employees, also mean an increase in pay for most long-haul cabin crew, while also ensuring our international business can continue to grow in a fiercely competitive environment.”
In June and July 2024, the Flight Attendants Association of Australia (FAAA) submitted ‘Same Job Same Pay’ applications to the Fair Work Commission for various short-haul cabin crew groups working on Qantas’ Boeing 737 and Airbus A330 fleets. Meanwhile, other businesses within the Qantas Group are currently evaluating the more recent applications submitted by the FAAA and the Transport Workers Union (TWU), which concern certain cabin crew workforces within Jetstar and National Jet Systems, a subsidiary of QantasLink. No decisions have been made yet regarding these applications.