From today, more than 800 cabin crew employed through labour hire will see pay rises of up to 28 per cent, with the wage increases backdated from their next pay period.
This is because of the Albanese Government’s industrial relations laws that shut down labour-hire wage cutting schemes.
Flight attendants employed by labour hire earn significantly less than their directly employed coworkers despite performing the same role. For full-time cabin crew, this salary gap amounts to thousands of dollars per annum, excluding allowances.
1 November 2024 is the earliest date in which the Fair Work Commission’s ‘regulated labour hire arrangement orders’ can come into effect. Regardless of when the orders are made, companies including Qantas Domestic have committed to pay labour hire workers at least the minimum amount as directly employed cabin crew – amounting to pay rises of up to 28 per cent with back payments from the first full pay period after 1 November.
The labour hire orders were introduced through the Albanese Government’s Same Job Same Pay laws that passed last year. The laws closed the ‘labour hire loophole’ which allowed airlines like Qantas to split their cabin crew workforce across multiple corporate entities and labour hire contractors to avoid paying the higher wages and better conditions of enterprise bargaining agreements.
Fair Work Commission orders that come into force today will also give pay rises to workers as diverse as mining and meatworks, with dozens more applications still being considered.
The FAAA submitted three Same Job Same Pay applications in June and July 2024. As a result of these applications, Qantas not only agreed to pay rises for domestic crew, but also sought to amend their EBA for long-haul cabin crew. The application is currently with the Fair Work Commission for approval and would result in substantial pay rises for about 2,500 international crew.
The Same Job Same Pay laws were introduced in response to the industrial relations practices of employers like former Qantas CEO Alan Joyce, who exploited the labour hire loophole to cut workers’ wages. In an address to the Institute of Public Affairs in July 2023, Opposition Leader Peter Dutton praised Joyce for his economic views: “Full credit to Alan Joyce for engaging in discussions around industrial relations and he’s been very forthright in his views on industrial relations.”
The Coalition voted against the Same Job Same Pay laws and have refused to rule out a pay cut for impacted workers if they win the next election.
Quotes attributable to ACTU Secretary Sally McManus:
“Alan Joyce’s wage cutting schemes are finally being shut down. Hardworking flight attendants will see 28 per cent wage increases as a result.
“These wage increases are life-changing for flight attendants and their loved ones.
“Working people across many industries are experiencing the benefits of the Albanese Government refusing to bend to big business who lobbied hard to stop these laws, including CEOs like Alan Joyce.
“The Coalition voted against the laws that delivered these pay rises, they railed against them, and no doubt they will do what big business wants and repeal them if elected.”
Quotes attributable to FAAA Federal Secretary Teri O’Toole:
“Some of our cabin crew can earn significantly less than directly employed crew despite doing the same job, all because they are technically employed by a labour hire company. These first wave of pay rises for our members will go a long way in restoring dignity to our profession.
“Cabin crew are undervalued and underpaid for the tireless work they do every day. Closing the wage-cutting loopholes of companies like Qantas incentivised them to come to the negotiating table and offer a better deal for workers. Same Job Same Pay means higher wages for workers and more workplace cooperation, which is in the best interests of everyone.
“Flight attendants are calling on all political parties to pledge they will protect our wages and conditions by defending the Same Job Same Pay laws.”