Virgin cabin crew strike threatens to disrupt holiday travel plans
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As the festive season approaches, many Australians are eagerly planning their holiday travels.
However, a potential strike by Virgin Australia's cabin crew could throw a spanner in the works, causing significant disruption during one of the busiest travel periods of the year.
In a recent vote, over 98 per cent of Virgin Australia cabin crew members who are part of the Flight Attendants Association of Australia (FAAA) supported a series of 24-hour stoppages, promising to halt flights.
This action could ground planes and disrupt travel plans for thousands of Australians looking forward to reuniting with their families and loved ones over the Christmas period.
The Transport Workers Union (TWU) has stated that no decision has been made yet regarding the strike. Negotiations with Virgin management are ongoing, with several key issues, including fairer rosters and leave processes, yet to be resolved.
TWU National Secretary Michael Kaine emphasised that a strike would be a 'last resort', but the cabin crew and pilots have reached 'the end of their tether'.
‘Protected industrial action is always a last resort, but after three difficult years of wage freezes and punishing rosters to see Virgin roar back to profit, this vote shows that workers have reached the end of their tether,’ Mr Kaine said.
‘It's time for owners Bain Capital to show workers their concerns are understood and fix key issues driving high turnover and chronically low morale,’ he added.
Virgin Australia, on the other hand, has stated that it has not been notified of any industrial action and will continue to work with unions to resolve the dispute.
The airline acknowledged the cost-of-living crisis facing its staff and a spokesperson has shared they have made a 'substantial offer' to its workers.
‘In the last financial year, cabin crew received a minimum of 9 per cent to 13 per cent of their base salary through a combination of EA (Enterprise Agreement) and award-driven wage increases, a 6 per cent profit share payment, a discretionary $500 cost of living payment, and discretionary increases to allowance increases and bonuses,’ the spokesperson explained.
‘We also paid over $2 million in additional payments over Christmas 2022,’ they added.
The spokesperson also claimed that Virgin Australia has offered the FAAA and the TWU a deal valued at $50 million over three years.
‘This equates to nearly 40 per cent of our first-year profit in 11 years. It includes base salary increases of at least 15 per cent. For some, the base salary will be up to 32 per cent above award minimum rates,’ they explained.
The spokesperson said: ‘The original claims from unions equated to a minimum 63 per cent increase in the annual cabin crew cost base by the end of the three-year agreement, including a 29 per cent wage increase.’
‘It is disappointing the unions have yet to commit to any meaningful concessions to what are a patently excessive set of claims,’ they continued.
In October, Virgin Australia reported a return to profitability for the first time in 11 years, posting a profit of $129 million.
The company’s revenue more than doubled compared to last year to $5 billion, indicating strong customer demand following the severe downturn during the COVID-19 pandemic.
The same month, Virgin Australia workers who handle luggage, direct aircraft and complete other crucial behind-the-scenes tasks applied for the right to take protected industrial action.
The TWU claimed that Virgin Australia had failed to deliver on commitments made during the COVID-19 pandemic when workers accepted wage freezes and cuts due to the then-current conditions. You can read more about that story here.
You can watch 9 News Australia’s coverage here:
What are your thoughts on this potential strike action, members? Have you been affected by similar situations in the past? Share your experiences and tips in the comments below.
However, a potential strike by Virgin Australia's cabin crew could throw a spanner in the works, causing significant disruption during one of the busiest travel periods of the year.
In a recent vote, over 98 per cent of Virgin Australia cabin crew members who are part of the Flight Attendants Association of Australia (FAAA) supported a series of 24-hour stoppages, promising to halt flights.
This action could ground planes and disrupt travel plans for thousands of Australians looking forward to reuniting with their families and loved ones over the Christmas period.
Virgin Australia employees voted for a strike action ahead of Christmas. Credit: Nick Sarvari/Unsplash
The Transport Workers Union (TWU) has stated that no decision has been made yet regarding the strike. Negotiations with Virgin management are ongoing, with several key issues, including fairer rosters and leave processes, yet to be resolved.
TWU National Secretary Michael Kaine emphasised that a strike would be a 'last resort', but the cabin crew and pilots have reached 'the end of their tether'.
‘Protected industrial action is always a last resort, but after three difficult years of wage freezes and punishing rosters to see Virgin roar back to profit, this vote shows that workers have reached the end of their tether,’ Mr Kaine said.
‘It's time for owners Bain Capital to show workers their concerns are understood and fix key issues driving high turnover and chronically low morale,’ he added.
Virgin Australia, on the other hand, has stated that it has not been notified of any industrial action and will continue to work with unions to resolve the dispute.
The airline acknowledged the cost-of-living crisis facing its staff and a spokesperson has shared they have made a 'substantial offer' to its workers.
‘In the last financial year, cabin crew received a minimum of 9 per cent to 13 per cent of their base salary through a combination of EA (Enterprise Agreement) and award-driven wage increases, a 6 per cent profit share payment, a discretionary $500 cost of living payment, and discretionary increases to allowance increases and bonuses,’ the spokesperson explained.
‘We also paid over $2 million in additional payments over Christmas 2022,’ they added.
The spokesperson also claimed that Virgin Australia has offered the FAAA and the TWU a deal valued at $50 million over three years.
‘This equates to nearly 40 per cent of our first-year profit in 11 years. It includes base salary increases of at least 15 per cent. For some, the base salary will be up to 32 per cent above award minimum rates,’ they explained.
The spokesperson said: ‘The original claims from unions equated to a minimum 63 per cent increase in the annual cabin crew cost base by the end of the three-year agreement, including a 29 per cent wage increase.’
‘It is disappointing the unions have yet to commit to any meaningful concessions to what are a patently excessive set of claims,’ they continued.
In October, Virgin Australia reported a return to profitability for the first time in 11 years, posting a profit of $129 million.
The company’s revenue more than doubled compared to last year to $5 billion, indicating strong customer demand following the severe downturn during the COVID-19 pandemic.
The same month, Virgin Australia workers who handle luggage, direct aircraft and complete other crucial behind-the-scenes tasks applied for the right to take protected industrial action.
The TWU claimed that Virgin Australia had failed to deliver on commitments made during the COVID-19 pandemic when workers accepted wage freezes and cuts due to the then-current conditions. You can read more about that story here.
You can watch 9 News Australia’s coverage here:
What are your thoughts on this potential strike action, members? Have you been affected by similar situations in the past? Share your experiences and tips in the comments below.
