CAE Members Update - CAE Award Application
The AFAP has received feedback from members via pilot group surveys, meetings, and discussions regarding matters relating to your minimum safety net conditions of the Air Pilots Award 2020 (the Award) and the conditions related to the Fair Work Act 2009 (Cth) (FW Act).
See the Questions and Answers below, regarding queries from members in CAE, and attached correspondence that seeks steps to resolve matters in CAE.
Training Matters
The AFAP thank members for the survey information relating to your training and development, this info provides important feedback as we continue to review and investigate training matters in CAE.
Who applied to the Fair Work Commission (FWC) about training bonds?
- CAE management representatives applied to the Fair Work Commission via a form10 dispute (dispute under an award) due to a perceived issue that the AFAP did not allow training bonds for flying schools. The AFAP position has always consistently been to maintain that training bonds may be applied by flying schools but only in accordance with the Award, which limits the employers application of training bonds.
Did CAE get permission from the FWC to continue with training bonds for all training?
- No, the confidential conference held between CAE and the AFAP did not result in any outcomes that can be reported to the pilot group by either party.
Important Note: Any misrepresentation that the FWC did provide an outcome for CAE may contravene an employees General Protections under the FW Act. Pilots should make notes and report any concerning representations about your rights to the AFAP.
What should members do to manage these issues since CAE have continued training bonds?
- If CAE refuse to train you unless a training bond arrangements is put in place, document what happens for your own records (for example if necessary write notes, date and sign , provide a copy to the AFAP).
- Often, we do not encourage members to sign a bond that is not in accordance with the Award, however we acknowledge that pilots may need to access their options where CAE may respond in a detrimental manner (but it is also important in reporting this so we can make positive changes).
- The AFAP are seeking CAE provide a written undertaking it will not seek any unreasonable and/or unlawful payments from pilots as per the FW Act, pending this response we will advise further steps.
What else can I do to protect myself regarding training costs and issues in CAE?
- Seek guidance from the AFAP (we review each bond or request to pay on case by case basis),
- Individually, whether now or at a time prior to termination you may withdraw the employer’s authority for a deduction from your wages/entitlements as per s.324 of the FW Act (can be withdrawn at any time no matter what previous agreements you have made),
- Report to the AFAP if CAE take steps to be requesting a payment to be reviewed (that is unreasonable, or contravenes the Award) this may contravene your rights under the FW Act,
- If CAE act unreasonably, the pilot may be able to seek civil remedies from the employer.
Individual Flexibility Agreements
Did I have a genuine Individual Flexibility Agreement (IFA) in my employment contract?
- No, this was not undertaken in accordance with the Award and FW Act, it is a 'purported IFA' only.
What happens now with the purported IFA, as CAE letter stated it is cancelled?
- The purported IFA is subject to the FW Act and can be terminated mutually by you and the employer, or terminated with 28 days’ notice.
What does this mean about the CAE letter and pay increase?
- CAE letters stated they agreed to pass on the 3.75% to your salary, and as they can not remove the purported IFA unilaterally the rates of pay needs to be addressed, as well as the purported IFA.
- The AFAP have suggested CAE need to appropriately come up with a resolution to work through these issues, and the AFAP has suggested that the above award payments continue (until lawfully terminated), and discussion on application of allowances to occur.
Have I been paid appropriately by CAE prior to July 2024?
- As the salaries did not pay all allowances as per the Award, the AFAP view only some pilots have been undertaking work attracting these conditions, and where regularly undertaken may need an audit and a review.
- The AFAP has requested an audit of the salaries for employees that were regularly attracting allowances not paid (such as transport and night operations allowances). We will await CAE response to this matter.
Pilot Welfare & Support
What is CAE’s approach to Accident Insurance under the Award?
- CAE had stated it had a policy for pilots to get their own accident cover which was not as per the Award. Since being raised by the AFAP last week CAE has communicated they do have the appropriate accident insurance, as per 21.11 of the Award.
- The AFAP has now requested evidence of this policy to be provided to the AFAP.
- Pilots that as per CAE guidance took out alternate ‘accident cover’ (not loss of licence – see updates below), whether directly through an insurer or additional products under your superannuation should also seek guidance on their options moving forward.
Why is the CAE Application of Loss of Licence being taxed?
- In short, we don’t know why CAE are taxing what is meant to be a reimbursement (but might not have been treated as an expense and paid as income). The AFAP have asked CAE to explain what is going on.
- The Award does that state the employer may pay pro rata payments for loss of licence either, so the payment frequency is not as per the Award. It is paid on proof of payment, as per the award. The concerns are also about not just the frequency of payment, but the approach/treatment of the loss of licence payment.
Is CAE required to consult on workplace changes, rosters changes and other matters such as roster changes that impact me?
- Yes, the Award includes these requirements and CAE has been reminded to follow the Award requirements, and make improvements in how they approach these matters.
Next Steps
The AFAP has attached AFAP correspondence sent to CAE, for purpose to remind the employer of that compliance is a serious matter, and seek a response to provide assurances that the FW Act & Award conditions are complied with.
Additional investigations may continue from the AFAP should there be no confidence in CAE taking appropriate steps to comply to the Award and the FW Act.
Additionally the AFAP view that CAE needs to commit to the required steps to resolve the Award issues, and these steps need to limit any impact or inconvenience on the pilot group, especially in the case that the errors/issues the employer was responsible for.
Please do not hesitate to reach out for assistance to AFAP via email to Industrial Officer, Jason Newell at Jason@afap.org.au