AFAP Narrow Body EA Update No 32
In Principle Agreement Reached Following FWC Conciliation
The AFAP and TWU have engaged in an extensive period of bargaining with Virgin over the past 3 days before Deputy President Lake in the Fair Work Commission (FWC). The Deputy President has today issued a Recommendation in support of a proposed EA endorsed by each of the AFAP, TWU and Virgin.
Summary of Proceedings
The FWC proceedings began with the joint Union proposal from our previous update as the starting point. Virgin’s EA team was split into a separate room to allow the Deputy President to have frank discussions with each of the Company and Unions. It is important to emphasise the Unions acted together throughout the process.
Virgin provided a response to the joint Union proposal, which adopted essentially the same structure as proposed by the Unions but with:
- A maximum of 10% of pilots in each Resource Group having access to a Lifestyle Line;
- Lower hourly rates for 11/12 DDOs; and
- Lower hourly rates and base salary for 12/12 DDOs.
The Unions explored a reduced percentage of access to 12/12 of 35% which when combined with 15% on Part-Time would reach 50% of the pilots on greater days off than 11/12 DDOs.
Virgin raised numerous issues with this approach, including the administrative burden and systems changes. Virgin ultimately refused to move from a percentage of 10% of pilots and maintained a position that the remuneration package would further reduce. The AFAP and TWU viewed a lifestyle option for only 10% of pilots and reduced salaries for all pilots as counterproductive to what we were trying to achieve.
After extensive deliberations and utilising advice from the Deputy President, the Unions determined it was best to proceed within the structure that gave us the best opportunity to achieve an enhanced package. This was the 11/12 DDO structure and we took the opportunity to utilise the assistance of the Deputy President to get Virgin to improve its position.
At the conclusion of Thursday Virgin took an updated joint Union position to the Executive overnight. This position was an enhanced pay package compared to the offer voted down in June along with the retention of a minimum of 10% annual leave slots across all ballot weeks.
This morning Virgin advised that this enhanced proposal was approved, and this was reflected in the Recommendation issued by the FWC.
In addition to the sign-on bonus, the Unions have further secured agreement for backpay of the base salary increase to the start of the first full pay period after a yes vote. This included a commitment that if a yes vote is achieved by 4 October 2024, the base salary increase will be back paid to 30 September 2024, the start of RP11.
We see no reason this timeline cannot be met with the parties meeting for two days next week to finalise the required drafting amendments to the document.
Further details will follow regarding the positive changes to the proposed agreement, along with the access period and voting timeline.
We thank members for their overwhelming support for the AFAP’s EA team and look forward to presenting an improved package to members in the coming weeks.
Questions
For any general enquiries regarding this update or other matters at Virgin please contact the elected representatives directly, or AFAP legal industrial team of Senior Legal/ Industrial Officer Pat Larkins (patrick@afap.org.au) and AFAP Senior Legal/ Industrial Officer Deanna Cain (deanna@afap.org.au), or alternatively post on the AFAP Forum (https://afapvpf.discussioncommunity.com) or email virginNBEBA@afap.org.au should you have any questions or feedback regarding EA negotiations.
Alternatively, email general industrial queries to virginAIC@afap.org.au, Safety and Technical matters to technical@afap.org.au, and HOTAC issues/ reports to HOTAC@afap.org.au.
Regards,
AFAP 2024 EA Negotiating Team
First Officer Steve Hungerford – Chair
Captain Ben Raby
Captain Brad Wilson
Captain Mark Bannister