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Sunstate EBA 2014

Old 26th Oct 2014, 06:44
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UNICORN-LINK

I hope you're having a lend

There are pilots in both groups who would be willing to vote for “Swap CAO48 for an FRMS and you can fly a jet” if it meant that their pilot group got to fly the jet instead of the other.
Why not quarantine the turboprop operation to fly the current CAO48 and have a statement in there that says you will consider new rules for any pilots flying a Jet (the unicorn clause - as it's unlikely to be seen). That way, you can satisfy management that any new Jet operation (unicorn-link) will be operated to the same rules as any competitor, and you can maintain current rules for turboprop operations for ever.
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Old 26th Oct 2014, 10:30
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I think the jet carrot has well and truly dangled, rotted and fallen from the stick.

The junior guys have come into the company with the morale already shattered and should know better than to even think about the possibility of a SSA/EAA jet. Sure Qlink is a career dead end, but don't cock it up for those who want to be there and are happy flying the dash.

Think of all the efficiencies gained for free. Think of the arrogance and contempt management holds for the pilots. Think of Alan getting a 2.5mil bonus while you're wage goes backwards. You'll all been pushed too hard to not bite back.
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Old 26th Oct 2014, 12:19
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Yes indeed the jet fantasy is well and truly dead and buried at Qlink. There is very little trust in management promises and it erodes more every day that 'optimiser' exists. Can't see the promise of jets holding any water at all in the upcoming EBA's.

Come back MD. All is forgiven.
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Old 27th Oct 2014, 11:29
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After looking at the "offer" from the company to the Eastern's guys and gals, I may be corrected, but this is the way I see it.

Pay freeze for 18 months (to pay for Alan J's huge huge bonus he awarded to himself last week???)

No overnight allowances

Fatigue Management

Firstly, the overnight allowance withdrawal threat is a scam. Round 2 will see them back off as this was always the plan. They will want us to be SOOO grateful for that, leaving something there that was already in there for a very time anyway. Psychology 101.

These people in HR running this EBA negotiation show have zero interest in the long term viability of Q. It is just a greedy game. If they manage to fu[k us in the ar$e, they will no doubt get a 50k bonus. Happy days and then they go off to work at Macquarie Bank or somewhere else of equal low morals.

But the rest us, the 80% of us employees that love this company, employees that go the extra mile, employees that believe in this company, are expected to sign a document that greatly decreases our pay and lifestyle to fund the bonus of these low lifes.

The facts are, the following companies pay more than the D8 QL people for the same size equipment.


VARA + 5%

Skywest + 8%

Air Nuigini (Aust based) + 15%


But the D8 QL are now expected to effectively take a pay cut???

How does 5 + 3 + 3 sound, just to bring us in line with fellow colleagues.


What? 18 month pay freeze? Better make it 9.5 + 3 + 3 then.


What? No overnights? Better make 14 + 3 + 3 then.


What? Fatigue Management? You mean I will have to work 10% more hrs in a year.

Better make it 20 + 3 + 3 then.


Anything less, in real terms, means you will work for less money in 2016 than you did in 2013.

Of course, all of this is up for negotiation, apparently???? and the above numbers are no doubt on the top end, but still realistic. It is called an EBA Negotiation for a reason - it is supposed to a negotiation. Unfortunately, so far, the Company is just taking the piss.

There is certain reason a large chunk of Drivers enjoy flying regional for a third of the coin that our brothers at International get paid. No doubt, it is more satisfying flying than long haul. Then there is the lifestyle factor that is certainly under threat. Being away from home on 3 -7 nights a month and almost always single nights is good for the home life. Another family bonus of this is the fact the wife can still have a job. This may be a requirement for many due to the fact the wages are not as high for Regional flying.

Optimiser has ruined this aspect to a certain extent.

Throw in Fatigue Management and less money, in real terms and there really isn't any point in working there anymore?

I am not sure if Management realise but when such a stale turd sandwich is offered as what they consider to be acceptable, it does a lot of damage among the troops. There will always be 10% of drivers who are bitter and twisted. Serve the sandwich and troops realise en masse what Management really thinks of them as a group. Employee engagement is greatly damaged and can be difficult to recover. Motivational Posters in crew rooms of shiny smiling happy people won't cut it.

Maybe they do realise but don't give a stuff. After all, profits come first.

Last edited by miss my C152; 27th Oct 2014 at 22:28.
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Old 28th Oct 2014, 22:10
  #45 (permalink)  
 
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Share price up 60% !!

Qantas share price was less than $1.00 at the start of this year.

Now in October it is $1.60!

The value of the company has increased by 60% in less than 1 year - that's huge!

So I really don't understand why the employees have to have a pay freeze/ pay cut....
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Old 28th Oct 2014, 22:51
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Volatility is key. It's not a buy and hold business. It does rather reliably though yo-yo up and down quite considerably as you mentioned. How good is that for shareholders? For mum and dad, not so good. For banks?
Since the grounding the price has gone from 97c to 1.82 to 1.20 to 1.51 to 1.00 to 1.25 to 1.09 to 1.57 to 1.33 to 1.61 today. The percentage swings are huge. If I were a bank/fund/large scale investor I'd be pretty happy with management. 2.5 mil to keep this yo-yo going? Yes please. Domestic will be next. 'Fuel price is at a record high and the dollar is not good for us, domestic lost money this year'. Share price goes to 1.20....
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Old 29th Oct 2014, 22:16
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This was written in the Jetsatr EBA thread by Yossarian. I am copy pasting here because it's one of the best posts I've ever seen on this forum and it's very relevant to the Sunnies and EAA EBAs.

I would like to make a few observations regarding the soon to be released Jetstar EA proposal.

What is being offered is a 4.5% real pay cut compared to the previous Agreement. Overtime kicks in at 70 hours as opposed to 75. Rostering remains woeful, with no restriction on the fatiguing practices of CAO 48E and a vague promise of a "Jetstar developed" roster bidding system, which will no doubt be as good as the current system- i.e. effectively no control over roster bidding at all. There is no provision to prevent the contracting out of pilots' jobs to 'shell companies' on even lower conditions as has been attempted in the past.

Since pay and rostering are the main components of any EA, let's look at how this proposal compares with the previous deal, and with the competition.

Firstly the proposed 4.5% real pay cut represents a loss of income of $240 000 in today's money for a Narrow Body Captain over a 30 year career. Bear in mind that without the real pay cut Jetstar pilots would still be the lowest paid in the industry.

Relative to the competition Jetstar pilots are being offered 18% less than Virgin pilots for the equivalent job category.
A Jetstar Narrow Body Captain will be on less than a Regional Jet Captain at Virgin.
A Jetstar Wide Body Captain will be on less than a Virgin 737 Captain.
The offer is substantially less than Tiger pilots are on (the exact figure depends on overtime worked and what value you attribute to the credit hours that Jetstar pilots get for 70 hours vs less credits at 55 hours for Tiger).
In short a reasonable estimate is that the current salary offer is 8-10% less than Tiger- although difficult to provide an exact comparison due to the factors listed above.

Additionally, the introduction of an SO rate that barely meets the "better off overall test" (BOOT) compared to the Air Pilots' Award will create an underclass of pilots who can be bought off as a faction to get a future substandard EA over the line- very similar to what occurred in 2008.

The second part of the equation makes the Company's offer even more insulting. Whilst Tiger work to CAO 48 and Virgin's work rules closely approximate CAO 48, Jetstar proposes to continue operating under the fatiguing CAO 48E. This means Jetstar Pilots will be required to work up to 20% longer shifts (e.g. Trans-con BOC returns) for 10-18% less pay than the competition. This saves the company an enormous amount of money by having to employ fewer crews, and is paid for by the adverse effects of fatigue on the health of the pilots.

Don't expect any relief from an FRMS either. The unions and JPC have not been provided with any concrete information about what the result of this change in legislation will actually mean for rostering and work rules so if you vote yes to this deal- assume that what we currently have (CAO 48E) will prevail.

The justification for these woeful terms and conditions is in part the recently announced record Qantas loss. If we look closely at the economic arguments the Company is using to tie the two together we will find that they are tenuous at best.

Firstly, Jetstar Australia did not make a loss. It is profitable. That management have perhaps wasted millions on the "Asian Casino" franchises is unfortunate but does not have anything to do with this agreement.

It is an Enterprise Agreement, and therefore the offer should relate to the performance of the Enterprise that employs the employees bound by the Agreement.

It may be Management's prerogative to choose to "invest" millions on their pet startup projects but to justify taking that money out of their existing employees' pockets is to draw a very long bow indeed.

What matters in determining sustainable wages is the profitability of the enterprise in question and the unit cost of labour ($ per block hour) relative to the competition. If anyone tells you anything else they are misleading you. For years Alan Joyce has been saying "we've got to be competitive". Well Alan and Jayne, it's YOU who now have to be competitive!

It is axiomatic that if a business cannot afford to pay the market price for its inputs it should not be in business. Jetstar pays the market price for its fuel. It pays the market price for its aircraft.

Why?

Because if it did not then the aircraft leasing companies and the oil companies would withhold supply. Either aircraft wouldn't arrive or if they did no-one would be willing to fill them up. Why would they if Jetstar demanded an 18% discount compared to what everyone else has to pay?

Jetstar think that they don't have to pay the market price for labour.

Why not?

Firstly because labour mobility in Australian Aviation is virtually non-existent. A Jetstar Captain can't tell the company to jam it and go to Virgin for a big pay rise. In most other industries this would be possible. Because we effectively can't leave the Company without leaving the country or re-starting our careers, pilots' options are limited. We can't effectively withhold the supply of our labour by leaving but we can by engaging in legally Protected Industrial Action (PIA).

Jetstar believe we pilots don't have the balls to engage in PIA. Therefore they don't need to worry about paying the market price for our labour.

So confident are Jetstar that the pilots will not withhold the supply of their labour that they are actually proposing to cut our pay (adjusted for inflation) when it was already well below the market rate.

This is a perfectly rational business decision. The first rule of business is to never pay more than you have to for anything. Right now Jetstar are offering this woeful deal because without the imminent and plausible threat of PIA there is nothing forcing them to pay more.

Can they afford to pay more?

The Jetstar CEO has recently briefed employees that Jetstar enjoys a yield premium over Tiger due to its network advantage. Alan Joyce has publicly stated that Jetstar has the lowest cost base of any Australian airline. If yields are greater than Tiger, and the cost base is lower, then the Company can afford to offer comparable or better conditions to its pilots and still be in a better financial position.

Jetstar is more profitable than Virgin. It makes up for in operating efficiencies what it loses in yield. Jetstar would still be profitable if its pilots were on the same conditions as Virgin pilots.
These are the facts.

Jetstar can afford to pay, however unless the alternative is an effective campaign of PIA, the incentive is much greater for management to pay themselves instead.

What will happen if the deal is voted down? I would imagine that based on past practice the Company will remove a couple of the more outrageous elements of the proposal (offer full time to forced Flexi-liners and scrap the 6 grey days). They will then threaten to take back pay off the table if the subsequent deal is not voted up.

Ultimately it comes down to this. This is grossly inadequate deal. There is no way of sugar coating it.
If the Jetstar pilots vote it up then we are doing ourselves out of hundreds of thousands of dollars each over the course of our careers.

We are committing to continued issues with fatiguing rosters and no control over our roster bidding.

Not only this but we will establish a precedent which allows the Company to rob us in future by cutting real wages under the pretext of a manufactured crisis that conveniently occurs each time an EA is renegotiated. Voting yes to this deal will put downward pressure on the wages of all other pilot groups in this country. Voting yes will mean that Alan Joyce and Jayne Hrdlicka's bonuses will come out of the lost wages they have cheated us out of when we are already the lowest paid airline pilots in Australia.

Despite being logically correct, all these arguments are just dancing in circles. Jetstar are taking the piss. They know it and we know it but nothing will change their strategy unless we pilots stand together and withhold the supply of our labour. Until we show united courage and fortitude, vote NO to this insulting deal and subsequently vote YES to PIA we will not be offered the market price for our labour.

There are only a few times in one's life that we must take a stand and say "this far and no further- I will not be diminished and beaten down and exploited any longer. You have pushed me into a corner and now I will fight my way out- come what may".

Now is such a time.
Jetstar Pilots- get ready to fight!
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Old 30th Oct 2014, 09:03
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A very accurate account of the state of play at the group.

I think the drivers need to decide whether they happy to take a pay cut in real terms so that the "pigs at the trough" can get their bonus at the drivers expense. After all, Alan Joyce has wasted no time, awarding himself a 2.5 million bonus just last week.

Obviously the Pay Freeze is over!

I remember a long time ago, I was cleaning toilets between jobs.

Although it was a $hit of a job (he!he!), after I cleared off those huge skid marks, I was still shown more respect than currently being shown to the drivers with red and orange tails.
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Old 30th Oct 2014, 22:49
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Thanks DeafStar, I thought the same thing. Very relevant post.

I think we're at a turning point in aviation - pilot's are now being seen as a liability, just another cost centre that needs to be optimised to the nth degree.

Many of us have decided to make a career out of regionals due to the favourable lifestyle, I don't mind earning 50% less than my domestic friends if I'm home 25+ nights a month and the partner can still maintain their career. Between the two of us we're doing pretty well, but if I'm optimised to the hilt and my partner can't maintain their career then what's the point?

Our EBA negotiations should focus on the basics:
- Maintain the regional lifestyle
- Grow wages in line with cost of living
- Provide retention bonus for staff loyalty
- Don't even consider FRMS until we know the EXACT details.
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Old 31st Oct 2014, 00:23
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Agreed. Lifestyle is (was) my number one reason for choosing Qlink. I've never applied to go anywhere else but have started to think about leaving.

As much as I enjoy sitting in a hotel room in GLA from 10am and having it classified as 'time off', it's not what I really signed up for.
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Old 25th Nov 2014, 03:17
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With jetstar now having selected their chief pilot, where does NM fit in? It was understood he was here to slash and burn and gain experience before heading back after 3 years, but the job he was going for is now taken. Will he stay as our 'leader' or will they find a role for him back at the motherland?

Also Gareth Evans said in an article today the transformation was going better than expected and AJ has said the company is forecasting a profit. With the share price up 50%+ I don't think it's acceptable to consider the pay freeze anymore unless the base rises significantly to market prices. They keep harping on to us/QF/JQ about how there's no more money in the kitty for anything but a cost neutral EBA, however the CEO and CFO appear to say otherwise. They don't pay dividends to shareholders, they don't pay market rates to staff but they're happy to take bigger bonuses. Good luck selling that at the vote.
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Old 2nd Dec 2014, 00:42
  #52 (permalink)  
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Lifestyle is all Qlink ever had going for it. Now that the company has taken that away and made us Jetstar with props, I don't see why anyone would bother staying apart from wanting to stay in BNE.

With the introduction of 3 day trips etc, the least the company could do is implement a proper bidding system so that the guys who don't want them won't get them. Right now we have a situation where those who want them (such as myself) aren't being rostered any, and other guys who aren't interested are calling in sick on them! Oh and we aren't allowed to ask for any because the roster request book is for "days off only"
 
Old 2nd Dec 2014, 03:44
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Agree totally.

Lifestyle IS the reason we work at QLink.

3 - 7 overnights a month, almost always single overnights is a very important part of Regional work.

I think if the company wants to introduce 3 day trips, a good system would be you are able to bid for them. What about a system where people bid for each quarter of the year if they want Multi day trips. Quarter blocks (3 months), may then not be too much of a headache for rostering. A guess would be a quarter of drivers want them and the rest don't.

EBA Reps, please consider this during negotiations but tell Management we won't taking a 10% pay cut as compensation for them being so considerate to our family life!
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Old 2nd Dec 2014, 05:12
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Unfasten seat belts, fit life jackets, high heels off!!!

With jetstar now having selected their chief pilot, where does NM fit in? It was understood he was here to slash and burn and gain experience before heading back after 3 years, but the job he was going for is now taken. Will he stay as our 'leader' or will they find a role for him back at the motherland?
The worm has turned and 'Blue' is no longer the colour-de-jour. Unfortunately he now has the WRONG pedigree!

A new broom has begun much needed housekeeping at JQ. Cronyism, bullying and toxic, unprofessional management behaviour may soon be a thing of the past.

The boat club members have started a frantic search for the life rafts!!!

PG
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