Fri "Melbourne Age"
Fight looms over plans to increase casual staff
By Paul Robinson
Workplace Editor
August 22, 2003
Airline unions are planning an industrial campaign over moves by Qantas to increase its proportion of casual staff by up to 25 per cent of its 33,000-strong workforce over the next two years.
Qantas foreshadowed the casual workforce target yesterday while revealing an annual profit of $343 million. This included the company's first loss over the past six months of $9 million.
The ACTU yesterday condemned the proposed shift to a larger casual workforce saying it would lead to 8000 permanent staff being replaced by casual workers who would receive less pay, little job security, no access to housing loans and few leave benefits.
It refused to rule out strike action unless Qantas negotiated alternative staff programs and cost savings.
But Qantas human resources manager Kevin Brown told staff yesterday the company wanted to boost productivity and flexibility through increased use of casual labor. He denied it was planning to become "a virtual airline" - a band of core employees backed by an army of casual workers, as some unions have predicted.
Mr Brown said Qantas would increase casual labour through "attrition and growth" not at the expense of employees' jobs.
The ACTU yesterday also released an unsigned Qantas draft agreement for baggage handlers at Sydney Airport, which proposed to replace up to 45 per cent of permanent staff with casuals from a labour-hire agency. Qantas yesterday rejected the proposal, drawn up in July, but it was hailed by unions as further proof of the airline's long-term casual labour strategy.
ACTU secretary Greg Combet yesterday refused to rule out co-ordinated industrial action by unions representing other airline workers such as counter staff.
His warning follows strike action at Melbourne Airport this week by 600 baggage handlers over the introduction of three contract casual workers and a proposal to employ nine more.
The Australian Industrial Relations Commission ordered the men back to work but placed a freeze on Qantas from employing any more than the 12 casual workers until a hearing next week.
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Fri "Sydney Morning Herald"
Unions ready for fight over casual staff plans
By Brad Norington, Industrial Editor
August 22, 2003
Qantas yesterday opened a new battlefront with unions over its proposal to set up a no-frills domestic airline, because of fears about savage cuts to wages and conditions.
Unions are also worried that starting a new airline from scratch would give Qantas total freedom to hire contract, part-time or casual labour.
A Qantas spokesman confirmed last night that the airline would need a cost structure that matched Virgin Blue if it was to compete in the discount leisure market.
Unions believe that the proposed separate domestic airline would also increase pressure to reduce pay and conditions for staff at the main carrier.
In a move that could also split them, unions expect Qantas to offer union coverage to the one that accepts the lowest pay.
Qantas's chief executive, Geoff Dixon, yesterday confirmed that he wanted to increase casual, part-time and contract employment from 15 per cent to 25 per cent of the airline's workforce over the next two years.
Confirmation from Mr Dixon of a target for non-permanent jobs comes after two days of strike action by baggage handlers fighting to stop their job security being undermined.
Minutes of a recent meeting between airline executives and the Transport Workers Union confirm that Qantas plans to hire no further permanent baggage-handling staff. Workers will instead be recruited on casual contracts and employed by a labour hire company.
Baggage handlers at Melbourne airport yesterday reluctantly accepted orders by the Industrial Relations Commission that banned further strike action after serious flight disruptions on Tuesday and Wednesday
The dispute is regarded by unions as the start of Qantas's campaign to spread casual employment in the company.
The ACTU secretary, Greg Combet, said casualising the workforce would inflict lower living standards and leave staff without entitlements such as holiday pay and sick leave. He also claimed Qantas's eventual target was to have 45 per cent of workers employed as casuals.
Although a draft Qantas agreement obtained by the Herald does provide for 45 per cent of Sydney baggage handlers to be employed on casual labour hire contracts, the airline's spokesman said yesterday no such plans were contemplated.
Qantas would reach its 25 per cent target without workers losing their jobs, he said.
Casualisation would be achieved when workers left or voluntarily converted to part-time employment, or when labour needs increased.
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Last edited by Wirraway; 22nd Aug 2003 at 02:03.