Emirates make pay offer significantly below industry averages as company profits rise
Bargaining representatives met with Emirates on Wednesday, 9 October 2019.
In previous meetings, Emirates have given some indication that a number of claims would be acceptable but we are still apart on a number of issues for bargaining – in particular where we will land on remuneration.
Emirates key proposals
Emirates have notified the union of their offer. Emirates’ key proposals for EBA-2020 are listed below. Bargaining representatives have also been provided copies for more detailed reference.
- Fixed pay increase of 0.3% to apply to all-purpose allowances but would not apply to staff at the top of the salary range for their grade.
- Minimum merit increase of 0.0% (as it is in your current agreement). If you are ineligible for a merit-pot increase and/or you have reached the top of your salary range, Emirates is offering a fixed increase of 0.3%.
- Adjustment to the merit-pot system outlined, as follows:
- Developing rating = 0.0% - 0.7%
- Good rating = 0.7% - 1.5%
- No change to the rest of the ratings.
- At the last review cycle completed with increases paid 2019, about 86% of staff were rated good. If you are eligible for the merit-pot increase and you have not reached the top of your salary range, it’s fair to estimate that Emirates is offering most employees an overall increase of 1% to 1.8%.
- No change in the maximum redundancy payment which would remain capped at 44 weeks.
- No new allowances.
The bargaining committee has been consistently informing Emirates that staff would not be satisfied with a pay offer that doesn’t keep up with the year on year increases to your costs of living. We asked Emirates to reconsider the above – which would be a drop in the ocean at a cost to the business of around $50K for the life of a 4 year agreement – and come back to us with a fair and reasonable remuneration offer.
We have also made it perfectly clear that staff no longer believe Emirates’ old line that there will never be any redundancies. No change to the maximum redundancy payment is not acceptable to staff who have seen their colleagues from Adelaide, Perth, Brisbane and Melbourne depart the business over the last 3-4 years, as a result of modernisation and restructure projects.
Some progress has been made
Emirates has accepted that it makes sense to incorporate the Undertakings that were given for your last agreement, into EBA-2020 and have committed to preparing draft clauses by 5 November 2019 for bargaining reps to consider.
Emirates also said they would confirm the form of new conditions for Family and Domestic Violence Leave, as well as Family Friendly Working Arrangements.
The next meeting is scheduled for 19 November 2019. In the meantime, bargaining representatives will be seeking your views about what you think is fair.
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