Get all your news in one place.
100’s of premium titles.
One app.
Start reading
ABC News
ABC News
Business

Pilots' strike on the table after wage negotiations break down between Rex, union

Rex is calling the move by the pilots' union "hypocritical". (Supplied)

Regional Express Airlines (Rex) could have a strike on its hands after the Australian Federation of Air Pilots (AFAP) successfully lodged an application with the Fair Work Commission.

A federation spokesperson said the potential for protected industrial action came after recent failed negotiations where staff were offered a deal "worse than previous offers".

But Rex has hit back hard, labelling the union's decision to reject the proposed pay rise as "beyond belief".

The federation spokesperson said the organisation had been "attempting to negotiate a new Enterprise Agreement since early 2018".

However, the offer they received from Rex last Friday was "even worse than previous offers" made by the company, according to union.

The spokesperson said the latest offer "represents a cut in a real-term salary of more than 5 per cent since 2018".

"It does not contain back pay and does not cover CPI over the previous four years," the spokesperson said.

The union said it has been left with "little choice" other than to lodge an application for a protected industrial action ballot with the Fair Work Commission. (ABC News: Laura Birch)

'Hypocrisy'

In response, Rex deputy chairman John Sharp said it was disappointed the pilot's union had applied to the Fair Work Commission for permission to hold a ballot to take industrial action.

"Just last September, the AFAP agreed to a 2 per cent pay rise in 2021 and 2022 for QantasLink pilots saying "we are pleased to have arrived at a pragmatic outcome for the QantasLink pilot group," he said.

"Rex, on the other hand, has offered its Saab [a model of aircraft] pilots a 5.1 per cent pay rise from July 1, 2022, plus significant catch-up payments worth another 8 per cent once the business is profitable again," Mr Sharp said.

Rex's deputy chairman John Sharp has accused the union of double standards. (ABC The Business)

"We believe the vast majority of our pilots are company-minded and can see through the hypocrisy of the AFAP."

According to Rex, it is the only airline that did not retrench any of its pilots throughout the course of the pandemic.

"We believe they will stand by the company during this period where the recovery is nascent and the company is still fragile," Mr Sharp said. 

Now that it's approved by the Fair Work Commission a poll will be conducted of pilots.

Rex Pilots will have seven days from June 15 to vote in the protected action ballot. 

According to procedure, if more than 50 per cent vote to take industrial action, strikes are required to begin within 30 days of the result.

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.