Virgin Australia workers made the ultimate sacrifice to keep it flying through administration, accepting cuts to their pay and conditions when the company needed them most. Now, with the airline back in profit and Bain Capital having extracted $2.7 billion since buying it for $730 million, workers are still waiting for those sacrifices to be repaid.
Instead, Bain and Virgin’s executives have pocketed billions. Former CEO Jayne Hrdlicka walked away with a $50 million payout, and the airline posted a record $501 million profit last financial year.
Workers who helped save Virgin have been left with little alternative to finally earn to fair pay, safer workloads and secure jobs. Hundreds across the airline will now prepare to take protected industrial action.
An overwhelming 98% of Virgin cabin crew have voted in favour of taking protected industrial action, with Virgin Guest Services to commence actions tomorrow and Monday.
Virgin ground crew are also taking steps towards industrial action, as they prepare to conduct their own vote in the coming days.
Cabin crew are seeking a fundamental reset to their working conditions, including:
- Fairer rostering arrangements to prevent increasingly exhausting duties.
- Meaningful progression through pay classifications.
- Stronger fatigue protections, including increased minimum rest periods.
Ground crew are calling for:
- Safeguards to reduce excessive workloads on longer shifts and improve fatigue management.
- A fair pay increase to help workers keep up with the cost of living.
- Greater access to permanent and full-time employment.
After months of negotiations, Virgin has failed to properly address these claims, leaving workers with few options to secure the improvements they need.
It comes as the Federal Government commits to establishing an Aviation Industry Coordination Council to address longstanding problems across Australia’s aviation sector. The Union welcomes the decision, but reform will take significant time, and the industry needs confidence that Parliament is committed to rebalancing aviation so that it serves workers and the travelling public.
TWU National Secretary Michael Kaine said:
“The message from workers at Virgin is loud and clear: they are literally sick and tired of being run ragged while the airline’s owners treat it as their personal piggy bank. They are fed up with being asked to do more with less, while the owners and executives have the lion’s share of the rewards.
“They are simply asking for the basics: enough staff to do the job safely, fair pay and access to secure, permanent employment. These aren’t unreasonable demands, they are the foundation for a sustainable airline.
“Bain bought Virgin for $730 million and has recouped close to four times that. CEOs are walking out the door with $50 million pay cheques, the airline is making record profit, and the ones who kept the airline running through COVID are on wages and conditions that need adjusting to keep ahead of cost of living increases. They have struggled to provide for their families while seeing billions being handed out to executives and CEOs.
“Virgin is at a crossroads. It cannot be allowed to copy the Alan Joyce playbook, where it cuts costs, drives down standards and squeeze every cent out of its workforce. We’ve already seen the consequences of that at Qantas, in the end its workers and passengers who ultimately pay the price.
“This airline has already shown that when you engage with your workforce, it pays off. Its employee share scheme and successful insourcing prove Virgin can run a profitable airline while investing in its people. It’s time Bain took a sliver of that 2 billion and did the same.
“We need a reset in Australian aviation so safe, secure jobs are the norm, not the exception. The Government’s commitment to an Aviation Industry Coordination Council is welcome news. It must be equipped with the power to tackle the systemic problems holding this industry back.