Qantas Reaches Agreement With AIPA

Sydney, 17 July 2008

Qantas said today it had reached an in-principle agreement with the Australian International Pilots Association (AIPA) on a new enterprise agreement for Qantas long haul pilots.

The Chief Executive Officer of Qantas, Mr Geoff Dixon, said the agreement re-wrote decades of accumulated employment conditions and rules into one simplified document.

"This is a significant agreement that locks in the company's 3 per cent per annum wages policy for a further five years, until 2013," Mr Dixon said.

Mr Dixon said all Qantas pilots would now have part of their remuneration explicitly linked to company performance.

"Under this new agreement, the difference between the 3 per cent per annum wage increase and CPI, along with a proportion of overtime payments, will be paid out in a similar way to executive bonuses."

He said the new agreement, which was the result of 18 months of negotiations, had been reached without any industrial action.

"The new agreement offers greater flexibility for both Qantas and its pilots.

"It finalises the pay arrangements for the launch of the A380 aircraft later this year, with multiple pay rates rationalised and new rules on career progression that will reduce the cost of training associated with pilots moving between aircraft types."

The agreement will come into effect when it is voted on by the Qantas pilots.

Issued by Qantas Corporate Communication (3788)