Key Takeaways
- • Virgin Australia cabin crew (98% vote) have approved protected industrial action, with Virgin Guest Services set to begin actions on the coming days, according to the Transport Workers' Union (TWU).
- • Bain Capital has extracted $2.7 billion from Virgin Australia since acquiring it for $730 million, per the TWU, which says the figure represents close to four times the purchase price.
- • Virgin Australia posted a record $501 million profit last financial year, while former CEO Jayne Hrdlicka received a $50 million payout.
- • Workers are seeking fairer rostering, pay progression, fatigue protections, and permanent employment, claims the union says Virgin has not adequately addressed after months of negotiations.
- • The Federal Government has committed to establishing an Aviation Industry Coordination Council, which the TWU welcomed while cautioning that reform will take significant time.
Summary
Virgin Australia cabin crew have voted 98% in favour of protected industrial action, with Virgin Guest Services set to commence action in the coming days, according to a Transport Workers' Union (TWU) statement published via Mirage News. Virgin ground crew are also moving toward industrial action and will conduct their own vote in the coming days.
The union frames the dispute around workers' earlier concessions. Staff accepted cuts to pay and conditions while the airline was in administration, and the TWU says those sacrifices have not been repaid now that the carrier is back in profit. The union cites Bain Capital's extraction of $2.7 billion since buying the airline for $730 million, and a record $501 million profit posted last financial year. Former CEO Jayne Hrdlicka reportedly walked away with a $50 million payout.
Cabin crew are seeking fairer rostering to reduce exhausting duties, meaningful progression through pay classifications, and stronger fatigue protections including longer minimum rest periods. Ground crew are calling for safeguards against excessive workloads on longer shifts, a fair pay increase to keep pace with the cost of living, and greater access to permanent and full-time roles. According to the union, Virgin has failed to properly address these claims after months of negotiations.
TWU National Secretary Michael Kaine said workers are "sick and tired of being run ragged" while owners treat the airline as a "personal piggy bank," and warned that Virgin should not replicate the cost-cutting approach attributed to former Qantas chief Alan Joyce. Kaine pointed to Virgin's employee share scheme and insourcing as evidence that a profitable airline can invest in its workforce, and called on Bain to share its returns with staff.
The dispute coincides with the Federal Government's commitment to an Aviation Industry Coordination Council to address longstanding problems across Australia's aviation sector. The TWU welcomed the decision but said reform will take significant time and that the council must be equipped with real power to address systemic issues.
The union frames the dispute around workers' earlier concessions. Staff accepted cuts to pay and conditions while the airline was in administration, and the TWU says those sacrifices have not been repaid now that the carrier is back in profit. The union cites Bain Capital's extraction of $2.7 billion since buying the airline for $730 million, and a record $501 million profit posted last financial year. Former CEO Jayne Hrdlicka reportedly walked away with a $50 million payout.
Cabin crew are seeking fairer rostering to reduce exhausting duties, meaningful progression through pay classifications, and stronger fatigue protections including longer minimum rest periods. Ground crew are calling for safeguards against excessive workloads on longer shifts, a fair pay increase to keep pace with the cost of living, and greater access to permanent and full-time roles. According to the union, Virgin has failed to properly address these claims after months of negotiations.
TWU National Secretary Michael Kaine said workers are "sick and tired of being run ragged" while owners treat the airline as a "personal piggy bank," and warned that Virgin should not replicate the cost-cutting approach attributed to former Qantas chief Alan Joyce. Kaine pointed to Virgin's employee share scheme and insourcing as evidence that a profitable airline can invest in its workforce, and called on Bain to share its returns with staff.
The dispute coincides with the Federal Government's commitment to an Aviation Industry Coordination Council to address longstanding problems across Australia's aviation sector. The TWU welcomed the decision but said reform will take significant time and that the council must be equipped with real power to address systemic issues.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.