Jetstar Bargaining Update - Small Pay Offer, Bigger Risks

The ASU met with Jetstar this week as bargaining continues. Jetstar has offered a 3% pay increase which is well behind rising living costs. Meanwhile, the company is seeking roster changes that impact overtime for Level 6s and is proposing to cut entitlements like the foreign language allowance.

Jetstar is trying to justify its offer by claiming to be a budget airline. The reality is that Jetstar isn’t struggling. It’s delivering strong profits off the back of your work.

Jetstar’s profits have increased by 12% to almost $500 million this year. During a cost of living crisis, Jetstar can afford to pay you a real pay increase.

What does Jetstar’s 3% offer actually mean?

Level	Current Salary	New Salary with a 3% Increase	Weekly Full-Time Increase	Hourly Increase
Level 3	$56,060	$57,741.80	~$32	~$0.85
Level 5	$64,331.93	$66,261.89	~$37	~$0.98

Across both levels, the increase is less than $1 per hour.

Under Jetstar’s offer you will be are going backwards

• Inflation: 4.2%
• Jetstar offer: 3%

What this means

• Around a 1-1.5% gap
• Real wages go backwards
• Pay goes up on paper, but your buying power drops

This is a real pay cut.

Jetstar’s Team Leader Claim

While offering a low wage increase, Jetstar is also proposing that Level 6 employees work 9.5-hour shifts at ordinary rates. Jetstar’s proposal used a OOL roster as an example, but there was:

• No income modelling included.
• No clarity on overtime impacts.
• No clarity on the relief Team Leaders (although it was recognised that full-time team leaders working 9.5 hours will likely mean fewer relief team leaders are needed).
• Too much uncertainty for workers with Flexible Working Agreements.

ASU Heat & Weather Claim and What We’re Fighting For

We are seeking clear, enforceable minimum standards in the Enterprise Agreement - not just policy guidance. Jetstar is not agreeing to put these protections in the Agreement. Instead, they want them to sit in the company policy only.

We are campaigning for:

• Minimum Heat Breaks When You Work In Direct Heat

• 30–32°C → 10 min break every 30 mins
• 32–35°C → 15 min break every 45 mins
• 35°C+ → 30 min break every 60 mins

These would be minimum standards and can be increased based on conditions (humidity, workload, PPE, etc) in consultation with health and safety reps.

Why policy isn’t good enough

Relying on policy instead of the Agreement means:

• It is not legally enforceable.
• Jetstar can unilaterally change it.
• Allows for too much local discretion.

Safety should not depend on who’s on shift or how busy it is.

What Jetstar’s proposal will mean for members

• Real wages going backwards
• Risk to overtime and earnings
• No enforceable safety protections

Jetstar is asking workers to accept more flexibility and risk for less in real terms.
While this is what Jetstar is currently offering, history shows that better outcomes are won when workers collectively demand more.

Our Position

• We have told Jetstar that 3% is too low.
• We won’t be supporting any deal that cuts your take-home pay.
• You deserve an agreement with enforceable safety protections, not policy

We’ll keep you updated and keep fighting for a fair outcome. Share this message with your colleagues today. 

If you’re not yet a member, support your Workplace Delegates who support better conditions for you and join today!