Virgin’s Offer – Everyone Pays, Few Benefit

Virgin Australia’s infographic paints its Guest Services EA offer in a very positive light. But the reality is this: employees are being asked to give up conditions to fund the deal, and the benefits are not shared equally.

1. Workers are already getting an approx 2.9% increase - with no trade‑offs

Before anything in this offer:

• The Fair Work Commission has increased industry minimum (Award) wages through the Annual Wage Review.
• Because Virgin Australia’s rates have been sitting close to the Award, the increase flows through to workers automatically.
• That delivers an approx. 2.9% increase to take-home pay, without any reduction in conditions.
• This was achieved through the work of unions - including the ASU - at the Fair Work Commission, not through this EA offer.
• The company initially proposed 3% per year on current rates, which has effectively already been delivered through the Award increase, without any trade-offs. If the Company’s first offer was successful, you would be 0.1% above the legal minimum.

2. A 4% pay rise - but you’re asked to trade off conditions with no guarantee

Virgin talks about 4% pay rises each year - but that’s only part of the story.

Every July, the minimum industry wage (the Award) also goes up. There’s no cap on how much it can increase, and sometimes, it goes up by more than 4%.
Recent increases to the industry minimums have been 3.5% in 2025 and 4.75% in 2026.

If the minimum goes up by the same - or more -than your EA increase:

• You don’t move ahead
• You can stay the same, or fall behind

This offer asks workers to give up conditions - but there’s no guarantee you’ll even stay ahead of the minimum. If everyone is paying, there should be certainty in the outcome - and this deal doesn’t provide it.

3. The ‘Actual minimum’ is a day‑shift rate - not your hourly rate

Virgin’s infographic highlights large increases (like ~19.6%) using something called: “Actual minimum (4% base increase plus new 15% day shift loading)”

But this is not your normal hourly rate across all work.

• It only applies to weekday day shifts
• You only receive it if you are rostered on those shifts

At the same time, the table presents this figure alongside base hourly rates - even though:

• Base rates apply to every hour you work
• This “actual” figure applies only in a specific scenario

This inflates the headline increase - even though the benefit only applies to some shifts, some of the time.

4. Virgin is funding large increases for GS1 and GS2 by proposing to cut from the existing conditions for all

Virgin is promoting large headline gains like:

• “All GS1 team members move to GS3 after 8 weeks”
• “GS2 moves to GS3 straight away”
• Up to 26.3% increases in Year 1 for some employees

This focuses on early career progression and increased benefits for employees at the start of employment

Virgin is proposing to fund this by cutting conditions for all employees, including:

• cuts to personal leave
• reducing or removing DILs
• longer working days – with shifts at to 10 hour at single rates
• changes to NIL 48

The move to longer shifts (up to 10 hours at single rates) is a major change - not a minor adjustment - and fundamentally changes working conditions as you will need to work longer hours in one day to qualify for overtime.

What do longer‑serving employees get in return?

• A 4% annual increase, which may not keep up with minimum wage increases
• No equivalent step‑up or reclassification benefit like GS1 and GS2,
• Other changes are minor and not guaranteed, including line trainer, mentor and in‑charge allowances, as well as the 15% day‑shift loading (which only applies if you are rostered on those shifts)

All employees are being asked to give something up - but the benefits don’t flow evenly across the workforce.

5. Are there positives?

Yes - there are some improvements, but the devil is in the details.

• We claimed for increased access to Part Time 50, and Virgin Australia has committed to this - but there are no clear numbers or guarantees on how many roles will actually be available.
• We also claimed for better access to higher classification work and permanency, and there is now a pathway to progress when working 70% in a higher skill set - but this still depends on how work is allocated and rostered.
• We welcome the increase in minimum shift length from 4 to 5 hours; however, on its own, this is a relatively small improvement and does not change the core issue - that employees are being asked to give up conditions to fund the deal.

What we are campaigning for

We are fighting for an agreement that:

• Delivers real increases to base rates
• Keeps workers ahead of the minimum wage over time
• Applies fairly to all employees - not just new starters
• Provides predictable pay, not roster‑dependent outcomes
• Protects conditions - not trades them away

Join the ASU to win fair pay
Unions have already delivered Award wage increases through the Fair Work Commission. Now it’s time to build on that win and secure better outcomes at the bargaining table. If you’re not yet a member, join the ASU today!