Cathay Pilots Union Raises Stakes In Contract Talks

Cathay Pacific's pilots union has sought the help of the Labour Department in its negotiations with the struggling carrier on its job-axing plan and has not ruled out taking legal action if its demands are not met.

Last week, Cathay announced that it was sacking some 5,300 Hong Kong-based staff and shutting down its subsidiary, Cathay Dragon, as the Covid-battered carrier struggles to survive the pandemic.

The airline also asked flight attendants and pilots who managed to keep their jobs for now to sign new contracts by next Wednesday, which unions said would cut their wages substantially.

The Hong Kong Aircrew Officers Association, which represents some 2,200 Cathay pilots, accused the airline of not giving its pilots enough time to consider their options and treating them unfairly.

According to the association, pilots who refuse to sign the new contract will be terminated with three months' pay, while those who are being made redundant are leaving with six months' pay.

Under the new contracts, which are similar to those for new hires since 2018, pay is based more on actual flying hours, leading to far lower salaries in periods when the airline is largely idle.

Pilots said they could see pay cuts of as much as 40 percent, depending on their current contracts.

The association discussed the matter with Labour Department officials in a meeting on Tuesday, asking for the department’s assistance in their negotiations with Cathay.

“We think they’ve done a great job listening to us, hearing us out. We think they’re very understanding. We have the opportunity to provide them with quite a bit of additional information in regard to the discussions, or actually, lack of discussions that we have with Cathay Pacific,” the union's general secretary, Chris Beebe, said after the meeting.

“We hope we can find a way to get through this. Most of all, we hope Cathay Pacific will choose to deal with their pilots fairly and reasonably, and give them the time they need in order to make a decision that is career-changing, life-changing, not only for them, but also for their families.”

Beebe said the association does not intend to take legal action against Cathay, but added that they’re considering all options, including applying for an injunction.

“This situation should never come to legal action. I’ll tell you we’ll continue to study all of our options. We have not made a final decision. Of course everything is still on the table. But it is just shame if this would have to come to legal action if it does,” he said.

Beebe also said Cathay’s pilots have been completely left out of the company’s decision-making over its restructuring.

“We have had no discussions with Cathay Pacific on their restricting plan whatsoever. And so, yes, if we can, we certainly would like to be a party to those discussions. We certainly would like to discuss with them the future of Cathay and its employees, rather than having them do, what is, quite frankly, heavy-handed and giving people no option whatsoever.”