Jetstar posts record earnings as staff demand higher wages and new fees loom

Jetstar, the low-cost subsidiary of the Qantas Group, reported a historic $492 million in underlying earnings for the six months ending December, a 12 % increase over the previous year. The Australian Services Union represents about 900 airport-operations employees who claim they are being paid only at award rates after the Fair Work Commission’s annual rise surpassed their expired enterprise agreement, and they are demanding higher wages and parity with Qantas staff, who earn roughly 18 % more for similar roles.

The airline said negotiations are ongoing and it is committed to reaching a new agreement while maintaining low fares. Concurrently, Jetstar announced new fees for using overhead lockers, up to $52 per flight, and a policy effective February 2027 that will charge passengers for cabin bags up to 10 kg, moves described by a travel agent as a “money grab”. Employees also raised concerns about hazardous heat on the tarmac, urging enforceable temperature-linked breaks in the next contract, while an employment lawyer noted existing award provisions only apply above 46 °C. Experts noted that low-cost carriers typically pay less, but the airline’s strong profit margin raises questions about profit-sharing with staff.