Why air traffic control trainees got a 300% pay boost

Airways has changed its pay for trainees and says it has enough staff to fill its ranks in towers. Photo / Stephen Parker

Trainee air traffic controllers who previously weren’t previously treated or paid as employees will now be paid a salary.

Following Labour Inspectorate intervention,the trainees will now be paid for the second part of training that can take up to nine months.

The training usually takes place in regional air traffic control towers for about 24 trainees a year.

Airways New Zealand says the training is in a live environment, supervised by an experienced on-the-job instructor.

Previously the trainees could apply for financial assistance through StudyLink, including student loans, student allowances and fees free study.

During this time, all trainees were paid an additional scholarship of $240 weekly by the state-owned enterprise to support their cost of living, and comply with student allowance earning limits.

But now instead of the scholarship of around $12,500 annually, they will be paid $50,000.

The agreement also has implications for former air traffic control (ATC) trainees.

Airways NZ will now go back six years to calculate minimum wage, annual leave pay, public holiday and alternative holiday pay owed to participants, for part two of the ATC training.

Airways said the agreement would result in back payments made to about 85 controllers, who undertook their training over the six years from February 22, 2018.

‘‘These payments will vary based on each employee’s circumstances and we are currently working through these calculations for the individuals affected,” a spokesperson said.

Brendon Strieker, the Labour Inspectorate’s regional manager, southern, said when an inspector started investigating the relationship between the trainees and Airways NZ, they believed the relationship was one of employment, and the trainees should be considered employees.

The Labour Inspectorate then applied to the Employment Court seeking a declaration that two trainees who were part of a group initially interviewed by a labour inspector were in fact employees.

They also applied to the Employment Relations Authority (ERA) seeking minimum wage, annual leave pay, public holiday and alternative holiday arrears for the two trainees.

After the agreement between the Labour Inspectorate and Airways NZ, the Employment Court issued a consent judgment stating the two trainees were in fact employees during the second part of their training.

And the ERA issued a determination by consent that the agreement between the parties was an order of the authority.

“The agreement between the parties is welcome because it applies to all new trainees going forward. Also, the employers have agreed to do the calculations for other participants in part two of the training going back six years,” said Strieker.

Training is undertaken in two stages.

Part one is where students undertake classroom theoretical learning in Christchurch, simulation exercises, assignments and exams as part of studying for and achieving NZQA qualifications for their course of study in the Airways International Training Academy.

During part two, students carry out workplace training.

This involves supervised practice in the field, theoretical study, simulation training, an oral board and practical assessments to achieve a Civil Aviation Authority (CAA) licence and a NZQA Diploma in Air Traffic Services.

This stage of training could take as little as three months, or upwards of nine months, depending on a number of factors, including the training location and student ability.

Grant Bradley has been working at the Herald since 1993. He is the Business Herald’s deputy editor and covers aviation and tourism.