Updated
Updated · HRD America · Jun 16
Jetconnect Ordered to Repay Up to NZ$22,320 in Pilot Training Bonds
Updated
Updated · HRD America · Jun 16

Jetconnect Ordered to Repay Up to NZ$22,320 in Pilot Training Bonds

1 articles · Updated · HRD America · Jun 16

Summary

  • New Zealand's Employment Relations Authority ordered Jetconnect to refund training-bond payments to two former pilots, including NZ$17,165.30 repaid by Mark Nicholas and NZ$5,155.55 deducted from Benjamin Rosser's final pay.
  • The ERA ruled the bonds—worth up to NZ$37,000 and tied to a 36-month service period—were unlawful employment premiums under the Wages Protection Act and also breached Jetconnect's collective agreement with NZALPA.
  • Both pilots already held Boeing 737 type ratings before joining Jetconnect in 2022, and the authority found the airline's ground, simulator and line training delivered no transferable personal benefit because it was specific to Jetconnect and Qantas Group operations.
  • Jetconnect had argued the program gave pilots an executable licence and about 50 extra flying hours that improved future employability, but the ERA said those hours were simply part of normal employment and the CASA approval was non-transferable.
  • The authority declared the bond agreements unenforceable, ordered interest from each pilot's employment end date, and said the parties must now agree the exact repayment totals.

Insights

Will this ruling against a Qantas subsidiary change how airlines globally handle pilot training costs?
When does an airline's pilot training bond become an illegal employment fee?