Airservices Australia Class Actions

If you were a member of a defined benefits scheme such as CSS or PSS and were made to switch to any superannuation scheme under AvSuper as a condition of employment please contact us HERE.

Latest News
  • 22 December 2017: Airservices Australia Class Action — We have filed a claim in the Federal Court of Australia on behalf of a group of managers on management contracts.
  • 26 March 2018: Airservices Australia Class Action — We filed an amended statement of claim shifting the action to an open class and adding “Technical Professionals” as well as “ASAs” to the claim.

Adero is currently running a class action in the Federal Court of Australia on behalf of several Airservices Australia employees for various shortfalls in redundancy, superannuation and other entitlements resulting from management contracts offering less favourable outcomes than the applicable enterprise agreement

We are instructed that in the period between 1996 to 2017, Airservices Australia began introducing “management contracts” to some individuals at the levels ASA 7 to ASA 9. For these contracts to be deemed valid under the Fair Work Act 2009, they must improve or match the entitlements provided in the relevant Enterprise Agreement.

If you signed a management contract, you may be able to claim the following:

Redundancy

The management contracts provide fewer redundancy benefits for individual with lengthy periods of continuous service. Employees made redundant were given a payment capped at 6 months’ worth of their final salary. The Enterprise Agreement provides for a maximum of 75 weeks of salary depending on the length of continuous service.

Superannuation

There was a significant shortfall in the superannuation paid into the accounts of employees in accumulated funds superannuation schemes. The management contracts provided for superannuation to be paid at a lower rate than what is stipulated in the applicable Enterprise Agreement.

Leave Entitlements

Employees were granted two extra days on top of annual leave during the Christmas period in the relevant Enterprise Agreement and this was not reflected in the management contracts.

Salary Increases

The Airservices Australia Enterprise Agreements provided for an incremental salary increase in employees’ base salaries. We have been instructed by our claimants that this was not reflected in the management contracts that they were given.

Want to find out more about the claim? Read our FAQ’s or Contact Us.

Allegations have been made that in the period between 1996 and 2016 Airservices adopted policy directions whereby all new employees were required to become members of the appointed superfund of Airservices under the certified agreement, being AvSuper. It is alleged that claimants were told, or otherwise not informed, that they could continue making superannuation
contributions to existing funds.

If you were a member of a defined benefits scheme such as CSS or PSS and were made, to switch to any superannuation scheme under AvSuper as a condition of employment, please contact us. We are currently investigating these claims.

The shortfall is calculated by comparing the redundancy benefits provided in the Enterprise Agreement and the individual’s management contract. For example, the Airservices Australia Enterprise Agreement 2013-2017 states that an employee made involuntarily redundant receives the following benefit:

7.6.6(a)(ii) – A payment comprising four (4) weeks’ salary for each of the first five (5) completed years of service and three (3) weeks’ salary for each subsequent completed year of service, plus a pro rata payment for each completed month of service since the last completed year, to a maximum of seventy five (75) weeks.

The term ’years of service’ includes previous years of service for public departments as recognised for the purpose of the Long Service Leave Act. In several instances, the management contracts capped the maximum number of weeks of payment at 24 weeeks. Hence, the shortfall would be calculated by finding the difference in the formula provided in 7.6.6(a)(ii) and the actual sum paid to the client.

The shortfall in superannuation is calculated by comparing the difference in employer contribution percentages found in the Enterprise Agreement and the individual’s management contract. In several Airservices management contracts, employer superannuation contributions were made in accordance with the Superannuation Guarantee (Administration) Act 1992 instead of the Airservices Enterprise Agreement. The resulting superannuation shortfall is exemplified below:

Superannuation Guarantee Enterprise Agreement Requirement
2012-13 9.00% 12.50%
2013-14 9.25% 12.75%
2014-15 9.50% 13.00%
2015-16 9.50% 13.50%
2016-17 9.50% 14.00%

The difference in the two contribution percentages represents the shortfall which is to be recovered.