Published on
August 9, 2025 |
New Zealand has delivered a decisive ruling in a high-profile dispute between Jetstar Airways and its pilots, confirming that standby duty during a public holiday does not automatically entitle airline staff to an alternative day off. The Employment Relations Authority determined that unless a pilot is actually called in to work, the day still counts as a holiday, even if certain restrictions—such as staying close to the airport and remaining work-ready—apply. This landmark decision not only resolves a long-running conflict but also sets a clear precedent for how holiday entitlements are interpreted in New Zealand’s aviation sector.
Jetstar Wins Employment Dispute Over Standby Pilot Holiday Entitlements in New Zealand
Jetstar Airways has successfully defended its position in a legal challenge brought before New Zealand’s Employment Relations Authority, which ruled that the airline is not required to provide alternative holidays to pilots who remain on standby during public holidays unless they are actually called in to work.
The case was initiated by the New Zealand Air Line Pilots’ Association (NZALPA), which argued that the standby conditions imposed on pilots effectively prevented them from fully enjoying public holidays. The authority’s decision, however, determined that these restrictions were not substantial enough to warrant additional leave under New Zealand law.
Background to the Dispute
The issue came to light when NZALPA, alongside two Jetstar pilots, alleged that the airline had breached both the Holidays Act 2003 and the collective employment agreement. They claimed that pilots rostered for standby duty during public holidays, even if not called to fly, faced significant personal restrictions that undermined the spirit and purpose of a holiday.
The pilots’ case centered on several key standby conditions. They were required to remain within two hours’ travel of Auckland Airport, keep themselves contactable at all times, be in uniform and ready to commence duty if needed, avoid alcohol and certain medications, and refrain from activities that could delay reporting for work.
According to the association, these requirements meant pilots could not meaningfully take part in cultural, national, or religious gatherings, depriving them of the personal and social benefits of public holidays.
Jetstar’s Position
Jetstar responded by stating that its standby requirements were fair and aligned with the operational standards expected in safety-sensitive positions throughout the aviation sector. The airline maintained that measures such as abstaining from alcohol or staying within a certain travel radius are standard operational requirements driven by safety regulations, not by a desire to limit holiday enjoyment.
The company further emphasized that being on standby without being called in does not equate to performing work. Therefore, it argued, pilots in this situation are still entitled to consider the day a holiday, even with certain conditions in place.
The Authority’s Decision
Employment Relations Authority member Alex Leulu delivered the decision in Jetstar’s favor. The ruling acknowledged that standby duty does impose restrictions but concluded that these do not strip the day of its holiday character unless the pilot is actually assigned to active duty.
Leulu noted that while the limitations may reduce flexibility, they were not “significantly onerous” in a way that would justify awarding an alternative holiday. The decision also addressed a claim from one pilot about travel challenges from their home in Bombay, stating that commuting distance is a matter of personal choice and does not alter the legal interpretation of standby duty.
Implications for the Aviation Industry
This decision has established a definitive benchmark for New Zealand’s aviation industry on how holiday entitlements apply to employees on standby. It confirms that simply being on call, without carrying out any actual duties, does not automatically grant the right to an alternative public holiday.
The decision also provides guidance for other industries that require immediate readiness from employees, especially those in critical roles such as healthcare, emergency services, and transportation. It underscores the balance between operational needs and employee rights, showing that certain role-specific obligations can exist without violating holiday provisions under the law.
Legal and Operational Balance
In aviation, readiness requirements are often non-negotiable due to safety and regulatory compliance. This case demonstrates how employment law takes into account the operational realities of such industries, ensuring that while workers’ rights are protected, the essential nature of their roles is also recognized.
By clarifying that the essence of a holiday remains intact unless active work occurs, the ruling helps airlines and other employers better understand their responsibilities. It also signals to employees that while standby conditions may limit personal plans, they do not automatically translate to a loss of holiday entitlement under current legislation.
Looking Ahead
With this legal dispute resolved, the decision is likely to influence future employment negotiations and collective agreements in New Zealand’s aviation sector. It may also prompt unions and industry bodies to reassess how standby duties are structured and communicated to staff, particularly during public holidays.
New Zealand has ruled that Jetstar pilots on standby during public holidays are not entitled to alternative leave unless they are called to work. The decision sets a precedent for how holiday rights apply to standby duty in the aviation sector.
Jetstar’s victory highlights the continuing dialogue between operational demands and workplace entitlements in industries where time-critical roles are essential. The outcome serves as a reminder that legal interpretations of holiday rights depend not just on perceived inconvenience but on whether actual work is carried out during the period in question.
