Industrial Relations Minister Sophie Cotsis said the government’s Bill would fulfill an election promise to abolish the public sector wage capCredit:Dion Georgopoulos
It follows theappointment of an industrial relations taskforce,led by former Fair Work Commission deputy commissioner Anna Booth and former IRC president Roger Boland,commissioned by the government in June to consult employees,unions and government agencies over the new IR framework.
The reforms will abolish the Coalition’s wages cap which limited public sector pay rises to 3 per cent wages cap,which included a mandatory 0.5 per cent superannuation increase.
Abolishing the cap will allow the state’s public sector unions to negotiate directly with government agencies,with the IRC empowered to bring the parties together to resolve disputes.
The reforms could see public sector wages rises above the abolished cap,if productivity gains can be found to supplement the cost to the budget.
However,the industrial court will be required to consider the fiscal position of the government when making determinations,meaning any wage offers will be restricted by the state of Treasury’s coffers at any given point.
‘There is no doubt the wages cap has had a repressive effect on public sector bargaining,modernising awards and genuine engagement between employees,unions and public sector agencies.’
Industrial Relations Minister Sophie Cotsis
In addition,the reforms will encourage agencies to attract and retain skilled staff where there are labour shortages so “as to ensure effective and efficient delivery of public services”,Cotsis said,with dozens of paramedics in the Legislative Assembly watching her address.