Equal Work Equal Pay
What’s happening with our Equal Pay Case? What FWA is doing.
- Details
- Published on Friday, 09 September, 2011
On May 16th Fair Work Australia (FWA) found that the work of members in social and community services in undervalued when compared to similar work done in the public service and in local government. FWA found that the work was undervalued for a number of reasons, and that gender played a significant part in that undervaluation.
However, instead of awarding workers an immediate increase, FWA has asked the parties to address the following questions:
- The extent to which wage rates in the SACS industry are lower than they would otherwise be because of gender.
- The amount or amounts, either dollar or percentage, to be included in any equal remuneration order and estimates of the cost.
- The phasing-in of any equal remuneration order and the effect of such phasing on the transitional provisions in the modern award.
- The form of any equal remuneration order, including whether it should specify the particular wage rates that are to apply to the classifications in the modern award, or a monetary or percentage addition to the wage rates for the classifications in the modern award and whether it should provide for salary packaging and absorption of any overaward payments.
- Whether the quantum in any equal remuneration order could or should be included in the modern award ...
All parties have now provided their views on these issues to FWA and they can be found on the FWA webpage.
Are we in conciliation and what does this mean?
In making its decision on May 16th, and in asking that the parties address it on the key questions raised above, FWA also invited the parties to enter into conciliation with a view to minimising the issues of difference or the issues that might ultimately be arbitrated.
The ASU has formally asked FWA to assist in conciliation between the parties and on that basis the ASU has been meeting with: the Federal Government, the State Governments of SA, NSW, and Vic and with Australian Business Industrial (ABI) and with Jobs Australia (JA).
In conciliation, the parties are trying in an "off the record" way to see if there is any way in which they can reach agreement on the key issues that have to be decided. Ultimately , what increases in pay should be granted. These discussions are confidential which means that they cannot be reported on. Additionally, unless agreement is reached the parties cannot bring the issues discussed in conciliation before FWA when the matter is finally arbitrated. This means that we are able to explore ideas in conciliation without it prejudicing our case in arbitration.
The parties have been given until October 24th to see if agreement is possible.
Where are we up to on funding?
The Federal Government has committed to supplement or index its grants to meet the cost of any pay increases awarded by FWA.
The Victorian Government has indicated that it has committed $200 million over 4 years to meet the cost of pay increases but it is generally agreed that this would be insufficient for the probable cost increases.
The WA Government has provided $600 million over 4 year for improvements in wages. 15% in grants was provided from 1st July this year and an additional 10% is due on 1st July 1013.
In 2009 the Queensland Government provided $414 million over 4 years to meet the cost of Equal Pay in Queensland.
The SA Government has agreed to supplement or index its grants to meet the cost of any pay increases awarded by FWA.
The only State to have not committed one single dollar is the State of NSW.
Does this affect my Enterprise Agreement?
All workers in the Social and Community Services Industry are covered by the application for the Equal Pay case. An Equal Remuneration Order (ERO: the outcome of the Equal Pay case) will apply to all workers, including those who are employed on an Enterprise Agreement.
