Request for assistance of New South Wales Industrial Relations Commission by Newcastle City Council and Local Government Unions regarding negotiations [2010] NSWIRComm 99 (12 July 2010)

Last Updated: 2 August 2010

NEW SOUTH WALES INDUSTRIAL RELATIONS COMMISSION

CITATION :
Request for assistance of New South Wales Industrial Relations Commission by Newcastle City Council and Local Government Unions regarding negotiations [2010] NSWIRComm 99



FILE NUMBER(S):
IRC 1667

HEARING DATE(S):
23 November 2009, 17 December 2009, 8 February 2010, 8 March 2010, 14 April 2010, 7 May 2010, 3 June 2010, 10 June 2010, 12 July 2010

DATE OF JUDGMENT:
20 July 2010

EX TEMPORE DATE:
12 July 2010

PARTIES:
Newcastle City Council
New South Wales Local Government, Clerical, Administrative, Energy, Airlines & Utilities Union (United Services Union); Development and Environmental Professionals' Association;
Local Government Engineers' Association of New South Wales;
Association of Professional Engineers, Scientists and Managers Australia.

CORAM:
Harrison DP


CATCHWORDS: Request for assistance with negotiation process for new industrial instrument - structured negotiation - mediation - assisted negotiation model - collaborative and inclusive process - landmark agreement reached. Wages and conditions within framework to enhance service delivery - flexibility - co-operation
City of Newcastle Enterprise Agreement 2010 approved [2010] NSWIRComm 96 in Matter No IRC 517 of 2010 - Local Government (State) Award 2007 varied to remove exclusion of Newcastle City Council from the Award [2010] NSWIRComm 94.

LEGAL REPRESENTATIVES
Mr L Smith (Applicant)
Newcastle City Council

Mr P Collins (Respondents)
United Services Union
Development and Environmental Professionals' Association
Local Government Engineers' Association of New South Wales
The Association of Professional Engineers, Scientists and Managers Australia


CASES CITED:


LEGISLATION CITED:
Industrial Relations Act 1996


TEXTS CITED:




JUDGMENT:

- 4 -

INDUSTRIAL RELATIONS COMMISSION OF NEW SOUTH WALES

CORAM: HARRISON DP

Tuesday, 20 July 2010

Matter No IRC 1667 of 2009

Request for assistance of New South Wales Industrial Relations Commission by Newcastle City Council and Local Government Unions regarding negotiations

STATEMENT

[2010] NSWIRComm 99

1 This matter commenced in November 2009 with a request by Newcastle City Council ("the Council") and Local Government Unions, identified as New South Wales Local Government, Clerical, Administrative, Energy, Airlines & Utilities Union (United Services Union); Development and Environmental Professionals' Association (DEPA); Local Government Engineers' Association (LGEA); and the Association of Professional Engineers, Scientists and Managers Australia (APESMA) ("the Unions"), for the assistance of the Commission in the negotiation of an industrial agreement.

2 The Newcastle City Council Award 2006 ("the Award") 359 IG 1158 had reached its nominal term and the parties had put in place holding arrangements pending a comprehensive review of industrial arrangements that would provide employees with fair and reasonable wages and conditions within a framework which enhanced the capacity of the Council to meet service delivery requirements.

3 The parties adopted a collaborative approach to negotiations based on a mutual understanding that the industrial arrangements could, with appropriate flexibility and co-operation, be improved for all concerned.

4 The parties first developed a process of negotiation and then exchanged schedules of issues of concern and/or objectives.

5 The direct assistance of the Commission was provided by report and mediation on a number of occasions throughout the process.

6 The matter was before the Commission as presently constituted from November 2009 to the end of May 2010 , then before Commission Stanton in June 2010, returning to me in July 2010 for conclusion.

7 The representatives involved in negotiations were:

The Council: Ms L Hyam General Manager

Lee Smith Industrial Relations Manager
Emma McKenny Co-ordinator IR
Michael Kelly Consultant IR
Frank Cordingly Director - Liveable City
Judy Jaeger Director - Future City
Martin Coates Director - City Engagement
Gavin Cooksley ENV & Policy Co-ordinator
D. Allan

The Unions:

USU Peter Collins Organiser

Brian Cameron Delegate

Christine Judd Delegate
Ian Haywood Delegate
Ross Warren Delegate

APESMA/LGEA Gordon Brock Organiser

DEPA Ian Robertson Secretary
Patricia McCarthy Delegate

8 The parties were able to reach agreement on a comprehensive industrial agreement titled "City of Newcastle Enterprise Agreement 2010" ("the Agreement") approved by the Commission as presently constituted on 12 July 2010 [2010] NSWIRComm 96 to apply from the first pay period after 1 July 2010 for a period of 3 years.

9 The Agreement replaces the Newcastle City Council Award 2006 359 IG 1158; and for the first time in many decades brings Newcastle City Council within the scope of the Local Government (State) Award 2007 349 IG 491, which was varied by consent of the parties to it in Matter No IRC 507 of 2010 on 12 July 2010 [2010] NSWIRComm 94.

10 A joint statement issued by the Council and Unions on the conclusion of negotiations stated:

In November 2009, Council and the local government unions (including workplace delegates) commenced negotiations for a new award.

Throughout the negotiations the parties have bargained in good faith and have worked cooperatively and collaboratively to expedite negotiations and settle industrial arrangements for the next 3 years. To facilitate this process the parties have also worked closely with members of the Industrial Relations Commission of NSW, through an assisted negotiation model.

The parties are pleased to report that an in-principle agreement has been reached on a new set of industrial instruments that set terms and conditions of employment for Council's employees.

The new City of Newcastle Enterprise Agreement 2010 ("the Agreement") continues to provide terms and conditions of employment that are amongst the best in NSW local government.

This modern Agreement is underpinned by the Local Government (State) Award 2007 and together replaces the former Newcastle City Council Award 2006.

Coupled with other Council initiatives, the Award and Agreement provide an industrial platform for the future sustainability of Council, greater transparency and draws upon shared learning's and knowledge of commonly applied industry provisions.

Benefits and key changes

· 1.5% increase payable on the first full pay period on or after 1 July 2010 Increases in the Local Government (State) Award to flow to Council employees from 1 November 2010
· Increase casual loading to 25% (in lieu of Long Service Leave (LSL) Access to paid parental leave for regular and systematic casual employees
· Introduction of a 3.5% civil liability allowance
· TIL payable at overtime rates on termination
· LSL payable on termination after 5 years service
· Cashing out of sick leave for pre 1993 employees
· 1weeks supporting parent leave
· The introduction of fortnightly pay
· Transfer to the Local Government (State) Award 2007
· Development of the City of Newcastle Enterprise Agreement 2010 (3 yr term)
· Redeployment capped at 12 months
· Severance pay exemption where comparable employment offered

What remains unchanged?

· Annual leave loading
· Flexible work arrangements
· Paid parental leave
· Hours of work
· Penalty rates and allowances
· Public holidays
· Sick leave
· Severance / redundancy pay amounts
· Salary system rates of pay

11 The parties are to be congratulated on their diligent and professional approach to the negotiations. The outcome, described as a landmark event, carries a high degree of mutual satisfaction and sets the framework for continued positive co-operation.

12 Matter No IRC 1667 of 2009 is so concluded.

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LAST UPDATED:
20 July 2010