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CEPU WORKING TOGETHER

EBA 2005 - Securing the Future


NEWS ARCHIVE

25-05-05 FINAL PHASE OF NEGOTIATIONS

Negotiations between Telstra and the Single Bargaining Unit of unions are now in the final phase. More meetings are planned over the coming weeks to develop new documentation. Full details of the proposed changes to the existing EBAs will be available to members when the parties have reached agreement on draft new agreement to be put to members. In the interim all unions will be discussing the draft proposals with members to ascertain the union's final position in negotiations.

In broad terms, it is presently proposed that there will be minimal change to the current EBA. Conditions under threat from privatisation, will be protected by their incorporation into the EBA(s) and modest increases will be paid annually during a two or three year agreement.

The following table gives more detail of the position of the parties during the negotiation process so far. The table is not intended to include all of the myriad of issues discussed during the eighteen (18) meetings so far but it does include the major matters.

Union Position Outcome EBA Changes

  • RDOs
    • Telstra Position:- Telstra believe the present RDO arrangements are inflexible and cause difficulties in meeting CSG requirements and other operational issues. The suspension of RDO entitlements could help overcome times of operational difficulties or a CSG type crisis (storms, etc ).
    • CEPU Position:- The unions believe that the banking of RDOs over a longer period than two weeks or partial RDOs, both at the discretion of the employee in agreement with the manager would provide the flexibility sought by management.
    • Outcome EBA Changes:- After extensive negotiations the parties were unable to reach agreement. Existing clause will not change.
    Grandfathering Allowance
    • Telstra Position:- Telstra believe that staff doing the same work should be paid the same money and that those receiving Grandfathering Allowance should revert to the company salary rate of the position they hold more quickly than is presently the case.
    • CEPU Position:- The unions believe that those staff on Grandfathered Allowance are already paying the penalty for Telstra moving to company rates and thereby saving significantly on previous salaries, and that those staff should not be further penalised.
    • Outcome EBA Changes:- After extensive negotiations the parties were unable to reach agreement. Existing clause will not change.
    Reclassification
    • Telstra Position:- Telstra believe the present classification clauses are inflexible and delay Telstra's response to competitive pressures
    • CEPU Position:- The unions believe the present clauses provide certainty to all parties. In circumstances of identified competitive issues, the unions believe that the parties, utilising the present clauses can resolve the issues.
    • Outcome EBA Changes:- After extensive negotiations the parties were unable to reach agreement. Existing clause will not change.
    Maternity Leave
    • Telstra Position:- Maternity Leave provisions are presently contained within Federal Legislation. Telstra believe there is no immediate requirement for change.
    • CEPU Position:- The unions believe it is in the interests of all parties to have one consistent Maternity Leave provision nationally.
    • Outcome EBA Changes:- The parties reached agreement. New clause to be inserted in Agreement.
    Long Service Leave
    • Telstra Position:- Long Service Leave provisions are presently contained within Federal Legislation. Telstra believe there is no immediate requirement for change.
    • CEPU Position:- The unions believe it is in the interests of all parties to have one consistent Long Service Leave provision nationally
    • Outcome EBA Changes:- The parties reached agreement. New clause to be inserted in Agreement.
    CSS Telstra Privatisation
    • Telstra Position:- Telstra believe the effects of full privatisation on employees in the CSS and other Superannuation schemes is yet to be determined and is unlikely to be known until closer to privatisation.
    • CEPU Position:- The unions wanted Telstra to heed union representations concerning the effect on members when details are known.
    • Outcome EBA Changes:- The parties reached in principle agreement on the need for proper consultation and representation at the appropriate time.
    Salary Packaging
    • Telstra Position:- Telstra believe flexible arrangements such as salary packaging are best contained in other forms of agreement
    • CEPU Position:- The unions believe that other employees should benefit from these flexible arrangements and that a greater degree of flexibility in employment arrangements would suit all parties.
    • Outcome EBA Changes:- The parties were unable to reach agreement. The existing clause enabling superannuation salary sacrifice will not be widened.
    Public Holidays
    • Telstra Position:- Telstra believe there is no reason to duplicate the existing award provision in the EBA.
    • CEPU Position:- The unions believe that all parties would have greater certainty if the award entitlements were protected from legislative change by their insertion in the EBA.
    • Outcome EBA Changes:- The parties were unable to reach agreement. No change to existing EBA.
    Concession Day
    • Telstra Position:- Telstra believe there is no reason to duplicate the existing award provision in the EBA.
    • CEPU Position:- The unions believe that all parties would have greater certainty if the award entitlements were further detailed and inserted in the EBA.
    • Outcome EBA Changes:- The parties agree that existing arrangements will continue to apply. No change to existing EBA.
    Call Centre Start & Finish Hours
    • Telstra Position:- Telstra believe the existing clause is clear.
    • CEPU Position:- The unions believe there is a need for further clarity and have proposed a minor change.
    • Outcome EBA Changes:- The parties have agreed to clarify existing clause. No change to span of hours but a minor change to existing clause wording.
    Span of hours
    • Telstra Position:- Telstra believe that the present span of hours no longer meets the legislative requirements of some states and is uncompetitive when compared to other Telcos.
    • CEPU Position:- The unions believe that changes to the present spans would severely impact upon the salaries of some of the lowest paid Telstra employees.
    • Outcome EBA Changes:- The parties were unable to reach agreement. The existing clause will not change.
    Salary Adjustments
    • Telstra Position:- Telstra believe that only a minimal salary adjustment should occur as no major changes, producing major savings are proposed in the EBA. CPI adjustments are not part of the EBA wage fixing process.
    • CEPU Position:- The unions believe that there are significant ongoing productivity improvements that produce significant savings for Telstra and that any increase should as a minimum reflect CPI movements.
    • Outcome EBA Changes:- After extensive negotiations, a three year agreement with increases of 2.5% to be paid on certification and then two further increases of 2.5% paid on the twelve month anniversary of the first increase, is proposed. The parties have agreed to consult their respective principals and constituents over the two or three year, 2.5% pa, proposal.
    ADSL Job Descriptions
    • Telstra Position:- Telstra believe the present job descriptions cover ADSL and other new technologies..
    • CEPU Position:- The CEPU believe that Telstra have not paid sufficient heed to representations that ADSL and other technologies involve more complex work than Telstra understand.
    • Outcome EBA Changes:- The parties have agreed that this issue needs to be addressed again while EBA discussions are finalised and a transparent outcome achieved. A new review of this work is being conducted now with CEPU and Telstra grading experts involved.

Summary

Negotiations are continuing and will not be finalised until all matters are agreed. At this stage it appears that the Single Bargaining Unit has been successful in negotiating valuable changes to the EBA. The new EBA(s) are proposed to incorporate conditions of service under threat upon full privatisation.

The proposed three year term provides stability for conditions during privatisation and also during the changes to industrial legislation about to be introduced by the Howard Liberal Government..

The proposed increases of 2.5% while at the low end of expectations, should be considered in the context that there has been no loss of conditions.

The overall proposed outcome is consistent with the results obtained from CEPU member surveys conducted prior to negotiations which clearly indicated that retention of conditions was considered to be of higher priority than significant salary increases.

All of the conditions which were under attack, would be placed back on the bargaining table by Telstra if this proposal was rejected.

A major dispute requiring lengthy industrial action from affected members would be required to change Telstra's position.

Where to from here?

Telstra have consistently indicated during negotiations that they will only increase the salary offer if the unions agree to trade off conditions. Telstra's position means there are three options to consider.

  • Option 1 - Accept the offer.
  • Option 2 - Start an industrial action campaign to force Telstra to increase the salary offer.
  • Option 3 - Reject the offer and attempt to negotiate a better salary offer. (Note Telstra have already indicated that they wont discuss an increased salary offer without conditions, "trade offs").
Meetings are being conducted throughout Australia by CEPU to further brief members on the EBA developments and for members to determine a way forward in the EBA process from here. Contact your local CEPU Branch to organise a meeting with a CEPU official or if you are not a member contact the CEPU to join now.

Survey Form

A CEPU survey form is attached to this bulletin. Please fill it in to assist CEPU officials in representing your views at future EBA negotiations.

21-05-05 GETTING DOWN TO THE WIRE
Talks have been underway for some time aimed at reaching replacement enterprise agreements within Telstra. In an effort to assist mature and smooth negotiations, the parties agreed to avoid making inflammatory statements about any proposals floated during the negotiations. The union negotiators have presented items that need to be addressed in the lead up to full privatisation. These items include Long Service Leave, Maternity Leave, Superannuation Choice and the effects on CSS contributors. Telstra indicated that it wanted to "explore the unions' appetite for meaningful changes" in a number of areas that it regarded as constraints on its competitiveness. Key amongst these have been the process for Job Classification, Rostered Days off (RDOs) and the Grandfathering Allowance:

Intensive negotiations have taken place over the past eight weeks ( 17 meetings ) in an attempt by all parties to reach mutual agreement on an overall package. Clearly some of the issues on the negotiation table are controversial and complex. The union negotiators have been mindful of the outcome of union surveys and campaign meetings which have given strong directions to retain as much as possible of existing conditions of employment while optimising salary increases in any negotiated bargaining outcome.

We believe that the negotiating process is nearing a conclusion and hope to be in a position to present a detailed report in the next week. The above is not intended to be a complete summary of the very lengthy negotiations that have taken place. Rather they are a summary of some of the key items.

[Above Report from our negotiators - We expect to post a detailed report from Shane Murphy, our NSW Rep, later this week]

16-05-05 DETAILS EXPECTED THIS WEEK
Negotiations resumed this week and the teams are now reaching the difficult points. Issues from our log of claims have been raised including important issues such as RDOs, shift work and salary maintenance. To date the teams have agreed not to release point by point reports, as they felt it would prejudice negotiations. But that will end this week and we will be able to report the real position. Already many rumours exist, with varying factual support. Our web page will be immediately updated when news is released. Negotiations resume today in Melbourne.

07-05-05 TELSTRA EBA 2005
There were no negotiations in the past week and they will continue next week. We are now expecting a full report from the union bargaining unit after the meetings this week. This will give you a detailed summary of the state of negotiations, and the issues on the table. Clearly the log of claims has a long list of issues.

23-04-05 JOINT NEGOTIATIONS CONTINUE
Further negotiations took place this week in Melbourne. No outcomes to report, and negotiations will continue this week. Our organising continues. One activity this week the 3 unions of Telstra held a BBQ at Burwood Offices. A copy of the Log of Claims has been sent to all members. The organising committees are meeting regularly to hear reports and to ensure that our communications network is working.

05-04-05 UNIONS PRESENT EBA ISSUES - JOINT UNION BULLETIN
Impact of privatisation on conditions
Talks have been underway between the unions and Telstra management on reaching replacement enterprise agreements within the company.
Part of the process has involved the union negotiators presenting items from the bargaining agendas.
Some of the key items that need to be addressed are conditions affected by privatisation. These include the current paid maternity leave and long service leave provisions and members in the CSS super scheme.
Maternity leave
The current Commonwealth maternity leave entitlements provide for 12 weeks paid leave. State/territory private sector legislation only guarantees unpaid leave. Despite this, many companies have introduced paid maternity leave through EBAs, and the proposal is to guarantee the 12 paid weeks in the Telstra Agreements.
In 2003, Telstra signed a deed with the unions committing to incorporating the entitlement into enterprise agreements and we assume this will be adhered to, guaranteeing the paid leave.
Long service leave
The Commonwealth provision currently applying to Telstra delivers three months long service leave after 10 years. Again we are seeking to maintain this provision as the state laws, generally provide for the equivalent of two months after 10 years.
A number of companies or industries previously in Government ownership such as airports, have maintained the higher standard following full privatisation.
CSS super
Members in CSS generally made a decision many years ago to stick with the scheme as they intended a long term career in the company. The CSS scheme rewards this through the defined benefit arrangements. With full privatisation, under current rules employees of Telstra would no longer be eligible to contribute to the CSS.
The unions have proposed a two step plan.
1. A joint approach with the company to the Government and CSS trustees to vary the deed to allow existing CSS Telstra members to continue to contribute.
2. If that approach is unsuccessful, the Agreement should provide for full compensation based on the reduced level of benefit that would be available.
The negotiations are proceeding and a further series of meetings have been programmed over the coming weeks. Members will be regularly kept informed of progress. For more information or to participate in the unions' campaign, contact your relevant union.

28-03-05 TELSTRA EBA TALKS HAVE BEGUN
EBA talks are now under way and detailed negotiations are about to begin. Meetings are planned for these dates 30-31 March, 4-5 April, 11-12 April, 21-22 April. We will shortly provide you with the final log of claims, and more details of our new network of members. Our final log of claims will be sent to you shortly. We have a web page specially for the campaign. This is updated at least weekly now, and if necessary in the future, daily. See http://www.cepu.org/rdb/cres950.htm

28-03-05 AUR/CAMPAIGN CONTACTS EBA TRAINING COURSE
We have been training our Postal union representatives with a 3 day course in organising and the Postal EBA. So far we have completed 13 training courses, having trained 125 AURs, including 27 women. We are now planning training for Telecom Representatives and contacts. The courses will be held in Sydney and country. Shane, Steve and Lyle are determining which country areas are interested in training. We are looking at the first 2 weeks of May for the first training courses. We are planning a postal course in Newcastle on 17-19 May and will try to do Telecom training at the same time. Telecom training will be either one day or two evenings.

21-03-05 TELSTRA EBA TALKS HAVE BEGUN
The key Telstra unions have come together to form a single bargaining unit to commence talks with Telstra on a replacement Enterprise Bargaining Agreement (EBA). The current 6 agreements expire on June 22 and there is a requirement to commence talks 3 months prior to their expiry. Talks on a new agreement with Telstra management began on Wed March 16 in Melbourne and continue with regular meetings in April. While we will aim to finalise a new agreement prior to 22 June, if that isn't possible the existing agreements will continue in place and in force until replaced by a new agreement. With the unions working together in a single bargaining unit we have the right conditions to achieve the best possible outcomes for members in Telstra in 2005.

14-03-05 TELSTRA EBA EXPIRES ON 22 JUNE
We have established our NSW Campaign Committee to support the EBA campaign. We now have in place a clear structure with contact lines from our National Committee down to our local delegates. We are still finalising our email network between delegates. You should soon know who your contact person is, and how to keep your work area informed. We will also continue separately with our weekly email Bulletins (we do not use our weekly Bulletin to initiate industrial action etc) and a dedicated NSW web page to report developments. We also have a training program under development, and will start shortly.

07-03-05 TELSTRA EBA EXPIRES ON 22 JUNE
If we are to have a new agreement in place by the expiration of the existing EBA, then the following timeline is probably necessary. Your Ballot would need to commence about 1 June. Preparation for the ballot and printing may take 2 weeks. CEPU will need about 2 weeks to conduct internal consideration and consultation with members. So negotiations to meet this timeline would probably need to be finished by 1 May. This leaves us just under 2 months to negotiate a possible agreement. This will be a joint union negotiation. While CEPU is the dominant union in Telstra, the involvement of APESMA and CPSU in the team is essential and welcome. The key 6 person Negotiating Team will include Shane Murphy from NSW

20-02-05 THE TELSTRA EBA AND YOU
No doubt Telstra will forget about its big profits when they start EBA negotiations soon. Even though the economy is supposed to be booming, Howard and Costello still think workers must make more sacrifices. Their strategy appears to be to save their reckless election spending through lower wages. One problem they have is a shortage of skilled workers. The telecommunications industry is already suffering from a shortage of skilled workers, and no solution is in sight - except perhaps importing skills. Companies are not prepared to spend money on training, and the traditional Federal Government trainee system is all but shut down. We can see wage increases in the private sector as companies increase wages to attract skilled staff. What will Telstra offer?

13-02-05 THE TELSTRA EBA AND YOU - WE NEED YOUR HELP
Every EBA sees criticism of the CEPU communications network. This can be expected as often, some things move very fast, changing within an hour. And past leaked Telstra documents show that Telstra deliberately targets you with their message and isolates your union. We are working to establish our EBA networks, but YOU must help too. In many places we have delegates and contacts. But you can HELP. Have a local discussion and establish your contact points. Where we have delegates and contacts already, then make sure that your sub network EXISTS. Where we have no contacts or not enough contacts, then discuss the matter and give us a contact point for EBA communications. Kindly send details to me at cepu@cepu.org

06-02-05 TELSTRA EBA PREPARATIONS
A meeting of Telstra delegates in Melbourne has decided to develop a plan for negotiation of an EBA when the current one expires in may. The meeting decided to form a single bargaining unit with other unions with coverage in Telstra, CPSU and APESMA. At the top of the priorities will be maintenance of all current conditions and salary increases. Shane Murphy will lead our Branch involvement in the Negotiating committee and strategy committee.

17-01-05 EBA CAMPAIGN COSTS
We estimated that the long campaign for the very successful EBA in Australia Post would have cost CEPU up to a million dollars. Given a campaign taking 6 months or more, the wages, telephone, fax, printing, postage, fares, travel, meetings etc are all significant costs. These costs are carried of course by members. We have not apply a levy for campaigns, even for media campaigns. So when we review membership of CEPU in NSW, it is disappointing to see a few members are not united with their fellow workers to not only share the cost, but to participate in the decisions and to build our negotiating power. We repeat below an item to remember! Membership forms can be downloaded from our web site. See http://www.cepu.org/cepu105.htm



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