TELECOM REDUNDANCY AGREEMENT
NOTE THIS AGREEMENT WAS REPLACED BY A NEW AGREEMENT ON 27 APR 93 PRINT K7494
Telecom and CWU have registered an agreement in the IRC relating
to redundancy. The agreement came into force on 31 January 1992.
The agreement expires on 31 January 1995.
However s148 of the (old) IR Act provides that when the agreement
expires, it will nevertheless remain in force until a new
agreement is registered.
The agreement is reproduced in full. An often asked question:
Am I redundant? Redundancy is a question of fact. Has your job
gone? Has your job gone at that location? If yes then you are
redundant. The definition in the award extends the usual meaning
of the word "redundant". If you are redundant, then you face
redeployment, relocation or the package.
If you are redundant, Telecom must offer you the package if they
cannot provide suitable redeployment or relocation.
1.1 This agreement has been negotiated between Telecom and
ATEA/ATPOA, APTU and PSU acting as a single bargaining unit on
behalf of award based members of all Telecom unions, and will
apply to all such persons from 31 January, 1992.
1.2 In negotiating this agreement the parties have sought to
achieve :-
1.3 Having regard to the impact of deregulation and competition,
Telecom is committed to the appropriate and ongoing redesign and
restructure of the organisation including the introduction of
better and streamlined work practices, typical examples of which
are contained in MEMO/CEMO, together with providing excellent
customer service and the securing of the maximum number of
viable, long term jobs for Telecom employees.
1.4 The arrangements set out in this agreement provide for
voluntary retrenchment in all circumstances other than where an
employee refuses redeployment, retraining, relocation or transfer
to another position, or, where after a comprehensive three month
examination an alternative placement has not been able to be
found. Both the unions and Telecom management believe that a
co-operative and proper application of this agreement will
maintain the essential skills and expertise necessary to maintain
Telecom's leading position in the Telecommunications industry.
1.5 Nothing in this agreement shall be taken to infer that the
unions have given up any rights in respect of
consultation/negotiation concerning staffing and staffing
structures. Accordingly, it is agreed between the parties that
all existing staffing agreements shall continue to be adhered to.
1.6 Where either party believes that it is necessary to make
changes to such agreements, for whatever reason, expeditious
consultation/negotiation will occur directly between Telecom and
the relevant union/unions.
2.1 Redundancies may arise in a number of circumstances, including
where:-
2.2 Accordingly, a potential redundancy situation will be deemed
to exist where the operational requirements of Telecom for
employees to carry out work of a particular kind have ceased or
significantly diminished and Telecom has determined that the
function being undertaken by an employee will no longer be
undertaken within Telecom or at that location within Telecom.
3.1 While this agreement provides avenues by which employees may
be selected for voluntary retrenchment or elect to be voluntarily
retrenched, it is noted that there is no automatic right to
voluntary retrenchment.
3.2 Telecom specifically reserves the right to reject applications
for voluntary retrenchment having regard to its overall staffing
requirements and the need to retain necessary, key skills and
expertise, for the ongoing viability of the organisation.
4.1 Where clearly identified individual positions (including all
positions in a single class of positions at a single location)
become surplus to Telecom's requirements, persons occupying such
positions may be invited to elect to be retrenched in accordance
with the following procedures :
4.2 Telecom will simultaneously advise the State Branch of the
appropriate union and the occupant of the position that the
position/s is excess to requirements. This advice will be
provided through Forms A and B - (Attachment 1). One copy of
Form B shall be provided in relation to each surplus position.
4.3 All relevant information is to be provided to the union and
will include classification, location and details of the employee
and, where consequential changes in the staffing structure are
proposed, the number and classification of employees in that part
of Telecom, the number and classification of employees expected
to be required for the performance of any continuing function in
the part of Telecom affected and details of the employees likely
to be affected.
4.4 If they are required, discussions with the union will conclude
within two weeks of the provision of advice in Forms A and B but
may, with Telecom's agreement, be extended on a case by case
basis.
4.5 In addition to the matters identified in sub-clause 4.3
discussions with the relevant union shall include the background
to the excess staffing situation, the measures, if any, which
could reduce the incidence of employees becoming excess to
requirements and any planned recruitment.
4.6 If the union confirms that there is no need for discussion,
Telecom may immediately proceed to advise the employee that
he/she may elect to be voluntarily retrenched with provision for
a one week cooling off period from the date of advice.
Retrenchment occurs at the conclusion of the formal notice period
(four weeks) or some earlier date by agreement.
4.7 Where the outcome of consultation with the union is confirm-
ation that the position is surplus to requirements, the occupant
will be advised and redeployment, relocation, retraining and ret-
renchment preferences will be canvassed and Telecom may immediat-
ely advise the employee that he/she may elect to be voluntarily
retrenched with provision for a one week cooling off period from
the date of that advice. Retrenchment occurs at the conclusion
of the formal notice period, or some earlier date by agreement.
4.8 Where relocation, redeployment and/or retraining is the
occupant's preference, Telecom will take all available steps to
secure such an outcome. The measures to find a suitable position
will include full discussions with the individual on all available
options across the whole Telecom organisation. The union will be
involved in those discussions except where the individual indicates
that this is not necessary - such involvement should not delay the
process. Where there is a vacancy which would permit the redeployment,
relocation, retraining of an employee excess to requirements, and
more than one employee makes application for the vacancy; the
redeployee (or most efficient redeployee) will be selected unless
he/she is assessed as not competent for the job.
4.9 After a one month investigation of all available options, or
sooner if agreed, Telecom may initiate a redeployment/relocation
of an employee to another position/location, the function of
which the employee is reasonably capable of undertaking after
receipt of necessary training and experience.
4.10 Where the redeployment is to a lower position, full salary
maintenance will apply for 2 years on the basis of ongoing
management action to place redeployees, over time, at their
nominal level and their acceptance of such placement. An
individual review will proceed in relation to redeployees
receiving salary maintenance for more than 2 years. No
redeployee however will have his/her salary maintenance ceased
unless he/she has refused a reasonable opportunity for placement
at their nominal level.
4.11 For the purposes of this agreement salary maintenance will
include normal incremental advancement through the salary range
of the position and future wage adjustments for the position the
employee was occupying immediately before the position was
declared surplus to requirements. Maintenance of higher duties
for redeployees will be paid in accordance with the following-
(ii) Where, at the date of redeployment, the redeployee is
employed on long term higher duties the higher duties payment is
to continue as income maintenance for 6 months. Except that
where an employee has accrued a minimum of 12 months higher
duties service in the previous 14 months, higher duties payment
is to continue as income maintenance for a period equal to half
the length of higher duties service in the preceding 2 years.
4.12 Relocations involving a change in domicile are to be avoided
wherever possible. Such offers of relocation are not to be made
with the objective of having an employee refuse an alternative
placement. Where however the only available change in position
involves relocation, and the new work location is of such a
distance from the employee's residence as to necessitate a change
of domicile, standard relocation arrangements will apply. Where
an employee does not wish to change domicile and there is no
foreseeable prospect of alternate employment in the local area
Telecom will in consultation with the employee concerned, agree
to retrench the employee.
5.1 Where an employee refuses a management initiated
redeployment/relocation decision made in accordance with Sub-
clause 4.8 the employee may be involuntarily retrenched after a
period of two weeks from the advice of the management initiated
transfer/relocation.
5.2 Where it has not been possible to identify a suitable
redeployment/relocation after a three month investigation and no
prospect of such a redeployment/relocation is identifiable the
employee may be involuntarily retrenched after a period of two
weeks following advice to the employee and concurrent advice to
the relevant union. Payment of four weeks wages will be made in
lieu of notice plus the other redundancy payment provided for in
this agreement.
5.3A retrenchment under clause 5.2 can only be effected where the
National Human Resources Manager of the Division/SRU concerned,
certifies -
5.4 While all actions to identify suitable redeployment/relocation
opportunities and to alternatively place excess employees may be
activated at the commencement of this agreement there shall be no
involuntary retrenchment under clauses 5.2 and 5.3 before 31
January 1993.
5.5 Where but for Telecoms refusal to accept an application for
voluntary retrenchment for another employee engaged in the same
work, at the same level and in the same location, the excess
employee could have been placed, the excess employee will not be
involuntarily retrenched.
5.6 Without in any way limiting any rights under the Australian
Industrial Relations Act an employee affected by a decision that
he/she be involuntarily retrenched will be informed that he/she
has a right to have the decision reviewed by a Review Board
subject to such application being made within a two week period
from the date of notification of the decision.
5.7 A Review Board will exercise its power having regard to the
principles of natural justice, and be constituted of :-
5.8 Where an employee seeks review of a decision that they be
involuntarily retrenched the Review Board will expeditiously hear
the matter and recommend confirmation, or, if it finds that the
management certifications have been inappropriately made,
revocation of the decision.
5.9 An involuntary retrenchment will be stayed pending the outcome
of Review Board considerations.
6.1 Where a number of positions within a class/classes of
positions are identified as being surplus to requirements,
persons occupying such positions may be invited to elect to be
retrenched in accordance with the following procedures.
6.2 Telecom will advise the State Branch of the appropriate union
that a number of positions are excess to requirements. This
advice will be provided through Form A - (Attachment 1) and a
general advice of excess positions will be provided to staff in
the class/classes of positions at the location/s concerned.
6.4 Discussion with the appropriate union shall conclude within
three weeks of advice on Form A but, with Telecom's agreement,
may be extended depending on the numbers of positions and
complexity of the issues to be addressed.
6.5 In addition to the matters identified in sub-clause 6.3 the
discussion with the relevant union shall include the background
to the excess staffing situation, the measures, if any, which
could reduce the incidence of employees becoming excess to
requirements and any planned recruitment.
6.6 Where the outcome of consultation with the union is
confirmation that a position, or a number of positions, are
surplus to requirements, employees in the affected areas will be
advised accordingly and redeployment, retraining, relocation and
retrenchment preferences will be canvassed.
6.7 The identification of employees who are potentially excess to
requirements will ensure that all affected employees within the
class/classes of positions are offered an opportunity to
volunteer for retrenchment.
6.8 Within the specifically reserved right of Telecom to refuse
any application for voluntary retrenchment, the ranking of
volunteers will give priority to staff with the longest period of
service. Ranking however should also have regard to age, job
skills, the practicability of redeployment, relocation,
retraining and personal circumstances on an individual basis.
6.9 Where, as a result of the above consultation the number of
employees willing to accept voluntary retrenchment matches, or
exceeds the number of positions excess to requirements, after a
one week cooling off period and the issue of formal notices,
voluntary retrenchment elections, to the requisite number, will
take effect at the conclusion of the formal notice period or,
intermediate point by agreement. Notwithstanding the conclusion
of retrenchment actions, the consultative processes in respect of
any consequential changes in staffing structures and the
performance of any continuing function in that part of Telecom
affected by the retrenchment/s shall be finalised.
6.10 Where there are more positions excess to requirements than
employees who are willing to accept, or elect, voluntary
retrenchment, the relocation, redeployment and/or retraining
measures in accordance with Clause 4 will apply. Involuntary
retrenchment will only apply where these processes do not result
in a relocation or redeployment, and in accordance with the
circumstances set out in Section 5.
7.1 Telecom will support to Government a case for departure from
the Australian Government Employment retrenchment benefit
standard (RAGE) to a new Telecom benefit framework on the basis
that -
7.2 The proposed benefit framework, subject to Government
approval, is -
7.3 For the purpose of calculating any payment under sub-clause
7.2:
8.1 On termination, employees will be paid all untaken annual
leave in credit plus any accrued pro-rata annual leave,
calculated from their last anniversary date to the date of
termination. Both the untaken annual leave and pro-rata annual
leave will attract the seventeen and one half per cent Annual
Leave Loading.
8.2 While normally employees are not entitled to pro-rata Long
Service Leave until they have accrued ten years continuous
service, employees retrenched under this agreement shall on
termination receive payment for an amount equivalent to pro-rata
Long Service Leave after one year's continuous service.
8.3Employees who have attained ten years continuous service will
be paid their accrued Long Service Leave balance, plus pro-rata
Long Service Leave entitlement for each completed month of
service from their last long service leave anniversary date.
Where, in accordance with the consultation processes provided in
this agreement, an employee, excess to requirements, moves
household to a new locality to take up a redeployment/relocation
opportunity, the employee will be entitled to all reasonable
expenses associated with that move on the same basis which would
apply if the employee were being transferred.
The formal notice period provided under the arrangements will be
extended by any periods of certificated sick leave taken during
such period.
Nothing in this agreement can be used to circumvent existing
Telecom staff mobility agreements or to prevent the reduction in
classification of an employee or the retirement of an employee as
a result of action under discipline, invalidity, inefficiency or
loss of essential qualification provisions.
All standard superannuation entitlements will apply to employees
retrenched under these arrangements.
Any employee with a right of return to employment in the APS must
formally relinquish that right before being retrenched in
accordance with this agreement.
For the purposes of this Agreement "continuous service" includes
service with other Commonwealth employing authorities, or service
with the Defence forces which is recognised for long service
leave purposes by Telecom provided that :
At the date of application of this Agreement the Telecom
Redundancy Award and the RAGE guidelines will cease to have
application except that in any situation where either would
deliver a greater retrenchment benefit than provided for in this
Agreement, that benefit be payable.
FORM A SITUATIONS OF POTENTIAL REDUNDANCY: position
TELECOM REDUNDANCY AGREEMENT
STATUS: Full Text but see note
REDUNDANCY AGREEMENT INDEX
(i) A process within which job security can be maintained for as
many Telecom employees as possible and within which redundancies
which are necessary will be voluntary as far as is practicable.
(ii) The provision of fair compensation for employees who leave
Telecom through redundancy.
(iii) A proper process for the consideration of alternative
employment opportunities for excess employees whose genuine
desire is for alternative employment within Telecom.
(iv) Involuntary redundancy from Telecom only where there is no
reasonable alternative employment available for those whose jobs
are no longer required.
(i) the number of staff exceeds that required for the
efficient and economical operation of the enterprise or parts of
the enterprise;
(ii) staff cannot be used effectively because of
technological or other changes in work methods, or changes in the
nature, extent or organisation of the functions of Telecom, or
(iii) a necessary geographic relocation of the function
performed by an employee occurs and the employee is not willing
to relocate to the new locality.
3.ENTITLEMENT TO VOLUNTARY RETRENCHMENT
4.IDENTIFIED EXCESS INDIVIDUAL POSITIONS
Where an employee, other than an employee identified for
redeployment, is prepared to accept management initiated
retrenchment Telecom shall retrench that employee to allow
redeployment of an employee identified for redeployment,
retraining and relocation. This will occur within the
restrictions outlined in paragraph 3.2 above. In addition to
established redeployment and relocation mechanisms, which will be
automatically activated, the employee will be afforded
opportunities to personally investigate employment options inside
Telecom and, where approved by management, outside of Telecom.
If requested, personal development training will be made
available to the individual to assist in this process.
(i) Where, at date of redeployment, the redeployee is employed on
short term higher duties (i.e. up to 6 months) the higher duties
payment is to continue as income maintenance for the previously
authorised higher duties period.
(i) that a minimum 3 month investigation of suitable
redeployment/relocation opportunities has proceeded across all
designation categories of the Corporation; and
(ii) that such investigation has failed to identify a suitable
opportunity, including through the voluntary retrenchment of
another employee and Telecom has concluded that the individual is
not capable of being redeployed, relocated or retrained to any
other position in the Corporation.
(i) a Chairperson being a person who performs the function of a
Chairperson Promotion Appeal Board;
(ii) an employee nominated by the Corporation for the purpose of
the appeal; and
(iii)an employee nominated by the appropriate staff organisation
prescribed under Clause 36 of the General Conditions of
Employment Award. 6. MULTIPLE EXCESS POSITIONS WITHIN A CLASS/
CLASSES OF POSITIONS AT ONE OR MORE LOCATIONS
6.3 All relevant information is to be provided to the union and
shall include number, classification, location and details of the
employees and where consequential changes in the staffing
structure are proposed, the number and classification in that
part of Telecom, the number and classification of employees
expected to be required for the performance of any continuing
function in the part of Telecom affected and details of the
employees likely to be affected.
(i) a comprehensive process for handling situations of redundancy
in Telecom in the future is essential to achieving a restructur-
ing of the telecommunications industry and to union acceptance of
that restructuring, and
(ii) Telecom unions agree to all other elements of this proposal
and
(iii) Telecom unions and the ACTU give a firm commitment not to
seek flow of the arrangements elsewhere.
(i) four weeks pay for each completed year of continuous service
up to five years;
(ii)three weeks pay for each completed year of continuous service
thereafter, plus a pro-rata payment for each completed month of
continuous service since the last completed year of continuous
service.
(iii)* for employees over fifty years of age, four weeks pay for
each year of service beyond fifty years of age including pro-rata
adjustment for each completed month of continuous service since
the last completed year of continuous service.
(iv) the minimum sum payable under these arrangements, including
any payment in lieu of notice (four weeks), to be eight weeks
salary and the maximum to be eighty-four weeks salary.
(v) the sum payable to an employee under these arrangements not to
exceed the sum of salary that would be payable were the employee
to continue in employment until the maximum retiring age.
(i) where an employee has been acting in a higher position for a
continuous period of at least twelve months immediately preceding
the date on which the employee receives notice of retrenchment
the salary level shall be the employees' salary in such higher
position at that date;
(ii) where an employee has, during fifty per cent or more of pay
periods in the twelve months immediately preceding the date on
which the employee receives notice of retrenchment been paid an
allowance for shift work, the weekly average (calculated over a
year) amount of shift allowance received during the twelve months
period shall be counted as part of "weekly salary";
(iii) other allowances, being allowances in the nature of salary,
may be included with the approval of Telecom.
7.4 Telecom unions will only be bound by this agreement if the
"new Telecom benefit framework" as defined above is realised.8.ANNUAL LEAVE AND LONG SERVICE LEAVE
9.VOLUNTARY MOVEMENT OF HOUSEHOLD
11.AGREEMENT NOT TO PREVENT OTHER ACTION
(i) there has been no break in the successive periods of service,
and
(ii) service with a former employer was not terminated because of
retrenchment; retirement on the grounds of invalidity,
inefficiency or loss of essential qualification, forfeiture of
office, dismissal on disciplinary grounds; termination of
probationary appointment because of unsatisfactory service; or
voluntary retirement at or above the minimum retiring age
applicable to the employee. Receipt of retirement superannua-
tion benefits is a conclusive indication of age retirement.
15.CESSATION OF RAGE PROVISIONS
FORM B SITUATIONS OF POTENTIAL REDUNDANCY: personal
[FORMS NOT INCLUDED]
UPDATED TO: Text needs checking for final amendments
COMMENTS:
NOTES: Where salaries and allowances are set out in an
Award, these are usually out of date as enterprise
Agreements supercede the Award rates. These can be
found in the Database under Salaries.
Editors comments are in brackets [comment]
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