Weekly Bulletin

TECHNICAL AND SERVICES BRANCH WEEKLY BULLETIN 2023

Number 08       12 March 2023


CEPU ELECTION YEAR

All officials in CEPU are elected each 4 years and this year is our election year. Elections are conducted by the Australian Electoral Commission exclusively, so Branches cannot have any involvement. We will be asked by the AEC to publish notices in the next few weeks.

POST RESTRUCTURING

Post has explained the high level changes taking place:

    We are taking a number of immediate measures in an effort to return Australia Post to a sustainable footing as quickly as possible. As you know we have been discussing delivery model and post office reform and these measures together represent our single biggest opportunity to return to profitability in the short term. We continue to work closely with our Shareholder Departments and the CWU with increasing urgency on these matters.

    Additionally, we will also be announcing a simplified and streamlined operating structure for our support teams which aligns to our Post26 strategy. This new operating model will allow us to better meet the needs of our customers and communities, have clearer accountabilities and, importantly, will help the business respond to the financial pressures we're facing.

TELSTRA ROSTER CHANGE - FAULTS

Telstra has advised of changes - below. If you need assistance please contact us asap.

    I am writing to advise you of an initial decision to introduce changes to employees' regular roster or ordinary hours of work. This is due to the decision to transition all TCC Business Faults work to our internal workforce based in Townsville, Perth and Sydney by May 2023.

    If the proposal proceeds, we will extend the hours of operation from 0700-1900 (Mon - Sun) to 0700-2300 (Mon - Sun) AEST.

    There are currently 43 employees impacted by this proposal (there are no reductions) and we are currently consulting with employees to understand their feedback and preferences.

POST PAY REALIGNMENT

Post is implementing a change to the payroll system which will see a special pay packet during the transition. It will have only 7 days pay, not 10.

It appears that our Post Branches are OK with the proposal. Our Branch was not consulted or informed by the Postal Production Branches. (We represent technical staff in Post). The full letter dated 4 Feb to the Divisional Secretary is below.
It is being implemented progressively.

POST PAY TRANSITION

How will it work? Post say:
The transition pay fortnight will consist of:
 7 days of ordinary pay (instead of 10 days), with the remaining 3 days falling into the following fortnight's pay cycle; and
 17 days of Entitlement Pay (consisting of the 10 days from the previous fortnight, and bringing forward 7 days of Entitlement Pay into the new cycle).

So in the transition pay period, you will only be paid for 7 days pay instead of 10 days pay. There is no catch up later.
So your pay will be 3 days short.

There are two offsets
1. If you receive shift penalties/overtime: This (one of) 3 day pay cut can be offset as you will receive 3 more days of penalties in the transition pay fortnight. (17 days of penalties instead of 14 days). or work overtime on those days.
2. If you need the money to be made up, there is a loan available of $300. It is paid back over the next 3 pays at $100 per pay.

If this presents a problem for any you, please contact me.

POST ADVICE TO CEPU - 4 FEB 23

Greg Rayner, CWU Divisional Secretary
Dear Greg

Pay Cycle Realignment

Thank you for your email on 29 January 2021 regarding your queries on the pay cycle realignment as part of Project Tempus.

I appreciate that any change to the way that employees will be paid must be scrutinised thoroughly and I welcome the CEPU's role, and your questions, in ensuring that we move to a system that overall benefits employees.

As you know, Australia Post pays employees' overtime, shift penalties, and other contingent entitlements (Entitlement Pay) a fortnight behind. Similarly, when we calculate employees ordinary pay, we calculate this 4 days in advance, meaning that 4 days of an employees pay is based on assuming an employee works those days. These aspect of our current payroll system are inefficient and can lead to unexpected corrections to employees' pay after it has been paid into their account.

New Pay Cycle

The new cadence of the payroll system seeks to do the following:
1. To remedy the issues we have when we calculate pay 4 days in advance, we propose shifting the ordinary pay cycle from a Wednesday to Tuesday fortnight, to a Sunday to Saturday fortnight, and calculating employees' pay after the pay cycle ends. This means that the last 3 days of the old pay cycle will become part of the following fortnight's pay cycle;
2. However, we will also bring the Entitlement Pay forward 14 days which will be included in the new ordinary pay cycle;
3. Lastly, the day that employees get paid is not expected to change.
I have extracted the following graphic to show what we are going from and to in terms of pay cycles:

This new pay cycle and method of calculating an employees pay (with variable entitlements like overtime) fully in arears brings Australia Post in line with the standard industry payroll practice and greatly improves the accuracy of an employee's pay.

Transition Pay

In order for us to get to the new pay cycle, we must go through a fortnight of transition. This is inevitable and a transition pay is industry best practice and it is the only way to move from one pay cycle cadence to another.
The transition pay fortnight will consist of:

  • 7 days of ordinary pay (instead of 10 days), with the remaining 3 days falling into the following fortnight's pay cycle; and
  • 17 days of Entitlement Pay (consisting of the 10 days from the previous fortnight, and bringing forward 7 days of Entitlement Pay into the new cycle). Transition Pay Cycle

    While the transition pay does consist of 3 days less ordinary pay, employees will still be getting paid for every day they work, and they will also receive 7 additional days of Entitlement Pay which will be brought forward. If this is not enough for an employee to cover their usual expenses, we have already taken you though the $300 transition assistance payment (tax-free) which is repaid over the following subsequent 3 pay period at $100 a pay.

    We do however expect many employees to be in a better financial position in the transition pay period given the extra overtime, shift penalties, etc. that they will receive. For example, we have run a scenario based on employee's current roster:

    Role: Full-Time PDO	
    Current Pay
    Normal Salary	73:30 (10 days)   $1,927.71
    Entitlements 	(10 days)         $1,049.49
    TOTAL	                          $2,977.20
    Transition Pay
    Normal Salary	51.45 (07 days)	  $1,349.39
    Entitlements 	(10 days)	  $1,049.49
    Entitlements	(7 days)	  $  734.44
    TOTAL	                          $3,133.62
    
    DIFFERENCE	                  +$ 156.42

    We appreciate that not all employees will have worked a lot of overtime, or in the rare cases, have shift penalties, however this is precisely why we have set up the transition assistance payment so that employees who are concerned that their transition pay may not meet their current financial liabilities can have that extra support. If you believe that the current transition assistance arrangements do not meet these employees' needs, I would be more than happy to discuss any other alternatives that you or your stakeholders would like us to consider.

    Our feedback from employees in focus groups and through our initial training sessions on the pay cycle realignment and the transition pay has been overwhelmingly positive. Employees are excited about getting all of their pay in one instalment, and have shown a good reception to the transition assistance if they need it, with all accepting the fairness of the repayment of the $300 transition assistance. However, as we discussed in our various meetings, one size does not fit all, and we will be open and accepting of those who need additional assistance during this time.

    Greg's Questions
    While I hope the above has answered your questions, I have also provided more targeted answers below:
    1. Are three days' pay being withheld to be paid on the employee's retirement/resignation?
    No - employees will receive payment for the days that they have worked. The transition pay is a shorter pay period of seven instead of ten workdays, with the remaining 3 days falling into the following pay period. The good news story here is that the 10 days of Entitlements Pay that is usually held back a fortnight will now be paid at the same time as ordinary pay, which provides employees an additional 7 days of entitlement pay in the transition pay.
    2. Will employees be paid for everyday worked for the pre and post transition period on the next scheduled pay day?
    Yes. As stated above, no employee will be short-paid. They will be paid everything they are entitled to in the next scheduled pay.
    3. Will employee's be paid for each day worked during the transition period on the next scheduled pay day?
    Yes. Australia Post will pay what they have worked and are entitled to.
    4. Is there any day where employees will not be paid?
    No. Australia Post will pay what they have worked and are entitled to, however 3 days from one pay cycle will fall into the following pay cycle.
    I hope this provides some clarity about these arrangements, however if you would still like to discuss these matters further, please contact me or Tom Dixon, Senior ER Partner.
    Yours sincerely, Project Delivery Manager


    CONTACT US IN NSW
  • 0428 942 878 dan.dwyer@cwunion.net Dan Dwyer
          Secretary/Lawyer - industrial matters & advice
  • 0447 365 433 reception@cwunion.net Administrative
          eg payments, applications, change of details
  • Home Page
  • CONTACT US IN VIC
  • 0439 762 455 SRiley@cwu.asn.au Sue Riley
          Secretary - industrial matters & advice
  • 03 9663 6815 cdtsvic@cwu.asn.au Administrative
          eg payments, applications, change of details
  • Home Page
  • Authorised by Dan Dwyer NSW Secretary, Sue Riley Vic Secretary - CWU Telecommunications & Services Branches.

  • NSW Branch

    VIC Branch


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    2023
    Bulletin 09
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    Bulletin 07
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    Bulletin 05
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    2022
    Bulletin 43
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