Post offices Industrial relations

From 1 January 2010, several changes to Australia’s workplace laws come into effect.  These changes will affect many Licensees who employ staff in their business. The changes include the introduction of new National Employment Standards and many State employers moving into the national system.

National Employment Standards

The Fair Work Act introduced a set of ten minimum workplace standards known as the National Employment Standards.  These standards apply to all employers and employees in the national workplace relations system.

Fair Work Information Statement

Employers must now provide any new employees with a copy of the Fair Work Information Statement as soon as possible after they commence employment.  (This is one of the ten National Employment Standards.)

The Fair Work Information Statement summarises the National Employment Standards and contains other information regarding termination of employment, freedom of association, transfer of business and other matters.

The Fair Work Information Statement can be posted, emailed, faxed or given personally to the new employee.

What award should I use to pay my staff?

Many LPOs will now be covered by the federal Postal Services Industry Award.  To determine which Award applies to your business, visit Fair Work Online or phone the Fair Work Infoline on 13 13 94.

Wording of the Postal Services Industry Award (AW830245) can be downloaded from the Fair Work Australia website.

Licensees are strongly urged to contact Fair Work Australia to determine which Award applies to their business.

Award Modernisation

In 2008, the Minister for Employment, the Hon Julia Gillard, directed the Australian Industrial Relations Commission (AIRC) to review and rationalise awards.  The Postal Services Industry Award was one of the awards to be modernised.

As part of this rationalisation, it was deemed that casual loading for many awards (including the Postal Services Industry Award) be standardised at 25%, an increase from the current 20% under the Award.  At the AIRC hearing in March 2009, POAAL argued against an increase in casual loading, noting that small businesses in the postal industry are unable to increase the cost of postage products to compensate for an increase in staffing costs.  Licensees sell postal products and services which have fixed prices, controlled by Australia Post.

In order for base domestic postage to increase Australia Post must apply to the ACCC and any such application undergoes a rigorous and public examination in order for the increase to be granted. Australia Post does not take into account the wages of licensed post offices when deciding whether or not to apply for an increase in the base postage rate.

The Award has since been deemed to be an Enterprise Award and has not yet been subject to modernisation.  Licensees will be kept informed of any further developments.

History of the Postal Services Industry Award

In 2002, several hundred Licensees across Australia received an ambit log of claims from the CEPU. The union wanted a minimum rates award for LPO staff.  Most of the logged Licensees authorised POAAL to represent them in these discussions.

The first hearing was held at the AIRC on 9 July 2002. POAAL strongly rejected the claim. A dispute was found.

There was a supplementary hearing at the AIRC on 19 September 2002, adding LPOs to the log of claim.

On 12 May 2003 POAAL, representing the vast majority of Licensees logged by the CEPU, appeared in the Australian Industrial Relations Commission to continue discussions with regard to the creation of a minimum rates Postal Industry Award.

POAAL outlined its points of disagreement with the draft award supplied by the CEPU. The parties entered into conciliation, and Senior Deputy President Kaufman assisted with discussions. Both POAAL and the CEPU considered a number of issues in the light of discussions in the AIRC.

The Draft Award was reviewed and revised by the Award Simplification Unit of the Commission. The Award Simplification Unit brought several matters to the attention of the interested parties and discussions took place and it was resolved in November 2003. It was a long and involved process with POAAL representing the vast majority of logged Licensees with a determination that a just and fair Minimum Rates Award would be established.

In 2004 the CEPU applied to vary the Award with respect to the Safety Net Adjustment. The CEPU also made application to vary the Award to reflect the recent full-bench AIRC decision relating to redundancy. This second application involved changes to the redundancy, termination and dispute resolution clauses. The redundancy provisions related only to LPOs where there were more than fifteen employees.

At the AIRC hearing POAAL sought to make amendments to the Award to aid Licensees in interpreting the Award, however Senior Deputy President Kaufmann refused on the basis that it would be going against decisions made by the full bench of the AIRC. The CEPU, however, made an undertaking to POAAL to assist POAAL to inform Licensees of the new redundancy provisions.

The wage increases took effect from the first pay period in August 2004.

In December 2004, POAAL appeared in the Australian Industrial Relations Commission on behalf of all Victorian Licensees. The CEPU applied to the AIRC to make the Postal Services Industry Award common rule for all eligible LPOs in Victoria. This meant that all Victorian LPOs where postal business is the dominant business were to be obliged to pay under the Award. The exceptions were LPOs where AWAs are in place, or where the postal business is not the dominant business. The CEPU wanted coverage to commence from 1 January 2005, however the Commissioner agreed with POAAL’s argument for a delay and the common rule coverage commenced from 1 February 2005.

Resources

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Complete an expression of interest now for POAAL membership.

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