Equal Remuneration Project

Project Overview Fact SheetIntroductionThis overview provides an outline of the collaborative project between the Tasmanian Government and the Community Sector around the Fair Work Australia decision to significantly improve pay and conditions for Social and Community Services workers employed under the Modern Award MA000100 – Social, Community, Home Care and Disability Services Industry Award 2010.

It is important to confirm that this project is about implementing the Equal Remuneration Order (ERO) resulting from the Fair Pay Case. The required translation of positions and their classifications to the Modern Award, which must be in place by 1 July, should be well underway in all those sector organisations covered by the Award.This is an exciting time for the community sector, as Fair Work Australia acknowledges the importance of the work you do and the inequality of your current wages. It does come with areas of uncertainty. In a difficult economic climate how does the community sector fund the wage increases?Government commitmentThe Tasmanian Government is aware that current service levels cannot be maintained by the community sector

unless some financial assistance towards these pay increases is provided.The Commonwealth Government has committed to fully fund increases to their funded services. They will also provide States and Territories with increases to National Agreement funding.Since Commonwealth Government funding is only around 25% of all grant funding managed by the Tasmanian Government, the State will need to fund the majority of the required funding increases. In the 2012-13 State Budget, Treasury has allocated an additional $3 million towards the cost of the ERO in Tasmania, increasing to $12 million in 2015-16.What are we doing?The Department of Health and Human Services (DHHS) wants to ensure that the additional funding is allocated to community sector organisations in the most equitable manner possible.To achieve this, we have set up the Equal Remuneration Implementation Project. It is a joint project that is led by DHHS staff, with community sector representatives.This project is being driven by DHHS, but it is also considering grant funding from other Tasmanian Government

28 June 2012

departments, including Premier and Cabinet and Education.The project activities will consist of: Community Sector Salary Census –

including questions about salary and staff information at a program level and some general questions.

Analysis and benchmarking – DHHS staff will analyse the data and group organisations based on size and service. This phase will identify organisations that may need to go through an audit process, to clarify the responses supplied in the Salary Census.

Development of recommendations – once the impact is understood, recommendations on allocation methods will be made to the Minister for Human Services. Note that this is when consideration will be given to above award payments.

Why are we doing this?We have committed a number of resources to this project as we believe it is essential to understand the financial impact of the ERO on the community sector. This can only be known by getting a clear picture of the financial impact on each organisation.With this information, the government can make decisions about the funding required, and how to allocate the money we have. It is important that we have an equitable way to distribute

the additional funding that Treasury is providing.What are the roles and responsibilities?Government cannot do this project alone. We are relying on your support in this important work. We all have specific responsibilities in this process.Organisations are responsible for: Translating staff to the Modern

Award by 1 July Completing the Community Sector

Salary Census 2012 in a timely and accurate manner

Providing additional information, as requested

Assisting DHHS staff in an audit, if required

Promptly signing the agreement documents

Keeping their staff up to date on the process and outcome of the project.

The Agency is responsible for: Providing organisations with

support and assistance to gather the information we need

Developing a transparent and equitable process for allocating funding increases

Providing advice to the Minister for Human Services on the funding increases required and the preferred allocation method

Providing other Government Agencies with information about the organisations they fund

Providing the agreed increases to the DHHS funded community sector organisations for a 1 December 2012 start date.

Representatives and contactsThere are two groups that have been set up to run the project. The members are:Steering Committee

Mercia Bresnehan – Deputy Secretary, Disability, Housing and Community Services

Penny Egan – Health and Human Services

Jane Fitton – Health and Human Services

Jo White – Health and Human Services

Phil Baker – Public Sector Management Office

David Clements – National Disability Services

Pattie Chugg – Shelter Tasmania John Hooper – Tasmanian

Association of Community Houses Tony Reidy – TasCOSS Jann Smith – Alcohol, Tobacco and

other Drugs Council TasmaniaWorking Group

Kylie Dunn – DHHS Project Manager

Shane Bond – Health and Human Services

Annie Curtis – Health and Human Services

Mark Pitt – Health and Human Services

Todd Sales – Health and Human Services Mandy Clarke – Anglicare

Jane Jeppson – COTA Tasmania Tim Gourlay/Georgina McLagan –

Centacare Lynne Maher – Alcohol, Tobacco

and other Drugs Council Tas. Dale Rahmanovic – TasCOSS John Stubley – Optia Inc./Shelter

TasmaniaPhone numbers for Peak bodies

Aged and Community Services Tasmania 6231 3100Alcohol, Tobacco & other Drugs Council

6224 7780Council on the Ageing – COTA (TAS)

6231 3265Mental Health Council of Tasmania

6224 9222Multicultural Council of Tasmania 6231 5067National Disability Service 6223 6086Shelter Tasmania 6224 5488TasCOSS 6231 0755Tas. Association of Community Houses

6228 6515Volunteering Tas 6231 5550Youth Network of Tasmania 6223 5511

Do you have questions about the project?1. If you are an organisation

representative:a.Check out the DHHS internet for

current information about the project [About Us > Doing Business with Us > Equal Remuneration Implementation Project].

b.Talk to a Contract Manager in the Tasmanian Government agency that funds you.

c. Contact your Peak Body (see list above).

d.Contact the Project Manager by email dhcs@dhhs.tas.gov.au or phone 6233 4054.

2. If you are an employee, please talk with your employer about the project and check the DHHS internet page above for up to date information.

More information about the OrderThe Equal Remuneration Order (ERO) is available from the Fair Work Australia website (www.fwa.gov.au).If you would like to know more about the Order and how it will apply to your organisation please contact your Peak Body in the first instance, or an industrial relations advisor.There is a possibility that TasCOSS and NDS will hold another series of information sessions with Jobs Australia later in the year. If you would be interested in attending an information session about the impact of the ERO on the Modern Award, please contact TasCOSS to express your interest.

Equal Remuneration Implementation Project

What is it? A project to assist the Tasmanian Government in understanding the impact of Fair Work Australia’s Equal Remuneration Order for Social and Community Services (SACS) employees.What will it do? The project will assist us in developing a transparent and equitable process for allocating the additional funding that Treasury has made available.What will actually be happening? Below is a very brief summary of the major tasks of the project and a general timeline.

June 2012 Project launch and setup of committees Development of the Salary Census

July Testing of the Salary Census by a small group of community sector organisations

Launch of the Community Sector Salary Census 2012 Information briefing sessions about completing the Salary Census

August Community sector organisations complete and submit the Salary Census

DHHS will benchmark and analyse the data DHHS will audit organisations as required

September Working Group will develop options for allocating increases – this is when above award increases will be considered

Steering Committee will develop recommendations for the Minister for Human Services and Treasurer

October Minister for Human Services and Treasurer decide on recommendations

DHHS funded Organisations will receive advice on their funding increases

Other Government agencies receive lists of their funded organisation increases

November Community Sector Grants Management unit will complete mechanism to allocate funding increases

Funding increases will be provided to DHHS funded Organisations Other Government agencies complete their internal process

regarding increasesDecember 1 December 2012 – first Equal Remuneration Order pay increase

Where do I get more information? Check out the DHHS Internet for further details and advice on the project www.dhhs.tas.gov.au [About Us > Doing Business with Us > Equal Remuneration Implementation Project].