ANU Pay offer, revised arrangements
Discussions about the terms and conditions of appointments at ANU have been continuing with our unions - and they will continue. This note and the linked attachments are to provide you with the information presently available at this stage of the negotiations.
The context
Over the past 5 years, increases to base rates have averaged 5.6% per annum. When the cost of increments and promotion are added, the addition to the payroll has averaged more than 6% p.a.- well in excess of the average CPI increase during that period. The average adjustment to our Government derived base grants over that same period has been around 2.1 % p.a.- that means that the University absorbed the difference between the new rate in a year and the indexation for that year.
The impact of the absorption is less obvious than it might otherwise be because the revenue to the University has increased substantially each year. But, by contrast with earlier periods, almost all of that revenue is tied to particular projects - or given for particular purposes such as buildings and capital developments or project-specific research grants. These add only a little to the margin of the discretionary funds needed to support salary increases across the board.
For this bargaining period we are faced with subtly different prospects from previous years: on the one hand we know about 2009 and on the other we are faced with the enticing prospect of an 'education revolution', which might mean extra funds for 2010 and beyond. The former we can work with but to anticipate the latter and commit to the guess would be to gamble with the future.
Accordingly, we identified the sum of money that we believe we have available that would allow us to increase the total payroll in 2009 by that amount without leading to job reductions. This means, of course, that the actual cost of meeting increments and promotions has to be taken into account in this calculation.
Funding might possibly increase in 2010 after the various reviews being undertaken by the Government at present. This will not be known until mid-2009 but were it to increase we expect to be in a position to identify the extent to which this would support additional pay increases from November 2009.
In this unpredictable situation, it would not be sensible to nominate a specific percentage change in November 2009. Although the temptation is to have faith, and nominate a number, the risk is great and the consequences of a faith-based commitment that cannot be met are substantial.
The offer.
The University believes it can commit with confidence to a total increase in the payroll for 2008/09 of 4% (around $14M), including the cost of salary increments and promotions. It would also be able to provide one-off funding of around $7.5M (from prior investment outcomes) enabling the introduction of the proposed new salary increment structure.
The University has therefore proposed the following increases until the end of 2009, which is the union's preferred term for the new Agreement:
- November 2008 - 3.7% for all staff;
- An increase from November 2008 to November 2009 arising from the proposed new salary structure (see below);
- November 2009 - a further amount for all staff to be set in mid-2009 when the prospect of Government funding is clearer.
The structure.
There will be additional increases for the period November 2008 to November 2009.
The University is seeking to introduce a new salary structure with fewer increments and increased amounts for each increment. These increments would apply each two years instead of annually and will follow from formal performance review.
To introduce the new structure, all staff will receive in addition to the 3.7% increase to base salary, an increase of at least 3% in 2008/09. The increase will be a consequence either of translation to the new structure for staff in incremental bands, or a one-off payment for staff at the top of their incremental scale. Details of this new structure are being outlined to staff at College briefings sessions [and are available on the link below].
The next steps.
The University Bargaining Team is due to meet with the unions later this week and hopes to move closer to finalising the new Agreement, noting we have reached agreement on a large range of additional benefits as outlined on the EB Update website on 21 August 2008. The discussions with our unions have been very constructive. I will provide further updates on progress as the final matters are resolved in what I expect will be a similarly positive manner aimed at achieving affordable outcomes with no job cuts for ANU staff. Finally you may have read in the papers that the University of Ballarat has agreed to pay a 10.5% pay increase. While we understand that is correct, it needs to be noted that this increase is made up of a number of increases up to January 2010. In addition the rates of pay at Ballarat are presently some 4 - 13% lower than those applying at the ANU.
We are hoping for early resolution of the salary matters so that the whole package of new benefits proposed in the new Agreement can be put to staff to consider as soon as possible.
Ron Watts
Director - Human Resources
ANU pay offer- revised incremental arrangements (updated 5 September following staff feedback).
ANU Negotiates enhanced conditions for staff
Negotiations for the next ANU Enterprise Agreement have been ongoing since April 2008 and good progress is being made on changes which will benefit staff of the ANU .
To date broad agreement has been reached on a range of enhanced conditions and additional benefits that will improve the overall conditions of all staff at the ANU. These include:
- Expanded purchased leave arrangements
- Cashing out of excess annual and long service leave
- Improved flexible work arrangements
- Improved flexibility on use of the additional 6 weeks (above the 20 weeks) parental leave to assist career re-entry after parental leave
- 2 weeks� paid and 1 weeks ' unpaid partner parental leave
- Introduction of 12 months unpaid grandparent�s leave
- Clarity on academic personal and annual leave arrangements
- Improvements in arrangements for apprentices and trainees and adult apprentice rates
- Improved arrangement and benefits for all casual and sessional academic staff including:
- An increase in casual loading from 23 to 25 %
- Introduction of a 3% �experience� loading for experienced casual/sessional staff (subject to meeting criteria)
- Payment for time when sessional staff are required to attend academic meetings or other academic activities
- Better definition on what marking is included in the sessional rate
- Improved access to facilities for sessional lecturer/tutor staff
- The inclusion of an environmental sustainability clause to emphasise the commitment of the ANU and its staff to reducing our carbon footprint
- Enhance community engagement through our Indigenous employment clause
In addition, the ANU has agreed to most of the NTEU claims for the restoration of provisions within the agreement that were moved into policy under previous government workplace reforms.
Discussions are continuing on the difficult issue of pay in light of the uncertainty of government funding which will not become clear until mid next year through the government budget process. At present we will only receive a 2.1% increase in our core government funding, which needs to cover the cost of salaries and non-salary costs.
Once agreement on a pay increase has been reached, more detail on this and the other benefits will be provided to all staff through the EBA Website and information sessions will be conducted across the campus. All staff will be then asked to vote for the agreement.
