Industrial Relations Commission of New South Wales CITATION: State Transit Authority Division of the Government Service Bus Operations Enterprise (State) Award 2007 [2007] NSWIRComm 283 PARTIES: State Transit Authority Division of the Government Service Australian Rail, Tram and Bus Union FILE NUMBER(S): IRC 2070 of 2007 CORAM: Grayson DP Application for new award - Major government trading enterprise - First such award of State Commission - Rescission/termination of seven predecessor awards/ agreements originally made in Federal Commission and created in mirror image by State public sector legislation - Annual increases in wages and allowances - Enhanced income protection, improved maternity and adoption leave benefits - Increased carer's leave - Employee related cost offsets CATCHWORDS: Application granted - New award made replacing one existing award and six enterprise agreements - Existing award rescinded and agreements terminated LEGISLATION CITED: Industrial Relations Act 1996 Public Sector Employment and Management Act 2002 HEARING DATES: 16 November 2007 EXTEMPORE JUDGMENT DATE: 16 November 2007 Ms E Allen State Transit Authority Division of the Government Service LEGAL REPRESENTATIVES: Ms A Bryce Australian Rail, Tram and Bus Union JUDGMENT: - 3 - INDUSTRIAL RELATIONS COMMISSION OF NEW SOUTH WALES CORAM: Grayson DP 16 November 2007 Matter No IRC 207 of 2007 STATE TRANSIT AUTHORITY DIVISION OF THE GOVERNMENT SERVICE BUS OPERATIONS ENTERPRISE (STATE) AWARD 2007 Application by State Transit Authority Division of the Government Service for new award EX TEMPORE DECISION [2007] NSWIRComm 283 1 The Commission is asked to make a new award entitled the State Transit Authority Division of the Government Service Bus Operations Enterprise (State) Award 2007. The application, which is formally made by the State Transit Authority Division of the Government Service for whom Ms Allen today appears, is supported by the Australian Rail, Tram and Bus Union, New South Wales, for whom Ms Bryce appears, represents in my opinion something of a milestone in the industrial affairs of this major Government enterprise. It is or will be, I am advised, the first award made by the New South Wales Industrial Relations Commission and it will replace no less than seven industrial instruments which are set out in the material before the Commission. Those instruments have been created pursuant to schedule 4, part 4, sections 19(3) and 19(4) of the Public Sector Employment and Management Act 2002 (NSW) in mirror image of their Federal counterparts. 2 Further, the application before the Commission represents the culmination of arduous and protracted negotiations between the bargaining parties which began in April 2007; which traversed the nominal expiry date of the existing arrangements in June 2007 and which ended in late October 2007 following endorsement of the final wages offer in a secret membership ballot conducted by the ARTBU. Those negotiations, it may be observed, were progressed against a background not only of enterprise dynamics involving outbreaks of industrial tension from time to time, but also a background of arguably the most highly prescriptive Government public sector wages policy on record. In such circumstances it is to the credit of the bargaining parties that this impressive outcome has been achieved with approval at the highest level of Government, namely the Budget Committee of Cabinet, in satisfaction of its formal wages policy. The parties are to be commended on this achievement and I do so accordingly. 3 In that regard it is to be noted that the wages outcome of two annual increases of 4 per cent over the life of the award is in addition to improvements in maternity and adoption leave benefits, increased carer's leave and enhanced income protection and, equally importantly, those wages increases and improved benefits have been achieved in return for a number of employee related cost offsets or savings initiatives, as they are described, to which the State Transit Authority workforce, numbering some 3,500 employees, will be collectively bound. Having regard to the material before this Commission, and to the helpful submissions from the bar table, I am comfortably satisfied that the award, if made, would comply with the requirements of the Act, would be in conformity with the Commission's wage fixing principles and would in all the circumstances represent a desirable industrial outcome. I therefore make the State Transit Authority Division of Government Service Bus Operations Enterprise (State) Award 2007 in accordance with the document marked as Exhibit 1 in the proceedings. I note in so doing that whilst the wages and allowances tables attached to the award now made express those rates to apply from 12 June 2007, that as required by the statute (s 15(3)) the award may be made to apply no earlier than the date upon which the application was filed, namely the 14th of November 2007. The Award will therefore apply from the 14th of November 2007 and will expire according to its terms on the 11th of June 2009. Again, I note that the employer and the Union have agreed that the relevant rates of pay and allowances will be applied administratively from the 12th of June 2007. Further, I declare the award to be a reviewed award for the purpose of section 19 of the Act. 4 In conclusion I note that the parties intend upon the making of the new award, that the seven industrial instruments it replaces, be either rescinded under s 17(3)(a) of the Industrial Relations Act 1996 or terminated under s 44(2) of that Act, whichever provision is applicable to the particular instrument. I therefore order that the State Transit Authority of New South Wales Bus Traffic Employees' Award 2002 be rescinded forthwith and I remit the jointly executed written notice of approval to terminate the six named enterprise agreements, to the Industrial Registrar thus giving legal effect under s 44(5) of the Act to the joint wish of the parties in that regard. 5 These proceedings are concluded accordingly. 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