© The Association of Independent Schools of NSW National Award Modernisation Taskforce Michael Carr – AIS NSW Brisbane: 25 November 2008

© The Association of Independent Schools of NSW Overview  AIRC to modernise federal awards and relevant NAPSAs by 31 December 2009 Exception: enterprise awards (e.g. awards for government schools)  Modern awards will be national in coverage  Modern awards will be “primarily along industry lines”, where possible Exception: some occupationally based awards (e.g. private sector clerical occupations)

© The Association of Independent Schools of NSW Federal Jurisdiction Context New Workplace Relations System  10 National Employment Standards for all employees (NES) in the federal jurisdiction  Modernised Federal Awards which complements the NES  An enterprise-level collective bargaining system focused on promoting productivity  Unfair dismissal laws  A ‘One-Stop Shop’ Fair Work Australia

© The Association of Independent Schools of NSW The Story so Far…  Workplace Relations (Transition to Forward with Fairness) Act 2008  AWAs abolished – ITEAs introduced  No Disadvantage Test re-introduced  Award Modernisation process commenced  National Employment Standards (NES) published  Stage 1 Award Modernisation: Higher Education (2 awards)

© The Association of Independent Schools of NSW Timeline - Going Forward 1 July Key elements of Forward with Fairness introduced (reliant on passage of bill through parliament)  Unfair Dismissal laws  New Bargaining Framework 1 January 2010  Fair Work Australia Institutions – A one stop shop  National Employment Standards (NES)  Modern Awards in force

© The Association of Independent Schools of NSW UNFAIR DISMISSAL

© The Association of Independent Schools of NSW 1 July Unfair Dismissal Unfair Dismissal Regime commences Mostly applicable to small business (Less than 15 employees)  Qualifying period increased from 6 months to 12 months  Fair Dismissal Code will ensure a dismissal is not unfair Dismissal  A reason why they are at risk of being dismissed  Reasonable timeframe to improve Summary Dismissal  Deemed fair if reported to police – expected to have reasonable grounds

© The Association of Independent Schools of NSW 1 July Unfair Dismissal  Lodged with Fair Work Australia (FWA) within 7 days  Non- Legalistic  Reinstatement or compensation (up to 6 months pay)  Excludes  Casual employees (not regular casuals)  Seasonal employment  Specific task  Temporary Contracts

© The Association of Independent Schools of NSW COLLECTIVE BARGAINING

© The Association of Independent Schools of NSW 1 July 2009 – Workplace Agreements and Enterprise Bargaining  “Better off overall test” – by FWA  Employer can be compelled to negotiate a with a union when developing a collective agreement  Content to only include “matters pertaining to the employment relationship”  Content of agreements might include:  Union representation  Deduction of union dues  Agreements cannot include content regarding matters pertaining to management prerogative, bargaining services fees, authorising industrial action

© The Association of Independent Schools of NSW 1 July 2009 – Bargaining in Good Faith  Bargain in good Faith for a mutually acceptable outcome  Direct parties to meet  Disclose relevant information  Consider proposals and respond to them;  Refrain from unfair or precipitous conduct  No requirement to make concessions or sign-up to agreement.  FWA – ‘majority employee support’ for an enterprise (workplace) agreement

© The Association of Independent Schools of NSW NATIONAL EMPLOYMENT STANDARDS

© The Association of Independent Schools of NSW National Employment Standards (NES) What you need to know…  10 minimum standards that will form part of the safety net terms and conditions  NES will not deal with minimum wages  Will apply to all employees in the federal system – there may be some exceptions but this is still unclear  Inextricably linked with terms of modern awards

© The Association of Independent Schools of NSW National Employment Standards 1.Maximum Weekly Hours  38 hour week  Reasonable additional hours  Modern award may include provision for averaging hours 2.The Right to Request for Flexible working Arrangements  A change in working arrangements for the purpose of assisting the employee to care for the child  Refusal only on reasonable business grounds

© The Association of Independent Schools of NSW National Employment Standards 3.Parental Leave  One year for each parent to be taken consecutively; or  Two years for one parent 4.Annual Leave  Modern Award may include provision for cashing out annual leave 5.Personal/Carer’s Leave and Compassionate Leave  10 days personal/carers leave – accrues progressively  2 days paid compassionate leave & 2 days unpaid carers leave for each occasion  Evidence to satisfy a ‘reasonable person’

© The Association of Independent Schools of NSW National Employment Standards 6.Community Service Leave  Jury duty – paid first 10 days of absence minus amount paid to juror  Voluntary emergency services 7.Long Service Leave 8.Public Holidays 9.Notice of Termination (resignation) and redundancy pay 10.Provision of a Fair Work Information Statement

© The Association of Independent Schools of NSW AWARD MODERNISATION

© The Association of Independent Schools of NSW Modern Awards The AIRC must make modern awards which:  Are simple to understand and apply,  Provide a fair minimum safety net for employees,  Must be economically sustainable,  Promotes efficient and productive performance of work  Promote flexible modern work practices.

© The Association of Independent Schools of NSW Award Matters 1.Minimum Wages & Classification and Career Structures 2.Types of Employment 3.Arrangements for when work is Performed 4.Overtime Rates 5.Penalty Rates 6.Annualized Wages or Salary Arrangements 7.Allowances 8.Leave, leave loadings and arrangements for taking leave 9.Superannuation 10.Procedures for Consultation and Dispute

© The Association of Independent Schools of NSW Award Modernisation – Stage March Closing date for submissions, drafts etc 23 March Pre-drafting consultations commence 22 May Closing date for publication of exposure drafts. 12 June Closing date for lodging written comments on the exposure drafts. 29,30 June &Full Bench sits in Sydney for final consultations 1,2,3 Julyin relation to the exposure drafts 4 Sept Final date for making Stage 3 modern awards.

© The Association of Independent Schools of NSW Response of Independent School Sector  National consultation  Executive Directors appoint Award Taskforce  Appear for sector at AIRC hearings  Consult with:  Catholic sector  IEU

© The Association of Independent Schools of NSW Modern Awards and NES  Modern Awards + 10 National Employment Standards (NES)  The 10 NES will represent the minimum entitlements for all employees in the new system and will apply to all employees.  A modern award cannot exclude the NES but can ‘supplement’ its terms  A modern award can include provisions that are expressly permitted under the NES.

© The Association of Independent Schools of NSW Modern Awards and NES  Evidence Requirements for personal and compassionate leave  Substitute public holidays  Industry specific redundancy pay provisions  Amount of notice an employee may be required to provide  Loadings in lieu of entitlements for school based apprentices

© The Association of Independent Schools of NSW Non Teaching Award  One award for all jobs and classifications  Teacher aides and clerical staff  Nurses, psychologists and welfare officers  Maintenance, green keeping and caretakers  Kitchen, laundry and boarding house staff  Canteen and uniform shop employees  Child care workers  Chaplains  Sports coaches  etc

© The Association of Independent Schools of NSW Non Teaching Award  Consistent conditions  Annual leave (in most cases)  Sick leave (as per NES)  Long Service Leave  38 hour week  Variations in Awards  Span of ordinary hours  Shift penalty loadings  Notice periods  Leadership levels  Incremental progress (up the salary scale)  Stand down periods  Paid maternity leave

© The Association of Independent Schools of NSW Non Teaching Award  Main issues  Classification of roles/jobs  Metal Workers Award proforma  Wage levels  Placement of roles on the wage scale

© The Association of Independent Schools of NSW What Happens to Award Free Employees?  ‘Catch-all’ award to be created as part of award modernisation  Managerial employees?

© The Association of Independent Schools of NSW FAIR WORK AUSTRALIA

© The Association of Independent Schools of NSW Fair Work Australia Institutions Replaces:  Australian Industrial Relations Commission  Australian Industrial Registry  Australian Fair Pay Commission  Australian Fair Pay Commission Secretariat  Workplace Authority  Workplace Ombudsman  Australian Building and Construction Commission

© The Association of Independent Schools of NSW Fair Work Australia Institutions  FWA will consists of  President  Senior Members  Members (Minimum Wage Panel members)  Power to vary awards  Make minimum wage orders  Approve Agreements  Determine unfair dismissal claims  Make orders of good faith bargaining and industrial action  Assist employees and employers to resolve disputes

© The Association of Independent Schools of NSW Fair Work Australia Institutions  Fair Work Australia – Inspectorate  Compliance with new workplace laws  Enforcement through courts  Fair Work Divisions of the Court  Small claims limit increased from $10,000 to $20,000  Specialist Division in the Federal Court and the Federal Magistrate’s Court

© The Association of Independent Schools of NSW WHAT CAN SCHOOLS DO TO PREPARE?

© The Association of Independent Schools of NSW What Can You Do… 1.Which staff are currently covered by Agreements/NAPSAs? 2.What will be the usefulness of a modern award in your workplace for those employees not on collective agreements? 3.How likely will those staff agitate for a new agreement?  Only a majority of the employees needed for you to be required to bargain in good faith with them.

© The Association of Independent Schools of NSW Possible Enhancement Sought by Union  Concept of pupil vacation period (teacher holiday?)  Rules relating to co-curricular activities/ staff meetings  Rules relating to number of leadership positions in a school  Rules relating to Face to Face teaching  Span of hours – to include rules relating to excursions, parent teacher nights, etc  Child rearing to be included in service

© The Association of Independent Schools of NSW Involvement of Union  Union will try to expand their influence in your workplace.  Managerial Prerogative  Setting term dates  Setting hours of the school day  Determining reasonableness of professional development  Co-curricular  Grievance processes  Performance Management

© The Association of Independent Schools of NSW “The Leap Frog Technique”  Co-curricular  Grievance Procedures  Performance Management  Recruitment  Redundancies  Restructures

© The Association of Independent Schools of NSW Danger of the Communication Void!  High union involvement in your school may hamper the natural flow of communication between the Principal and their staff  The union will try to ‘embed’ themselves in the minutia of your decision making:  Class allocation  Timetables  Playground supervision  Minor staff performance matters  Development of appraisal processes

© The Association of Independent Schools of NSW Michael Carr - Deputy Executive Director Association of Independent Schools Level 12, 99 York Street, Sydney NSW 2000 Phone (02) Fax (02) Web aisnsw.edu.au ABN Contact Details