Electricity, Water and Utilities

Electricity, Water and Utilities

Essential Energy Responds to ETU’s Calls to Improve the Enterprise Agreement Offer.

Paul Lister - Thursday, October 26, 2017

As reported yesterday, the ETU and Delegates called on Essential Energy to improve the in-principle offer which could see an early settlement of the Essential Energy Enterprise Agreement 2018. We sought improvements of a minimum cap on wages, bring second and third pay rise forward and revised wording on Individual Flexibility Arrangement clause. Essential Energy Board met today and the following improved offer has been put forward for the ETU and its member’s consideration.

  • A roll-over of current employment conditions through a new enterprise agreement with the one exception of a revised Individual Flexibility Arrangements (IFA) clause;
  • A minimum cap of 2% which applies to each of the proposed CPI adjustments (on an annual or pro-rata basis);
  • A maximum cap of 2.5% which applies to each of the proposed CPI adjustments (on an annual or pro-rata basis);
  • Subject to the above points, CPI based wage increases as follows:
    • a CPI adjustment on 1 January 2018 based on the previous rolling 12 month CPI rate (CPI figures based on ABS Catalogue 6401.0)
    • a further CPI adjustment on 1 July 2018 based on the previous rolling 6 month CPI rate (minimum 1% up to maximum 1.25%);
    • a further CPI adjustment on 1 July 2019 based on the previous rolling 12 month CPI rate; and
    • a further CPI adjustment on 1 July 2020 based on the previous rolling 12 month CPI rate
  • Apply the above wage increases to other allowances (excluding ESRA);
  • Adopt a revised IFA clause which applies to “arrangements about start and/or finish times and / or vary the hours of work, within the spread of ordinary hours (6am – 6pm, between Monday to Friday) where requested by an employee and mutually agreed by Essential Energy”.
  • A nominal expiry date for the enterprise agreement of 30 June 2021.

Essential Energy revised offer seeks to genuinely progress discussions to see an early settlement. This revised offer front loads pay rises with the first pay rise being paid 1 Jan 2018 (6 month before expiry or current agreement)  followed by an additional pay rise added in July 2018.  The offer would see a total pay rise over 3.5 years of a minimum of 7% up to a maximum of 8.25%. The first pay rise on 1st January 2018 would be 2% as the rolling 12 months is at 1.8%.

Next Steps

The ETU is now seeking feedback from members on this in-principle “rollover” early settlement proposal. An in-principle agreement would then see a formal process start where representational rights would be issued by Essential, minimum 21 day negotiation period, new Enterprise Agreement drafted then put to a vote of all employees covered by the Enterprise Agreement.

If an in-principle agreement is not reached, the parties would enter into a traditional style negotiation (logs of claims) where the parties enter negotiations and seek to reach agreement on a new Enterprise Agreement to start at July 2018.

The ETU is asking Delegates to provide feedback from a depot level to myself by COB Tuesday 31st October 2017. Do the majority of members at your depot accept this “in-principle” offer? YES or NO.
Justin Page
Assistant Secretary

0414 877 301 | justinp@etunsw.asn.au