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NTPS Wages Policy

The Northern Territory Public Sector (NTPS) Wages Policy 2006 provides the principles within which wage negotiations and enterprise bargaining will occur over the next five to six years.

 

The Wages Policy covers negotiations for all employees of the NTPS as well as police.

 

Aim

  • keep NT salaries and conditions competitive in the market
  • deliver productivity improvements and workplace reform
  • foster forward planning by agencies
  • wherever possible deliver consistent outcomes across occupations to achieve fairness and equity
  • support collective bargaining
  • keep costs within Government parameters.

Policy Principles

 

1. The NT Government supports a one system/common approach to bargaining covering the ‘core’ conditions/bargaining agenda and outcomes, including wages, will generally apply across all areas of the public sector.

 

This Principle ensures the development and maintenance of a standardised set of common and core conditions, such as annual leave, sick leave, long service leave, superannuation and remote entitlements.

 

This will mean that employees moving between agencies and/or job classifications will continue to receive the same or similar terms and conditions of employment. It should be noted however, that where special cases exist variations can occur through negotiation.

 

This Principle also supports a common wages outcome to achieve fairness and equity; though this is subject to the consideration of the five factors outlined in Principle 2.

 

2. The quantum of salary increases is to be based on the consideration of five factors:

  • productivity improvements;
  • market forces;
  • CPI;
  • Government’s fiscal position; and
  • Government policy as determined from time to time.

Along with Principle 3, the size of any salary increase that is offered will depend on:

  • the productivity gains that Government will achieve through the agreement (see below for more information on ‘productivity’);
  • the strength of any public sector or private sector market forces affecting the NT’s ability to attract and retain employees in a particular occupation or classification stream;
  • a comparison of past, present and predicted Consumer Price Index (CPI) rates with past, present and forecast wage movements;
  • Government’s overall budget position; and
  • other relevant Government policies.

The size of any increase will be a balance of these factors, some of which may at times be competing.

 

3. Increases to salary are to be of a magnitude that results in the NT being a competitive employer; ‘amongst the best paid’.

 

The NTG recognises that for the NT to be able to attract and retain high skilled and high performing employees, a competitive employment ‘package’ is necessary.

 

Competition is measured against other relevant private and public sector jobs. It should also be noted that the employment ‘package’ is not limited to salary but includes other factors such as the level of leave provisions, the full range of entitlements and allowances, study and personal development opportunities, promotional opportunities
and access to work life balance initiatives etc.

 

4. Other than in exceptional circumstances, increases that are above forward estimates for salaries are to be funded by offsets achieved through improvements in productivity, structural organisational change and workplace reform. The following principles will be used in determining productivity gains:

  • a regime where one party cannot expect something of the other for nothing (there must be a quid pro quo);
  • an opportunity for reform (for later even if not now); and
  • gains may be demonstrated either quantitatively or qualitatively with a timeframe.

The Policy encourages employees, unions and agencies to look at ways to improve efficiency and productivity. While identifying and quantifying productivity improvement is a challenge, in today’s work environment it cannot be ignored. It is the implementation of these improvements that will result in the achievement of higher salary increases than might normally be achieved.

 

More information on the forward estimates can be obtained from Budget Paper No. 2 Fiscal and Economic Outlook (Budget 2006).

 

5.  Principal responsibility for negotiations lies with the Office of the Commissioner for Public Employment. There is shared responsibility with the Northern Territory Treasury and other relevant Agencies.

 

The Commissioner for Public Employment, in consultation with NT Treasury and relevant Agencies, will assume responsibility for the development and negotiation of all Agreements covering employees of the Northern Territory Government.

 

In the majority of cases this represents the continuation of current practice, but will also result in the Commissioner for Public Employment taking a lead role in negotiations for Police and employees of the Power and Water Corporation.

 

This approach suits our relatively small size and should assist in achieving fair and equitable salaries and conditions for all employees within budget parameters.

 

6.  Wherever possible, agreements are to be collective agreements with the relevant union(s).

 

Collective agreements made with relevant union(s) have served the NTPS well and, despite the introduction of the Federal Government’s ‘Work Choices’ legislation, will continue to be the preferred form of workplace agreement.

 

Further information on the Policy is available in the Fact Sheet, Bulletin and Media Release.