DISAGREEMENT over a pay offer to Frankston Council staff will see union members take industrial action on Wednesday in what could be the first of several disruptions to council services in coming weeks.
Council staff who are union members may not issue or process fines or carry out maintenance work that is not urgent during a first day of industrial action on 1 March to protest against a proposed 1.4 per cent pay rise.
Asking union members to vote for strike action has not been ruled out in future.
Staff have been offered a 1.4 per cent pay rise – an average $24 a week more – as part of a new enterprise bargaining agreement (EBA) being negotiated with the Australian Services Union.
The union says the offer is effectively a pay cut for employees since it is lower than a consumer price index (CPI) rise of 1.5 per cent in 2016 and 1.7 per cent in 2015.
Council’s offer is also lower than a 6.8 per cent rise over three years — including a 2.4 per cent rise in the first year — being offered to workers at neighbouring Mornington Peninsula Shire Council.
ASU branch executive president Michelle Jackson noted Frankston Council CEO Dennis Hovenden received a near 10 per cent pay rise in 2015, taking his total remuneration to about $325,000 at that time.
Ms Jackson said council management is refusing to benchmark council staff pay against other councils despite this being stated as a reason in the past to grant Mr Hovenden pay rises that outstrip annual cost of living rises.
“In real terms, people will be taking a pay cut,” she said.
“On top of that, they gave the CEO a 10 per cent pay rise.”
Ms Jackson said the union had mentioned other councils’ pay offers during nine months of negotiations with Frankston Council over a new EBA with the previous agreement having expired in March last year.
“They said what they pay at other councils is irrelevant yet when they gave the CEO a 10 per cent pay increase they said he had been benchmarked against all other relevant CEOs in local governments and that’s why he deserves a pay increase.”
Mr Hovenden confirmed ASU members had voted to take industrial action next Wednesday (1 March) and 275 union members are taking “a range of actions … from not wearing council uniforms to applying bans on certain work”.
“Council has prepared for and will implement appropriate actions to minimise the potential disruption of any industrial action on the community and on services provided,” the CEO said.
Councils across Victoria have seen their finances come under pressure due to a rate capping policy introduced by the Labor state government.
Mr Hovenden said council “is aware of salaries paid by other councils and what is happening through enterprise negotiations within the local government sector”.
“We also analyse the full package of terms and conditions of employment and the new agreement contains a range of benefits beyond salary increases, which will support and assist employees,” he said.
“The new Enterprise Agreement addresses issues which relate to Frankston City Council and how we can improve the delivery of services to our community as efficiently as possible.”
Ms Jackson said “another sticking point” of the EBA negotiations is an attempt by council to force new staff to work at weekends rather than on a voluntary basis.
“Some people get penalty rates if they work on a Saturday or Sunday and some don’t,” she said.
