PSA MEETS WITH DEPARTMENT OF TREASURY & FINANCE RE SHARED SERVICES

On Friday 29 August at 4pm, PSA General Secretary Jan McMahon, Chief Industrial Officer, Peter Christopher and Senior Industrial Officers Ian Peak and Simon Johnson, met with Senior Treasury Officials.

This meeting was requested by the PSA to obtain answers and hopefully resolution of outstanding issues regarding the proposed transfer of members in Payroll, Accounts Payable and Accounts Receivable to the Department of Treasury and Finance (DTF).

The response to the PSA claims will affect members in all areas in scope for future Shared Services. See www.sharedservices.sa.gov.au/index.html

The PSA pursued the following on behalf of members:

1.Compensation for PSA members for loss of Salary Sacrifice Benefits.
Health members will lose at least $3,000 - $4,000 per annum after tax. Australian Taxation office (ATO) has agreed to allow the benefit to continue for 12 months after transferring to Shared Services SA as long as the employee works exclusively on Health Unit business. PSA's claim is that, as the loss results from a decision by Government to re-organise into Shared Services, Government must ensure that members suffer no loss in take home pay.

2.Compensation for increased costs.
Government again rejected this claim.

3.No financial loss for country members electing not to transition
i.e. - No pegging of salary if a position only available at a lower level.
- Not transferred to DFT, if no job in the health unit (as that would mean loss of Salary Sacrifice)
- Retraining for all employees

GOVERNMENTS RESPONSE

The Representatives from Shared Services SA were not able to respond positively to any of the PSA's claims. In fact, Treasury officials hold the view that certain employees will benefit financially on the transition to Shared Services SA.

PSA's POSITION

Health units should retain their own services.
Shared Services SA should not apply to health due to disadvantages for those transitioning and for the rest of the hospital community and loss of country jobs. PSA does not accept that the claimed Government savings should be at the expense of its employees.

A formal letter from the Under Treasurer is expected early next week regarding this matter.

MEMBERS ACTIONS

PSA members will now need to determine what action to take.

For any enquiries please contact Senior PSA Industrial Officer Ian Peak at ian@cpsu.asn.au or phone (08) 8205 3294.

PSA WORKING FOR YOU

29 August 2008