Changes to Salary Sacrifice arrangements for members in health units are proposed to start from April 1. The changes, following decisions by the Australian Tax Office and proposals by the Federal Government, will result in staff employed in public health units losing thousands of dollars in take-home pay. (In general, members employed in hospitals should not be affected.)

To add to the confusion, it is possible that staff in some health units will be able to salary sacrifice under arrangements available to hospital staff, but not until July 1.

Salary Sacrifice was introduced in 2001 as part of the Wages Parity agreement and has become an accepted condition of service as part of remuneration arrangements for members across the public sector

PSA has called on the Commissioner for Public Employment to address this appalling situation and to ensure that no member in the affected health units suffers a reduction in conditions of employment.

In addition, PSA , through the United Trades and Labor Council, has sought the intervention of the State Treasurer to pursue this matter with the Federal Treasurer. This approach seeks that any changes not affect members who currently have entered into contracts for salary sacrifice arrangements.

WHAT TO DO?

Members who may be affected should contact their federal Member of Parliament to protest against the proposed changes and seek support to ensure that they do not proceed. In addition, for their own protection, members should discuss the situation with a financial adviser and their salary sacrifice provider.

For information contact Industrial Officer, Ken Smith on
8205 3200 or email: ks@cpsu.asn.au