On Tuesday 9 October 2007, Public Service Association (PSA) Chief Industrial Officer Peter Christopher and Industrial Officer Josie Barbaro attended a meeting of the Shared Services Reform Office (SSRO) Workforce Consultative Group (WCG), the peak body to discuss employee related issues associated with the reform process.

As detailed in the latest PSA brief (dated 4 Oct 2007), the time-frame for transition of priority services comprising Accounts Payable, Accounts Receivable and Payroll, is the first quarter of 2008. Clearly consultation and communication over a number of details needs to occur prior to any transition. SSRO representatives were able to provide the following update;

• Cabinet Submission: Once Cabinet has signed off on a Shared Services proposal, more detailed discussions and consultation will occur with the PSA over the details of the proposed transition.

• Pre-transition Discovery Process: Outcomes from the pre-transition process are being finalised. SSRO reported it was a useful exercise to compare business processes and agency participation was positive.

• Accommodation: The fit out of the SSRO office at 91 King William Street is progressing and is expected to be complete by 31 December 2007.

• Workforce Relations Strategy: Draft Human Resources Principles are expected to be approved next week by the Shared Services Steering Group. This document will detail how affected employees will transition, and it will be critical that there is agreement with the PSA on these fundamental issues. The Organisational climate and culture strategy will also be discussed in detail with PSA representatives. These will include issues such as employee training and development, looking at linkages with universities for future staffing opportunities, and induction processes for new employees.

• Communication & Agency Briefings: SSRO will hold a second series of agency briefings following Cabinet approval.

Salary Sacrifice

The PSA raised a number of issues on behalf of members. These included the impact on Salary Sacrifice arrangements which may occur as a result of changes to the employer. The Australian Taxation Office has different rulings according to the business conducted by the employer, which has a significant impact on the Fringe Benefit Taxation arrangements which apply. The PSA has made it clear it will not support any moves which will potentially reduce members' take home pay, an issue likely to impact on members working for Health Units in particular. Any decisions affecting Salary Sacrifice will need to be known up front to enable PSA members to make any necessary decisions in relation to support for Shared Services.

Regional Employment

The impact of Shared Services on regional employment was also discussed with SSRO representatives. Clearly redeployment opportunities are significantly reduced in regional areas, and studies conducted on behalf of the PSA have demonstrated the impact of job losses on the local community and economy are more drastically felt. SSRO reported approximately 10% of FTE's in priority areas are in regional areas. The PSA requested more information on which regional positions will be affected. There is still some uncertainty on how these positions will transition.

The PSA will continue to raise these and other issues and keep members informed of developments. 

PSA/CPSU WORKING FOR MEMBERS

11 October 2007