Monday, November 05, 2007

Howard legacy: redundancy payments trashed

A thorough analysis of Telstra’s new agreement by CPSU’s (Community and Public Sector Union) legal and technical experts has revealed serious problems for staff in relation to redundancy arrangements.

As Telstra intends to cut a further 6,000 jobs over the next few years, it is crucial that all staff understand the implications these changes will have for them, before they vote.

Retrenchment benefits

The first problem is the introduction of a new clause that will make it harder for staff to access retrenchment benefits. In the new agreement, retrenchment benefits are no longer payable where Telstra obtains…“an offer of alternative employment either within Telstra, or with another employer.”

Your rights or their policy

The second problem is Telstra plan to take most the current redundancy arrangements out of an agreement and recreate them as Telstra policy. At first glance, this may seem like a harmless administrative change. But the reality is Telstra’s new agreement drastically reduces your rights. Under the current union agreement, you have access to enforceable rights in relation to redundancy arrangements including the option of a $4,500 external job search payment, six week internal Telstra job program, guarantee of pay in lieu of notice and others.

Under Telstra’s proposed non-union agreement most of your redundancy conditions become Telstra policy which as we have seen can be changed by management whenever they like. Concerns about Telstra's attitude to policy are strengthened by Telstra's own words: “To avoid doubt, the policies do not form part of this Agreement or the contract of employment for Employees and are not binding on Telstra.”

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