Major Blow to Government Outsourcing

Date: 02 June 2000

Government agencies would not be able to award contracts to firms that do not comply with the support of Labor industrial relations principles, under guidelines being developed by SNW Transport Minister Carl Scully.

The guidelines come in response to growing concern about the impact of competitive tendering on rural communities and heads off a looming ALP State Conference showdown on the issue.

Unions have argued through the State Labor Consultative Committee that competitive tendering and contracting out were unfair to public sector workers, whose conditions were not matched by the competing firms.

And with many firms bussing in workers for rail maintenance and road works, rural towns were being devastated when contracts were lost.

While Scully announced a halt to track maintenance competitive tenders last months, the guidelines represent a comprehensive approach across all his transport-related portfolios/

Under the guidelines, all enterprises tendering for projects greater than $5 million in value would have to produce an industrial relations strategy, including award or enterprise agreement, which would be referred to the Labor council.

Successful tenderers would have an obligation to evidence they were complying with all their legal and employment obligations. These would be included as performance measure sin contracts.

Labor Council secretary Michael Costa says the guidelines are an important step to restoring sanity to government enterprises.

"The process allows unions to have a say in what conditions ought to apply to work that is contracted out," he says.

Costa says the next step is to stop competitive tendering altogether and replace with it with a process of benchmarking that would give public sector workers a clear indication of requirements and then provide the opportunity, training and resources to meet them.

Carr Makes Formal Offer on Olympics Pay

The Carr Government has formally offered public sector employees providing Olympic related services a $1.50 per hour allowance for the duration of the Games.

The offer was made to NSW Labor Council secretary Michael Costa today, despite earlier statements from the government that no extra pay would be provided.

Costa has welcomed the offer which will be considered by effected affiliates next Tuesday.

"It is good to see the government has moved its position and recognizes that workers will be asked to work beyond the call of duty to make the Games a success," he said.

"By tying the bonus to attendance the government is also providing an incentive to ensure that staffing levels are maintained throughout the event."

The claim would apply to all public sector workers who have their work directly affected by the Games and will be paid in a lump sum at the completion of the Games.

A separate claim for transport workers for a $300 per week bonus plus a week's extra leave is still being negotiated with the government.

For further information

Contact:	Peter Lewis
Union:	Labor Council of NSW
WWW:	http://workers.labor.net.au/

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