The NSW Government’s offer of 100 per cent salary packaging and a 3.5 per cent wage increase has been accepted by the Health Services Union (HSU).
Under the state’s new Fair Pay and Bargaining Policy, this agreement will affect more than 50,000 public health workers, including Aboriginal health workers, dental officers, psychologists, security officers, patient support assistants, hospital cleaners, cooks, technicians, interpreters and administration staff.
Along with the one-year pay increase, plus 0.5 per cent increase in superannuation, eligible workers have received an increased share of salary packaging benefits from 70 per cent to 100 per cent – effective from 1 July 2024. This has replaced the current arrangement in which the resulting tax savings are split between health workers and NSW Health.
HSU secretary Gerard Hayes celebrated the successful negotiations, but said the union’s focus now shifted to improving core conditions and allied health award reform.
“Thanks to the wages cap, our core conditions – those conditions that should be universal no matter where you work or your job title – have not changed in years,” he said.
“With the wages cap now gone, we finally have the chance to improve these basic conditions of employment.”
The new deal includes a $1000 one-off cost-of-living payment, which comes into effect if the 12-month annual average Sydney consumer price index exceeds 4 per cent in the year to the March quarter of 2025.
It also stipulates awards reform through a memorandum of understanding (MOU) committing all parties to work cooperatively to achieve a three-year wage agreement on the expiry of the one-year award. This latter award pertains to the 4.5 per cent pay rise delivered to NSW health workers last year, which was the highest in more than a decade.
Health Minister Ryan Park said the HSU and NSW Government would work together to identify system changes, productivity outcomes, benefits from award reform and savings.
“This has been a collaborative approach, which builds on the four-year agreement reached with paramedics late last year,” he said.
In “other happy news”, secretary Hayes most recently announced the HSU award would be adjusted to provide 100 per cent salary packaging for NSW Ambulance (NSWA) paramedics.
“In fact, all staff in NSWA covered by an HSU award will get the full tax benefit from salary packaging,” he said. “The adjustment is backdated to the first pay period after July 1 this year.”
HSU members are now working towards an additional five days of annual leave and 10 days of sick leave, which Mr Hayes said will “acknowledge the stressful and hazardous work that is done by health workers”.
“Our claims for improved sick and annual leave are modest,” he said. “Currently some other public sector workers receive 15 days sick leave per year.”
Secretary Hayes also spoke on the union’s push for higher duties to be paid after two hours of work.
“Currently HSU members must work five days straight to be paid higher duties,” he said. “We are calling for HSU members to be paid for the work they are performing – it’s that simple.”