The scheduled pay rises for the NSW Public Service in the coming 12 months are set to be ‘paused’ as a way of saving NSW taxpayers about $3 billion.
Announced by Premier Gladys Berejiklian as a way to protect Public Service jobs as unemployment increases across NSW, the move has been criticised by Members of the Legislative Council as it impacts on hospital and other public sector staff involved in protecting the community from the Coronavirus pandemic.
A number of MLCs have threatened to disallow the proposal when it is tabled in Parliament.
Ms Berejiklian said the freeze would see current pay levels retained and included a year-long guarantee of no forced redundancies of public sector workers below the level of senior executive.
“Pausing pay rises will enable the Government to focus on preserving existing public sector jobs while also stimulating job-creation as NSW confronts the prospect of a deep recession and contraction of the economy,” Ms Berejiklian said.
She said that while the decision was difficult, it was the fairest one for the people of NSW.
The plan was also criticised by the PS union, the Public Service Association of NSW (PSA), the General Secretary of which, Stewart Little, said had received no offer and had made no deal with the NSW Government relating to the pay freeze.
Mr Little said the PSA was hopeful that the Wage Freeze Regulation would be overturned by the Upper House.
He said the PSA would be fighting for a fair wage increase for its members this year.
STOP PRESS
In a late minute move overnight on Tuesday (2 June) the Legislative Council voted to disallow the proposal, requiring the Government to take the matter to the Industrial Relations Commission for a decision.
Arguments put against the move by MLCs included the probability that the cut in purchasing power to NSW PS staff members in rural and remote areas would potentially lead to job losses in those areas while it would not encourage increased employment anywhere in the State.
