The Department of Treasury is to launch a consultation with the union movement as part of a fast-track process to introduce a new wages policy for the public sector.
The Department said a review of the wages policy was originally proposed to occur in 2023 but would now be brought forward following the release of the 2021-22 Budget.
It said the policy currently stipulated that industrial agreement wage increases be limited to $1,000 a year for full-time-equivalent public sector employees.
The Treasury provides quantitative and policy support concerning the Government’s wages policy framework to promote financially sustainable and fair wage outcomes across the public sector.
It said it would consult with key stakeholders over the next two months as part of the review, with a final decision on a new wages policy aimed to be available by early 2022.
The Department said the policy balanced the need for Budget repair with supporting lower-paid workers.
Minister for Industrial Relations, Stephen Dawson said that when COVID-19 hit, the current policy was extended by two years in the 2020-21 Budget, with a review to consider the economic circumstances before determining a new policy planned for 2023.
“The economy has improved much more rapidly than anticipated at the onset of the COVID-19 pandemic, with the recovery supported by the public sector workforce, which has played a vital role in keeping Western Australians safe,” Mr Dawson said.
“We stand by our strong commitment to maintain security of employment and jobs for the public sector workforce,” he said.
Mr Dawson said the time was now right to bring forward a review of the wages policy to consider what would be the appropriate policy setting going forward.
