Northern Territory government turns to labor commission over union dispute
The government of Australia’s Northern Territory has filed two applications with the Fair Work Commission (FWC) after more than a year of negotiations with a union representing firefighters and correctional officers. As ABC News Australia reports, Public Employment Commissioner Nicole Herwood filed separate applications for intractable bargaining earlier this year.
Under Australian federal legislation, an intractable bargaining declaration may result in the FWC independently determining pay and working conditions. The commission is not required to follow the Northern Territory government’s policy limiting public-sector workers’ pay rises to 3%.
Positions of the parties
The United Workers Union Northern Territory, which represents both groups of workers, challenged the applications. Its secretary, Erina Early, said that, in her view, the government is not conducting genuine negotiations to improve public servants’ working conditions and is instead focusing on court and legal procedures.
Herwood defended the application to the FWC. According to her, the union rejected several proposals for new collective agreements, some of which were developed taking the commission’s recommendations into account. She also noted that the union’s demands substantially exceed the level the government considers affordable or reasonable.
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Risks to wage policy
Edith Cowan University labor relations lecturer Alexis Vassiley described the government’s move as unusual and risky because of the unpredictability of the outcome. In his assessment, once the dispute is referred to the commission, the parties lose control over the process, and the FWC may approve pay rises above 3%.
Firefighters and correctional officers are two of seven groups of workers with whom the Northern Territory government is negotiating new collective agreements. The others include health workers, dentists, nurses and midwives, as well as employees of Territory Generation and Power and Water Corporation. The nurses’ and midwives’ union is seeking a 20.5% pay rise over three years.
FWC decisions on the application concerning firefighters are due to be announced on Wednesday, August 26, and on correctional officers on September 2. Herwood said that at the time of her comment, there had not yet been any legal costs in these proceedings, but legal representation would be required later, with the relevant agencies bearing the expenses.
