• Home
• About Us
• Contact Us
• FAQs: Get the Facts
• Get campaign updates
• Join a union

Telstra HR management rushing to beat new IR laws

Time to vote for your rights

Are you a CEPU or CPSU member currently employed under the Telstra Enterprise Agreement 2005-2008 or on an expired AWA?  If you are, you’ll shortly receive ballot papers from the Australian Electoral Commission (AEC) asking you to vote on taking protected industrial action in support of a new union agreement. The ballot paper will be sent to your home address.

What will be on the ballot paper?
In part, it will say: “Do you for the purpose of advancing claims in the negotiation of a union collective agreement between (your union) and Telstra Corporation Ltd authorize industrial action against Telstra…”

Your unions strongly recommend you vote YES to this question

Why is it important that I vote?
To be successful at least 50% of eligible voters must vote. Then a majority of those voting must vote in favour. The ballots closes on 4 December (CPSU), and 8 December (CEPU) so please post your vote asap.

What if I’m an eligible to vote, but don’t receive a ballot paper?
Contact Shane Lanning at the Australian Electoral Commission on (03) 9285 7145 or shane.lanning@aec.gov.au and let your union know immediately.

What if I’m on a current AWA?
Then you will not get a vote in the protected industrial action ballot.

Will this campaign impact on me if I’m on a current AWA?
Absolutely. The outcome of our campaign for a better Telstra agreement will be critical to your pay, conditions and rights at work. Union members across Telstra are campaigning against Telstra HR’s proposal for a part A/B agreement. We think you should have the option to transfer to a future union negotiated agreement – without disadvantage – even if your AWA has not expired. If you’re not already in the union, you should join today by calling 1300 362 223 or by filling out the form on the back of this bulletin.

What if I’m on the agreement or an expired AWA, but not a union member?
You will not get a vote in the ballot but you can still join to take part in any industrial action. Join your union by calling 1300 362 223.

Play Fair Telstra

For months, Telstra has been ignoring its workforce’s right to a fair, union-negotiated enterprise agreement.  There has been no negotiations since Telstra’s management unilaterally walked away from the bargaining table in July.

Since then, Telstra’s workforce has rejected an inadequate company-wide non-union offer from management that would have undermined core conditions and divided the workforce.  Management has been heavily criticised by the Federal Government, the Australian Industrial Relations Commission and the Federal Court.

But still management won’t listen.

Christmas is approaching and Telstra’s workforce hasn’t had a pay rise.  They feel like they’ve been treated with total contempt by management.

The Rudd Government was elected with a mandate to scrap WorkChoices and restore rights at work.  This includes the banning of Australian Workplace Agreements and respect for the rights of workers to collectively bargain.

Telstra was one of the biggest cheerleaders of WorkChoices and is taking advantage of the period between the election and the introduction of new industrial relations laws to entrench a WorkChoices-style system. Internal company documents leaked to the media earlier this year revealed that management was pursuing this strategy to cut its wages bill by tens of millions of dollars, and pull wages into line with those in smaller, less profitable companies in the telecommunications industry.

Telstra’s workforce has done their bit in making Telstra an enormously profitable business for shareholders.  But shouldn’t the workforce be reward too?

The claim is far from exorbitant, but what Telstra management has offered to its workforce doesn’t keep pace with the cost of living - it’s a real wage cut!  Telstra’s profits increased by 13.5% last year and Sol Trujillo’s remuneration package grew by almost 14% to $13 million while they’re only prepared to pay workers 12.5% over three years - that’s less than the rate of inflation!

Over the next few weeks Telstra’s workforce will be voting YES to take protected action.  This will involve a series of strikes and a range of other industrial action.  They don’t want to lose pay and they don’t want to inconvenience customers, but the workforce feels taking industrial action is the only way Telstra’s management will take notice.

Telstra’s workforce only wants decent pay, conditions retained and a better way of sorting out disputes.  Is that too much to ask for?

Dodgy dealings sees bad deal for WA call centre staff

Telstra staff in Service Advantage (Call Centric) in WA have endorsed an employee collective agreement for that area. The agreement follows an earlier ballot in September when staff across Call Centric including the Townsville site, rejected the Telstra offer. We understand thirty-two people were eligible to vote in this ballot – that’s one-thousandth of the Telstra workforce.

Union members in Call Centric WA reported they were put in a difficult position by Telstra, with one on one briefings and calls at home designed to place pressure on individuals to register interest in an agreement. WorkChoices allows Telstra to put agreements to staff without proper negotiation or consultation with staff or their unions, and to split the workforce any way it chooses and into smaller and smaller groups.

I work in Call Centric in WA – what does this mean for my rights?
Unions will continue to campaign for a better Telstra. Whilst your union organisers can no longer enter your workplace to conduct meetings, we will continue to organise meetings off site so you can have your say.

I don’t work in Wholesale or Call Centric, but I’m on the EA – what happens next?
Its possible Telstra will move quickly to roll agreements out in other areas, based on their “Sample ECA”. The rejection of Telstra HR’s proposals by Service Advantage/ Call Centric and Wholesale staff in September forced some improvements, eg in redundancy entitlements for new staff. However, most aspects of that agreement remain. By rejecting the sample ECA if it’s offered in your area, you will maintain the right to join with other Telstra staff to seek a fair agreement across the company. CEPU and CPSU members will have the chance shortly to vote on the right to take protected industrial action in support of a better deal.

Let your union know what’s going on in your area: If you hear anything about a proposal being put to a vote in your area, let your union know directly or contact the ACTU on 1300 486 466.

Some Questions about Telstra’s “sample ECA”

Does the pay rise stack up? Telstra HR’s latest offer does not even keep pace with the current cost of living. It also compares poorly with the increases awarded to senior managers. Did you know CEO Sol Trujillo’s latest annual increase was 14%, taking his total pay packet up to a staggering $13.4 mil a year?

What’s Telstra really saying about money? Telstra are trying to have it both ways. To you they say the current offer is out for a limited time, and “future pay offers will be reviewed in light of global economic circumstances.” But Chief Financial Officer John Stanhope told investors last week “History shows that during periods where the economy slows or even declines, Telstra and its sector continue to grow at rates above GDP (gross domestic product). We would expect that to again be the case.” (The Age, 7 November 2008).

Will you lose your rights at work? If the proposed agreement gets up, you will no longer be able to have union meetings in your workplace to discuss workplace issues. It will become illegal. The company will no longer be under any obligation to consult with unions about major changes. It will also be harder for unions to enforce the agreement as they will have a reduced role in dispute resolution.

Divide and conquer? Telstra HR’s strategy is clear and predictable – they want to ‘divide and conquer’ staff by splitting the workforce into tiny groups so they can reduce your bargaining power.

Second class employees? The introduction of a two part agreement means new and AWA employees will miss out on guaranteed pay increases, have lower conditions of employment and get less say over hours of work.

There is a better way!
We saw in September that when Telstra workers stick together and reject these unfair agreements we can get a better deal for all Telstra workers. The Government is also about to introduce new industrial relations laws that will restore some fairness in the workplace.

Why the rush Telstra?

It’s less than two months ago that a clear majority of Service Advantage and Call Centric staff voted no to a non-union, non-negotiated offer from Telstra.

So why is Human Resources doing it again? And why are they targeting a couple of dozen staff in Perth?

Management are starting to appear desperate to get an agreement in place somewhere . . . anywhere.

In this case, they have put the proposal to a vote within seven days of it first being offered to staff – the bare minimum required by law.

This has given members and staff very little time to seek advice. Combined with reports of staff being brow-beaten into lodging an expression of interest, there is something very fishy about the latest offer.

So what’s changed from last time? Management was forced to make some improvements – mainly to redundancy entitlements for new staff – to the proposal that was defeated in September.

But the new offer is by and large, the same as before. It follows the same divide-and-conquer strategy and and it still has major flaws (see the attached analysis).

If this offer is made to you, you should ask whether the pay rise stacks up, particularly compared to Sol Trujillo’s 14% pay rise last year.

Telstra management is telling staff it is facing financial constraints which are forcing it to limit the amount it can pay you – but it is boasting to the investment community about how strongly the company is performing.

Under the non-union deal, your rights at work – including the right to have union meetings at work during working hours – will be diminished.

All in all, there is no reason to vote yes this time for a deal that has already been rejected.

But also be aware that HR’s strategy means that until someone accepts the offer, they will continue looking for small work areas where collective strength is not as great.

There is a better way. Workers showed in September that when they stick together and reject these unfair agreements we can get a better deal for all Telstra employees.

Vote NO to non-union offer

Reports are starting to filter through of behaviour by Telstra management that could be interpreted as intimidation or coercion.

In recent days, employees at one site have told of being called into a manager’s office one-by-one and being “brow beaten” into expressing interest in the second version of the non-union deal being shopped around by management.

There are clear laws against both coercion and the dissemination of false and misleading information in the course of making an employment agreement.

If you feel you have been harassed or otherwise pressured into lodging an expression of interest in the non-union deal, you should contact your union immediately.

Anyone who has been approached about the non-union offer should handle it with care, and let your union know straight away. See the analysis of where the offer is deficient, and seek advice from your union before taking any further action.

Get more information about reasons for voting NO

Workers to vote this month on industrial action

Telstra employees will vote later this month on whether to take protected industrial action in support of better wages and conditions, including an unlimited number of 24-hour stoppages.

The Australian Industrial Relations Commission has approved a secret ballot to begin on November 21.

The ballots will be slightly different for members of the Communications, Electrical and Plumbing Union and members of the Community and Public Sector Union.

CEPU members will be asked to authorise an unlimited number of four-hour, 24-hour, 48-hour and indefinite stoppages and indefinite or periodic bans on overtime (paid and unpaid), recalls/call backs, performing higher duties and not attending management meetings.

For CPSU members, the vote will be on an unlimited number of four-hour and 24-hour stoppages.

Workers will take action reluctantly, but have been given no choice because of Telstra management’s confrontational behaviour in recent months.

Employing its usual obstructive and stalling tactics, Telstra had sought a seven-day hearing in the commission.

But Vice-President Lawler heard the application and made his decision within four hours.

The commission has taken a dim view of Telstra’s hardline industrial relations tactics, previously finding that management has failed to negotiate in good faith.

But the commission has also admitted that under existing IR laws there is no strong, independent umpire to enforce good faith bargaining when one party is refusing to negotiate.

In the most recent hearing, Vice-President Lawler said Telstra had “embraced WorkChoices and promoted AWAs in its workforce”.

The secret ballots will close early next month.

 

Telstra could learn from Terria

The looming trouble at Telstra is in sharp contrast with constructive negotiations for a workplace agreement with the Terria consortium that is also bidding for the multi-billion dollar National Broadband Network project.

Telstra is playing a dangerous game in its hardline stance towards the government and unions, which has the potential to jeopardise its chances of winning the tender.

According to sharebroking analysts, failure to win the bid could wipe $11.9 billion off Telstra’s value.

Unions are close to securing a memorandum of understanding with Terria for a co-operative and constructive workplace relationship would give the Optus-led consortium the ability to recruit a highly-skilled and motivated workforce for the project.

It would also provide extra security that the consortium would deliver the project on time and on budget.

Should the Terria bid succeed, the MOU agreement would commit unions and Terria to negotiate a collective agreement in good faith, and to the joint development of initiatives to assist Terria in recruiting, training and deploying the employees it will need.

This is an important agreement and a major step forward for workers in the communications industry.

The agreement would recognise that in order to construct and operate Australia’s new high speed network, Terria needs to have productive, dynamic workplaces and motivated employees and that it would need to quickly recruit a highly skilled workforce.

The agreement is also recognition that fair and efficient industrial arrangements are a critical component of ensuring that major projects are delivered effectively and to the best standards by a productive and appropriately rewarded workforce.

It is essential for major projects such as the national broadband network to be underpinned by a stable and secure enterprise agreement.

Other large infrastructure projects do this and the broadband network should be no different.

The high speed broadband network is a critical piece of national economic infrastructure. It will provide tremendous job opportunities for the communications industry and will also have enormous positive flow-on effects for business and the Australian community.

Workers in the communications industry are keen to be involved in the project, but their experience and skills need to be properly recognised and appropriately rewarded.

In correspondence with the ACTU, Terria chairman Michael Egan  said “Good management, of course, requires good industrial relations and a harmonious work-place”.

He has suggested that the MOU with unions could be along the lines of the “Olympic Agreement” between the New South Wales Government and the trade union movement which successfully delivered infrastructure and services for the 2000 Sydney Olympics.

Telstra investors face share price fall unless management puts jobs and broadband first

Senior Telstra management’s aggressive and uncompromising stance on the Federal Government’s National Broadband Network (NBN) is putting at risk thousands of jobs for Telstra workers and could lead to a $11.9 billion drop in the company’s value, say unions.

Unions today distributed a research report to shareholders attending the Telstra Investor Day briefing in Sydney calling on the company’s senior management to change its direction.

The ACTU-commissioned report warns that Telstra management is jeopardising the company’s future and is playing a ‘dangerous game of brinkmanship’ by threatening to walk away from the NBN tender.

The report highlights an analysis by Merrill Lynch and Citigroup which recently identified non-participation in the building of the National Broadband Network as the biggest financial risk to Telstra in the future.

Citigroup have estimated a value erosion of $11.9 billion from the company – a loss of almost $1 per share — if the company lost broadband customers and network contracts.

ACTU Secretary Jeff Lawrence said:

“Telstra management has again threatened to walk away from the broadband tender.

“Telstra’s Chief Financial Officer John Stanhope warned this week the company will not bid for the broadband network unless it is guaranteed a favourable regulatory framework that delivers an exorbitant 18% rate of return.

”This aggressive and hardline approach is unacceptable. It is putting the long term interests of Telstra shareholders and the jobs of employees at risk.

“The National Broadband Network will be a crucial part of Australia’s infrastructure for the remainder of the twenty-first century.

“It is essential that Australia’s biggest telecommunications company is involved in the tender and that it adopts a more co-operative and constructive approach to its relations with all stakeholders, including the regulators.

“We believe that a new direction is required on the part of the leadership team in order to protect the long-term interests of both Telstra employees and shareholders.

“The company should abandon its hardline approach to the broadband tender and also drop its aggressive posture to dealing with Telstra employees.

“Institutional investors as well as the Federal Government will want to reduce all of the risks associated with a multi-billion dollar project such as this and so it will be essential for the successful bidder to have a stable and secure enterprise agreement in place,” Mr Lawrence said.

Telstra workers let down

Telstra’s workforce needs a strong industrial umpire with dispute settling powers to break the long-running stalemate over a new collective agreement, unions said today.

Despite overwhelming evidence of persistent breaches of good faith by the company’s senior management, under current WorkChoices laws the Australian Industrial Relations Commission is unable to order management back to the negotiating table.

It is very disappointing that Telstra management is persisting with a strategy of ignoring workers’ democratic rights to be represented by unions despite a non-union deal being rejected by the workers in September. Today, the two main unions representing Telstra’s 32,000-strong workforce will lodge applications in the AIRC to conduct a ballot of members to authorise protected industrial action at Telstra.

ACTU Secretary, Jeff Lawrence, said the prospect of industrial action could have been avoided if the independent umpire had powers to make binding orders to resolve disputes of this kind.

“Telstra’s employees have been let down by the system,” Mr Lawrence said.

“Management has repeatedly snubbed attempts to negotiate a new enterprise agreement.  Workers feel they have no choice but to take industrial action in support of a decent agreement and to send a message to management to come back to the negotiating table.”

“The Industrial Relations Commission has found that Telstra has not acted in good faith, but it has no power to order the company to negotiate with unions.  This is a clear cut example of why we need an independent umpire with teeth under Labor’s new IR system.  Fair Work Australia must be able to make a binding determination as a last resort after serious and persistent breaches of good faith orders.”

Mr Lawrence said the ACTU would be putting the case to the Rudd Government that the independent umpire should be able to arbitrate in limited circumstances.

Copyright Your Rights at Telstra | Theme by DailyBlogTips