ACC Negotiations - PSA Bargaining Issues (25 September 2019) The PSA Bargaining Strategy was developed by PSA members, through their democratic structures, and formalised by the PSA Executive Board. This bargaining strategy is made up of a number of expectations. Our issues for bargaining are grouped to reflect those bargaining strategy expectations. Commitment to Te Tiriti of Waitangi The PSA has a commitment to Te Tiriti o Waitangi and to advancing the “principles of partnership, protection, and participation in activities pursuant to the purpose and objectives of the union as they relate the working lives of members”. The PSA is also committed to providing a better working life for Māori workers that promotes unity and strength for Māori members across the union of the PSA. ACC has committed to imbedding their Te Whaia Te Tika Strategy into the way it works, including: Upholding the principles of partnership, participation and protection Ensuring that the voice of Māori customers is heard Engaging with Māori in culturally appropriate and responsive ways Finding what is working and building on it Actions are informed by evidence Clear leadership commitment and accountability Commitment to Te Tiriti of Waitangi in the Collective Agreement The PSA proposes the insertion of the following clause: “ The PSA and ACC acknowledge the importance of Te Tiriti o Waitangi and its principles. The PSA supports ACC’s commitment to recognising Te Tiriti in its operations and improving its effectiveness to Mā ori staff and stakeholders. ACC is committed to Te Tiriti o Waitangi partnership between Māori and the Crown and will promote an understanding of partnership and implementation of Te Tiriti o Waitangi principles in the workplace. The PSA has a commitment to Te Tiriti o Waitangi and to advancing the “ principles of partnership, protection, and participation in activities pursuant to the purpose and objectives of the union as they relate the working lives of members ” . The PSA is also committed to providing a better working life for Māori workers that promotes unity and strength for Māori members across the union of the PSA. ACC has committed to imbedding the Te Whaia Te Tika Strategy into the way it works, including Upholding the principles of partnership, participation and protection Ensuring that the voice of Māori staff is heard Engaging with Māori in culturally appropriate and responsive ways Finding what is working and building on it Actions are informed by evidence Clear leadership commitment and accountability ” 1
Performance & Remuneration As PSA has discussed with ACC, in both the last bargaining and in the Remuneration Working Group, the current ACC model of ‘Performance Development’ and Remuneration’ do not meet the needs of our members. It is a system that is expensive to run, complex to understand, and does not deliver to our members the outcomes committed to at its implementation, and nor the needs to members to transparency, accessibility, predictable, and negotiated. The PSA proposes t he replacement of Parts 4 & 5, excluding sections, “Superannuation Savings Allowance” and “Eligibility for Superannuation Savings Allowance”, and the replacement of Schedule A iii) Remuneration Reward Philosophy, and 28.2 Rewarding your Performance. The proposal includes replacing these sections with a system of Remuneration which not only focuses on the Employer Investment but that of the Employee as well. The joint PSA & ACC Remuneration Group, at its last meeting March 19, identified collectively a set of principles: ” - People before processes o Working conditions and other benefits beyond pure remuneration o KISS (Keep it Simple Stupid) - it must be easy to explain and understand o Forward looking o High trust environment o Employees feel valued (people before process) Safe kiwis o Creates an environment where we can have safe conversations Responsible stewards o Affordable o Sustainable/bility (responsible stewards) Fair and Open o Openness around the whole package o No surprises o Predictability and certainty o Transparent/cy (fair and open) o Understand rationale around sustainability o Clear alignment between the story and the system plus visibility and alignment o Pay well o Fairness and equal pay (fair and open) Good partners o Recognise that people work for reward o People need to be able to afford to live, maintain standard of living o Negotiate not just consultation o Ownership (good partners) o Displays value in wider benefits / relationship factors o Commitment to genuine engagement 2
o Recognised and acknowledged, intrinsic valuing the work Any system should be designed on the belief the majority of people perform Tika is important in the design – doing the right thing at the right time in the right way Pono is important in the design – honesty ” The concept of ‘employer investment’ (see Clause 32.2) is not the way we would like to see the exchange of labour for appropriate recompense referred to, however for the purposes of the following we have used the phrase to expose the lack of recognition, within the current document, of this exchange between employee and employer. What the System should look like: PSA members are looking for a system with transparency, accessibility, and certainty: o Pay rates to be in published in the CEA o Range of rates for each role o Minimum rate of pay be no less than the annual living wage as published by Living Wage Aotearoa New Zealand o System for progression through the range of rates o Pay rates to be adjusted for CPI each year by an identified increase. o Pay rate increases to be negotiated by the parties to the CEA Recognition of Employee Investment in ACC: o A plan of Employee Investment in ACC will be developed each June, between each staff member and their manager, for the following 12 months (July to June). o The Investment Plan will outline the work commitments of the employee, and the support and training that will be provided by the employer. o The Investment Plan will include a career development framework where the needs of the employee are identified and met, including looking beyond what it takes to fulfil the requirements of their current role. o Recognises the ‘value in wider benefits/relationship factors o Each employee will have a monthly discussion with their manager to discuss their Investment progress. o Employees will be regarded as meeting their investment targets, unless the employer implements a formal review into discrepancies between the agreed targets and those being delivered. Pay Progression o Each employee will progress each June to the next step in the range of pay rates for their role, until the maximum for the role has been achieved. o Employees whose investment targets are under formal review in June will not progress to the next step in the range of pay rates until the review is completed, and the employee is meeting agreed targets. o All increases are effective from 1 July each year. Equal Pay o We wish to discuss the pay outcomes for occupations in ACC which have a higher proportion of women and explore resolutions where those occupations show a pay gap. We are especially interested in the situation facing women in the administration/clerical type roles. 3
Redundancy Compensation 35.9 Redundancy Payment – proposed amendment The cap on the redundancy pay of $43,260, has remained unchanged since 1998, and it is PSA members view that it now needs to be brought up to date. In 1998 the highest rate of pay for PSA members was for Case Managers and that was $41,360 (80%) - $62,040 (120%). The current highest paid members under the CEA earn between $96,440 and $136,151. The PSA is proposing that the redundancy payment cap be amended to $55,000 and be adjusted annually by the CPI rate. $55,000 sits between the midpoints of current band ranges 10 & 11, which are in the bottom half of the current pay band for those under coverage. Coverage (Cl.3) – proposed amendment It is the right of every employee, who is member of a union, to be covered by a collective agreement where there are 2 or more members of the union in the workplace. The PSA is seeking coverage for all roles in non-management positions, non-management roles being defined as all positions that do not have direct reports. This includes the coverage of casual staff. PSA proposes the insertion of a definition of Casual Employee as follows: Definitions of Casual Employees Draft wording: “ The employee has no guaranteed hours of work, no regular pattern of work, and no ongoing expectation of employment. The employee works as and when it suits both them and the employer. ” 4
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