TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984
s47A Enforcement of awards and registered agreements after transfer of business

Minister administering the State Service Act 2000
(T10856 of 2003)

Transfer of business - application approved - operative date 1 July 2003

REASONS FOR DECISION

[1] This is an application by the Minister administering the State Service Act 2000 (the Minister) made pursuant to s.47A of the Industrial Relations Act 1984 (the Act).

[2] The application is made with the consent of the Health Services Union of Australia Tasmania No. 1 Branch (HSUA).

[3] The application seeks to:

".....waive the provisions of Section 47A, subsection (2)(a) of the Industrial Relations Act 1984, so that upon transfer of employees from Adult Rehabilitation Services, Calvary Health Care Tasmania (transferring business) to the Department of Health and Human Services, the new employer (Minister administering the State Service Act) will not be bound by the award and/or agreements that relate to the transferring business, effective from 1 July 2003."

[4] It was submitted on behalf of the Minister that the application is made following extensive consultations between the Department of Health and Human Services; the HSUA and individual employees likely to be affected by the transfer of the business.

[5] A Memorandum of Understanding (MOU) had been agreed to facilitate the transfer of the employees to take effect from 1 July, 2003. The MOU forms the basis of the employment arrangements arising from the transfer.

[6] The transferred employees will be employed in accordance with the State Service Act 2000, the terms and conditions of the Community and Health Services (Public Sector) Award will apply as will the State Service Wages Agreement.

[7] It was submitted on behalf of the Minister:

"Adult rehabilitation, or rehabilitation services previously were conducted by the Royal Hobart Hospital, through the Lady Clark Hospital, and then later the purpose built Douglas Parker Rehabilitation Centre. That was set up in 1980, Through 1992 through '98 Rehabilitation Tasmania, an organisation that was formed as a private company between MAIB and Treasury, provided the independent and outpatient rehabilitation services, and 1998 Rehab Tas folded, and the contract was then let to the St John's Hospital, who in turn was sold by MBF and the contract was taken over by Calvary. So that Calvary were providing the service up until recently.

I suppose in terms of where we are going from here the proposed arrangements were announced in December 2002. The Government had decided to transfer the service back, and that related to the adult outpatient rehabilitation service, and negotiations were being carried on with Calvary, the unions and individual employees in that regard. The processes involved are joint industrial consultative committee, which has had representatives from the employees, has had the Health Services Union of Australia participate, and there have been a series of meetings in relation to that, and discussions about arrangements that would cover these particular employees.

From an early point it was established that from both sides it was agreed that the best interests of the employees would be served by them being employed under the Community Health Services Public Sector Award and the State Service Act, and arrangements were then entered into to try and facilitate arrangements to cover that."1

[8] All employees will be given the option of transferring their employment.

[9] The Minister submitted further:

".....on balance we don't believe that the employees are disadvantaged in any way and that is reflected in the discussions that have been had with individual employees and with the union and the fact that we have agreement in relation to that, I think, is testimony in regard to that."2

[10] The HSUA confirmed that the process had been a consultative one in which both the union and members had been involved. The HSUA supported the application and said it was appropriate that the employees transfer and be employed pursuant to the State Service Act 2000 and the Community and Health Services (Public Sector) Award.

[11] The application was approved at a hearing on 28 May, 2003, and will take effect from 1 July, 2003.

P L Leary
PRESIDENT

Appearances:
Mr J Milbourne and Ms S Cody for the Minister administering the State Service Act 2000
Mr T Kleyn for the Health Services Union of Australia, Tasmania No 1 Branch

Date and place of hearing:
2003
May 28
Hobart

1 Transcript PN14
2 Transcript PN38