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Historic change for 50,000 workers in NSW Government pay agreement

Health Services Union

Health workers across the state have had a major win in a new pay agreement with the NSW Government, with the historic reform overcoming decades of injustice.

More than 50,000 health workers will receive 100% salary packaging in a new agreement between the Health Services Union (HSU) and the NSW Government.

HSU members will now receive their full tax benefit rather than ‘sharing’ it with NSW Health and will be backdated to the first full pay period on or after July 1.

HSU members will also get a one year pay increase of 3.5 per cent plus 0.5 per cent in superannuation. Protection for cost-of-living has also been agreed, with members receiving a one-off $1,000 payment if the 12-month annual average Sydney Consumer Price Index rate exceeds 4.0%.

Another important feature is the NSW Government’s commitment to continue the work of Allied Health and Core Conditions Award Reform. All parties will work together to create modern awards and work to achieve a 3-year wage agreement on the expiry of the 1-year award.

HSU members overwhelmingly voted to accept the NSW Government’s improved pay offer, with more than 80% of members in allied health classifications and 82% of members in non-allied health classifications voting in favour.

HSU NSW Secretary Gerard Hayes said the reform was the result of a longstanding campaign for an end to the “theft of salary packaging benefits”.

“The HSU successfully held the Government to its commitment by showing a united front and rejecting a less favourable offer in July," Hayes said. "This is a generational advance for 50,000 health workers who have earned every cent of this pay rise. The reform to salary packaging will be life-changing for hard working people on modest incomes.” Mr Hayes said.

“Health workers deserve 100% of their salary packaging tax benefits and this shows the strength of a union that stands together to get things done. After years of neglect in a struggling workforce, we demanded the government do better and secured a deal that finally recognises health workers. We pay tribute to the Government for honouring its commitment."

Gerard Hayes 0417275821 or Nick Lucchinelli 0422229032