HSU east and Director-General, Department of Finance and Services [2012] NSWIRComm 112

HSU east and Director-General, Department of Finance and Services [2012] NSWIRComm 112

Section 146C of the Industrial Relations Act 1996 and the Industrial Relations (Public Sector Conditions of Employment) Regulation 2011, when read as a whole, operate in respect of cost savings achieved after 20 June 2011. Employee-related cost savings made or agreed before that date cannot be used to offset increases above 2.5% per annum in public sector awards or orders.

Jurisdiction
Australia
Judgment Date
15 October 2012
Procedural Posture
Separate Question Application for Award Variation / Ruling on Threshold Legal Question
Outcome
Question answered: Yes. Employee-related cost savings achieved prior to 20 June 2011 are precluded from consideration for award making by the Regulation.
Legal Topics
['award Variation' 'public Sector Wages Policy' 'employee Related Cost Savings' 'retrospectivity of Regulations' 'industrial Regulation']
['industrial Law' 'statutory Interpretation' 'employment Law'] ['award Variation' 'public Sector Wages Policy' 'employee Related Cost Savings' 'retrospectivity of Regulations' 'industrial Regulation']

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Procedural Posture

Separate Question Application for Award Variation / Ruling on Threshold Legal Question

Legal Issues

  1. 1 ["Whether 'employee-related cost savings' agreed and implemented prior to 20 June 2011 are precluded from consideration as employee-related cost savings for award increases above 2.5% by s 146C of the Industrial Relations Act 1996 and the Industrial Relations (Public Sector Conditions of Employment) Regulation 2011."]

Ratio Decidendi

Section 146C of the Industrial Relations Act 1996 and the Industrial Relations (Public Sector Conditions of Employment) Regulation 2011, when read as a whole, operate in respect of cost savings achieved after 20 June 2011. Employee-related cost savings made or agreed before that date cannot be used to offset increases above 2.5% per annum in public sector awards or orders.

Court Disposition

Question answered: Yes. Employee-related cost savings achieved prior to 20 June 2011 are precluded from consideration for award making by the Regulation.

Orders

  • ['Within 14 days of the date of this decision, the parties shall file written submissions as to the further disposition of these proceedings in light of this ruling.']