Australia Post and unions agree on way forward

Thursday, 18 March 2010

Australia Post, the CEPU and the CPSU, today announced the signing of a memorandum of understanding (MOU), outlining a new framework for negotiations to achieve a Fair Work Agreement this year.

The MOU is a result of discussions between the parties in recent weeks, led by Australia Post Managing Director Ahmed Fahour, CEPU National President Ed Husic and CPSU National President Louise Persse.

The MOU signals a major breakthrough in the relationship between Australia Post and the CEPU and CPSU after negotiations on a new workplace agreement stalled late last year.

"Today signals a fresh start for all parties involved," Australia Post Managing Director Ahmed Fahour said today.

"We are committed to working together to forge a new agreement that will bring benefits for our employees and the business."

CEPU National President Ed Husic described the MOU as "achieving a way forward" for all the parties.

"The MOU provides a great platform to bring everyone together to help get an agreement between us," Mr Husic said.

"We'll now be devoting all our energies to this process, because our members know it's vitally important for the security of their wages and conditions."

CPSU National President Louise Persse said, "Our members have been looking forward to concluding an agreement, so this is a positive step."

The MOU commits all parties to a relationship of mutual obligation built on consultation, transparency and trust.

As a gesture of good faith the MOU contains commitments from all parties that will apply immediately:

• Australia Post will honour its previous commitment of a 2 per cent pay increase in August 2010 and a further pay increase of 2 per cent in December 2010;
• The CEPU and the CPSU agree not to organise or take any industrial action while negotiations continue;
• Australia Post will host a summit in April between senior executives including the Managing Director CEPU and CPSU representatives on the future challenges facing the business, the unions and their members; and
• That Lost Time Injury Frequency Rates will be removed from bonus targets for managers, notwithstanding that reduction of LTIFR will continue to be a constant focus for all parties.

The agreement signed today will operate while the parties negotiate a Fair Work Agreement this year with negotiations commencing next week.