AUSTRALIAN TELECOMMUNICATIONS COMMISSION OCCUPATIONAL HEALTH NURSING STAFF

(SALARIES AND SPECIFIC CONDITIONS OF EMPLOYMENT) AWARD 1979(5) (ODN C No. 00695 of 1979)

HOSPITAL EMPLOYEES ETC. (NURSING STAFF A.C.T.) AWARD 1980(6)

(ODN C No. 01127 of 1978) (C Nos. 33961 of 1988 and 37236 of 1989)

NURSES PRIVATE EMPLOYMENT (A.C.T.) AWARD 1972(7) (ODN C No. 07192 of 1986) (C Nos. 33962 of 1988 and 37237 of 1989)

NURSES (NORTHERN TERRITORY PUBLIC SERVICE) AWARD 1985(8) (ODN C No. 01188 of 1985) (C Nos. 33963 of 1988 and 37243 of 1989)

DOCTORS' NURSES (NORTHERN TERRITORY) AWARD 1980(9) (ODN C No. 01037 of 1973) (C No. 33964 of 1988)

NURSES (HETTI PERKINS HOME FOR THE AGED - ABORIGINAL HOSTELS LIMITED) AWARD 1986(10)

(ODN C No. 01899 of 1980) (C Nos. 33965 of 1988 and 37246 of 1989)

NGANAMPA HEALTH COUNCIL (COMMUNITY HEALTH NURSING STAFF) AWARD 1987(11) (ODN C No. 00883 of 1984)

NURSES (TASMANIAN PUBLIC SECTOR) AWARD 1988(12) (ODN C No. 00606 of 1983) (C Nos. 37248 and 50044 of [1989)

(1)50 CPSAR 851](/cgi-bin/LawCite?cit=1989%29%20150%20CPSAR%20851 "View LawCiteRecord") (2) 50 CPSAR 857 (3) 85 CPSAR 799 (4) 49 CPSAR 1279 (5)Print F8080 (6) Print E5101 (7) Print G0905 (8) Print F9547 (9)Print G0967 (10)Print G2733 (11)Print G9389 (12)Print H5432

NURSES (GOVERNMENT SUBSIDISED EMPLOYERS) AWARD 1989(13) (ODN C No. 00606 of 1983) (C No. 37233 of 1989)

NURSES (ANF - SOUTH AUSTRALIAN PRIVATE SECTOR) AWARD 1989(14) (ODN C No. 00606 of 1983) (C No. 37234 of 1989)

TELECOM/ANF AWARD 1989(15) (ODN C No. 00695 of 1979)

NURSES (ANF - WESTERN AUSTRALIAN PUBLIC SECTOR) AWARD 1989(16)

(ODN C No. 00606 of 1983) (C No. 37249 of 1989)

NURSES (NORTHERN TERRITORY) PRIVATE SECTOR AWARD 1989(17) (ODN C No. 30868 of 1988) (C No. 37340 of 1989)

ABORIGINAL AND COMMUNITY CONTROLLED HEALTH SURVICES (COMMUNITY HEALTH NURSING STAFF) AWARD 1988(18)

(ODN C No. 30869 of 1988) (C Nos. 37245 and 50045 of 1989)

NURSES (REGISTERED NURSES - SOUTH AUSTRALIAN PUBLIC SECTOR HOSPITALS AND HEALTH AGENCIES) AWARD 1989(19)

(ODN C Nos. 00606 and 01076 of 1983) (C Nos. 37235 and 50046 of 1989)

DETERMINATION NO. 234 OF 1966(20) (C Nos. 35017 and 37519 of 1989)

NURSES (TASMANIAN PUBLIC SECTOR) AWARD 1988(21) (ODN C No. 00606 of 1983) (C Nos. 37520 and 75010 of 1989)

NURSES (REGISTERED NURSES - SOUTH AUSTRALIAN PUBLIC HOSPITALS AND HEALTH AGENCIES) AWARD 1989(22)

(ODN C No. 00606 of 1983) (C No. 37539 of 1989)

(13)Print H8284 (14)Print H8558 (15)Print F8080 (16)Print H8857 (17)Print J0429 (18)Print H7049 (19)Print H7539 (20)46 CPSAR 1009 (21)Print H5432 (22)Print H7539

Nurses Health and welfare services

JUSTICE COHEN DEPUTY PRESIDENT HANCOCK DEPUTY PRESIDENT MARSH COMMISSIONER CROSS COMMISSIONER SMITH MELBOURNE, 21 DECEMBER 1989

Wage rates - Professional rates - special case - National Wage August 1989 structural efficiency principle - ANF and HEF applications to vary all federal awards and determinations for what was referred to as professional rates - case had been made out for a consistency of approach in the fixation of nurse's salaries - more naturally consistent rates established for the registered nurse at level 1 - nursing structures to be reviewed in the context of structural efficiency principle.

We have before us applications by the Australian Nursing Federation (ANF) and The Hospital Employees Federation of Australia (HEF) to vary all federal awards and determinations regulating the salaries of registered nurses, for what are referred to as professional rates. The initial applications related to all registered nurses then covered by federal awards, that is to say, registered nurses in Commonwealth Government employment including Department of Veterans' Affairs (DVA) nurses, nurses employed under both public and private sector awards in the Northern Territory and the ACT, nurses employed by Telecom and nurses employed under the Nurses (Hetti Perkins Home for the Aged - Aboriginal Hostels Limited) Award 1986 and the Nganampa

Health Council (Community Health Nursing Staff) Award 1987. Later applications were received in respect of public sector nurses in Tasmania, South Australia and Western Australia and nurses employed in private hospitals in South Australia. These nurses were the subject of first awards of this Commission made at various times between October 1988 and August 1989.

These matters have been referred to us under the Special Case provisions of the August 1988 and August 1989 National Wage Principles. On 20 November the President also referred to us applications lodged for structural efficiency increases for both registered and enrolled nurses covered by federal awards and determinations. The hearings were joined on 24 November.

The original claims were for professional rates consistent with rates granted by the Industrial Relations Commissions of Victoria and New South Wales in a series of decisions handed down on 16 August 1988, 25 November 1988, 19 May 1989 in Victoria and 30 November 1988, 16 February and 10 July 1989 in New South Wales. The unions had sought rates of pay in the two States comparable with those paid to hospital scientists, on the basis of changes to nurse education and the work environment. New rates of pay were established for registered nurses in these two States which are being applied in three stages: first phase increases, ranging from $7.50 per week for the first year registered nurse up to $25 per week for the higher levels of Directors of Nursing, operated from 28 November 1988; second phase increases were applied from 30 September 1989; and third phase increases are to apply from 30 September 1990. The final rates were the result of agreements reached between the unions and the respective governments with some differences in the rates in the two States due to the different classification structures. It was decided in both States that consistent with the granting of "professional rates", qualification allowances are to be phased out as to 50 from 30 September 1989, and 50 from 30 September 1990.

Following these decisions the Western Australian Industrial Relations Commission on 26 June 1989 granted increased rates for registered nurses in

that State, effective from 1 July 1989. These rates are reflected in the federal award for public sector nurses in Western Australia which was made when these nurses were brought within federal award regulation on 30 August 1989. They are comparable with the rates following all adjustments effected to date in New South Wales and Victoria.

On 11 October the ANF submitted a revised claim (Exhibit ANF 99). Miss F. Kyle who represented the ANF referred in her submissions to the changed circumstances since the original claims were lodged. She said "We now have the opportunity, we believe, to obtain national consistency of rates in nursing, which is the largest component of the health professional work force. This opportunity, we believe, has emerged with the expansion of award regulation in this jurisdiction and the consequent extension of this case to embrace three States which are relatively new to this jurisdiction. These objectives, that is, the establishment of appropriate relativities in relation to health professionals, other health professionals, and the establishment of national consistent rates are, we believe, conjoint."

The case has been categorized by the ANF as "the professional rates case". The term professional rates appears to us, however, to be inappropriate for a number of reasons. The Full Bench in A.257(23) commented on confusion as to what is meant by professional rates for nurses, which were variously defined before it as "salaries commensurate with those paid to other professionals in the health industry" and "rates which ... resolved all the anomaly issues now before this Bench". The Full Bench said it was not in a position to measure the worth or status of the UG2 nurses diploma in relation to the academic qualification of a hospital scientist or technician and

declined to fix professional rates "whatever that term may mean". It is now apparent that professional rates for nurses cannot be related to the possession of a degree or its equivalent because the evidence before us shows that in Western Australia and South Australia the UG2 nurses diploma is regarded as being the equivalent of a science diploma. Further, we are aware of the new integrated professional classification structure which is being introduced as part of the Commonwealth Public Service structural efficiency

agreement. This, in effect, puts all of the professional groups in that

structure on the same salary rates as professional engineers at equivalent levels. We understand that similar integrated structures for professional occupations are being introduced as the result of structural efficiency negotiations in some of the States. Nothing was put to us in this case which indicated that registered nurses should be included in these classification structures. We thus find ourselves in agreement with the Full Bench's comment in A.257 that the term professional rates in relation to nurses' salaries may lead to confusion. We recognize nursing as a distinguished and important profession, but that recognition does not assist us in identifying the appropriate salaries for nurses.

. a consistent approach to the fixation of nurses' salaries

throughout Australia based on an initial adjustment of the

relativities between the salary level of registered nurses

level 1 and salaries paid to other health professionals at

. the recognition of a community of interest within nursing

rather than maintaining a nexus with any other group.

The Federation, as we understand its claims and arguments, does not envisage that future salary increases for nurses will be determined by those awarded to other health professionals.

As to nationally consistent rates for nurses, the Full Bench in A.257 said

"We are in sympathy with the aim of the RANF to achieve one national scale and career structure for nurses operating throughout Australia. This objective cannot however be achieved as a result of any orders which we may make in these proceedings.

The desire expressed by the RANF through Ms Acton for this Commission to end the leap frogging and mish-mash of nurses' fixation rates which has applied up to now is a thoroughly commendable one, but it is not capable of achievement in these proceedings. We agree that the Commission has a role to play in the fixation of nurses' salaries, and we commend the objective of a single national rate and career structure. The means of achieving such an objective however are through the obtaining of a truly national award covering a large section of the nurses in the country. Until this is achieved a national scale and career structure can be no more than a desirable objective."

In our opinion the objective of a single national rate and career structure will take time to achieve, because of the differences existing in rates and conditions when the federal awards were made. Nevertheless, for reasons which we will subsequently publish, we believe that a case has been made out in these proceedings for moving towards a consistency of approach in the fixation of nurses' salaries. The jurisdictional change to the regulation of nurses' salaries and conditions is, in our view, the key to facilitating a co-ordinated approach and we propose in this decision to take a first step towards that goal. We have decided to establish more nationally consistent rates for the registered nurse at Level 1.

We are prepared to grant an entry rate at this stage in the ACT, Northern Territory and South Australia of $22,338 per annum. This is the rate which has been determined by the Industrial Tribunals of Victoria and New

South Wales for those States. It is also the entry rate which was agreed in Western Australia. The rate is compatible in our opinion with similar levels in hospital scientists awards. Moreover, we were assured by the ACTU that it was acceptable to the other allied health professionals and would not provoke any movement in those awards. This assurance is an important reason for our preparedness to adopt the base salary of $22,338 for the first year registered nurse.

The commencement rate in Tasmania will be $21,444. This is consistent with the differential between Tasmanian rates and the rates of other States which was agreed between the unions and the Tasmanian government when the new salary structure was approved for Tasmanian public sector nurses earlier this year. Whereas we do not see that agreement as permanently limiting these salaries in Tasmania, nothing was put to us which would warrant disturbing the differential at this stage.

Having established the base rates at these levels, we decide that the percentage increase required to achieve the entry rate should be applied throughout the existing salary structures in each award. We are not prepared to alter the structure or internal relativities in any of the awards before us at this time for the following reasons: . nursing structures are being reviewed in the context of the structural efficiency principle

. greater attention needs to be given to salary related conditions of employment, and . careful assessment needs to be made of the impact of structural efficiency agreements in the various State public sectors and the wage relativities created. The salaries arising from our decision will be set out in full in the relevant orders.

We think it appropriate to create identical rates for levels 1 and 2 in the ACT and Northern Territory as the present variations in the rates are so small. A slightly different percentage increase will therefore be required as between the two Territories to level up these rates. In Western Australia rates comparable with those prescribed in New South Wales and Victoria and those proposed for the ACT, Northern Territory and South Australia are already in place. There will be no change to these rates at this stage, notwithstanding the agreement of the parties for additional increases to

operate from 1 January 1990. DVA nurses in Western Australia, South Australia and Tasmania will continue to match their State public sector counterparts. We are not in a position to judge whether increases in respect of DVA nurses in Queensland are warranted. This matter will be considered further upon request. The rates in other Commonwealth awards and determinations will move according to existing alignments with nursing structures except in the case of nurses employed under the Australian Telecommunications Commission Occupational Health Nursing Staff (Salaries and Specific Conditions of Employment) Award 1979, Nganampa Health Council (Community Health Nursing Staff) Award 1987, and Aboriginal and Community Controlled Health Services (Community Health Nursing Staff) Award 1988. These awards will be dealt with later in the decision.

We are in agreement with the decisions of the New South Wales and Victorian tribunals to phase out qualification allowances. Except for the public sector in Western Australia these will be phased out as to 50 from the date of operation of this decision. The date from which the remainder will cease to operate will be decided in the context of the final determination of salary rates. The Western Australian Industrial Relations Commission had already established a programme for phasing out allowances in that State

before the making of the federal award and we do not propose to disturb that arrangement at this stage.

On 12 October 1989 the Bench said the claims for higher salaries for nurses, whether related to the pursuit of professional rates or to measures for structural efficiency, would be dealt with together as a totality. The parties were to commence negotiations on structural efficiency and to report back to the Full Bench on 23 November on their progress. A copy of the Statement of the Bench is attached to this decision. Structural efficiency applications are now before us. These are clearly at different stages of negotiation. Only Western Australia and the ACT are close to achieving

agreements which would justify the first structural efficiency increase. Most

of the other employing bodies and the unions still have some distance to travel before the first stage structural efficiency increase can be granted.

It must be appreciated that the matters before us are part of a series of cases which have generated substantial increases for nurses since 1987. The impact on State and Territory budgets has already been significant. This leads us to the view that the combined increases flowing from the matters before us must be the subject of phasing.

Having regard to the inadequacies of most of the structural efficiency agreements, we decline to grant structural efficiency increases at this stage, except in regard to Western Australia. Western Australia, unlike the ACT will not benefit from a wage increase as a result of this decision. Commissioner Smith will be available to consider an agreement and, if necessary, conciliate or arbitrate in relation to a first structural efficiency increase for nurses in Western Australia early in January 1990. For the employing bodies in the other States, the Commonwealth and the Territories, revised agreements will be considered upon request. A member of the Bench will be delegated to hear and determine the first stage structural efficiency increases in relation to these awards.

We now consider occupational health nurses employed under the Telecom ANF Award. These nurses since 1979 have had their rates aligned to those of ACT community health nurses. Telecom submitted that this nexus is no longer appropriate and that the rates of these nurses should be related to those of other groups within Telecom, most notably administrative officers with whom nurses work very closely. It further submitted that the rates fixed are appropriate, subject to increases yet to be made pursuant to the March 1987 National Wage Case decision with respect to second tier and to the structural efficiency principle. Telecom argued that the nurses covered by this award

should be part of the Telecom structure, although separate negotiations with respect to nurses should occur. In this regard Telecom was in the process of completing a review of its occupational health and safety structure to form the basis for agreement with respect to structural efficiency to support its propositions. It compared the functions of its nurses with the duties of ACT community health nurses and drew attention to relative rates of pay of various classifications in Telecom awards.

The ANF maintained that the Telecom nurses perform nursing work and should be related to other nurses. It argued that Telecom had provided no justification for creating relationships between the salaries of nurses and other Telecom employees. The Federation did however state that it was "willing to look at the claimed role change on the part of Telecom occupational health nurses from our side and the lack

of evidence to date as to any justification for an alternative means of classifying the Telecom nurses that we

say that certainly for the present time at least the current salary relationship should continue."

We do not accept that at a time when all relationships are being reviewed, current relationships should necessarily remain for a particular

group. Under the structural efficiency principle relativities and relationships may be re-examined. The material before us indicates that the change in the role of these nurses since 1979 is sufficient to warrant it being assessed in the context of other Telecom workers. We are concerned that nurses covered by this award are not yet in receipt of the second tier increase allowed by the National Wage Case decision of March 1987. Furthermore, negotiations with respect to structural efficiency increases are far from being finalized. In the circumstances we have decided that this award should be referred back to the relevant panel to finalize these matters, including an examination of the role of the Telecom nurses in the context of the structural efficiency principle. To the extent that it is argued that this examination justifies further increases on work value grounds, then this matter can be pursued.

In relation to the two Aboriginal Nursing Staff awards before us, we have received a letter from Ms M. Tehan acting on behalf of the employer parties. The letter raises concerns and uncertainties regarding the existing levels of salaries, the overtime provisions in these awards and the cost implications of the increases sought. Although the ANF recognized that the

Aboriginal Health Service has serious funding problems from time to time, it nevertheless maintained that these occupational health nurses should be considered as part of the nursing mainstream and not specifically in relation to this one operation. In the absence of oral submissions on behalf of the employing authorities we were not able to explore the concerns expressed. Nevertheless they lead us to conclude that the awards should be reviewed before any salary adjustments arising from these claims occur. We refer these awards to Commissioner Cross for investigation and report.

In light of the view we adopt regarding the proper implementation of the National Wage Principles and in particular the structural efficiency matters raised before us, all of the matters will be relisted for the week commencing 4 June 1990. The Full Bench will then review final rates and relativities together with the timing of any further increases both in relation to the claims for more nationally consistent rates and structural efficiency. We expect this to be a short hearing enabling us to assess various structural efficiency results, including the envisaged revision of nursing structures.

The parties should submit draft orders giving effect to this decision which will be settled by the Registrar. The orders will operate from the first pay period commencing on or after today and will remain in operation for a period of six months.

A supplementary decision will be issued dealing more fully with some of the matters referred to in this decision.

"We are firmly of the opinion that the claims of the unions for higher salaries, whether related to the pursuit of

professional rates or stemming from measures of structural efficiency, must be dealt with together and as a totality.

Further, increases granted will be dependent upon progress with structural efficiency. At this stage we have no view as to the sequence of or timing of any such increases.

We recommend that the claimant unions make applications

as soon as possible relating to their structural efficiency claims. This will enable the President, if he sees fit to do so, to refer these claims to this Bench for consideration alongside the professional rates claims.

We expect the unions and relevant employers to engage forthwith in comprehensive negotiations about structural

efficiency and we ask that there be a report, preferably agreed, to the Bench at the commencement of the next round of hearings on 23 November, about the progress of the structural efficiency negotiations.

If the parties consider that it would be helpful to confer with the Bench about this statement or any related matters, we shall make ourselves available for the purpose at a mutually convenient time."