This statement concerns the making of multiple NSW Health Awards applying to members of the Health Services Union (HSU).
In October 2024, the Secretary of the Ministry of Health (Health Secretary) and the HSU reached agreement on a Memorandum of Understanding (MOU). Importantly the MOU included agreement to ongoing negotiations about conditions of employment as itemised in the HSU 2024 Log of Claims. The Log of Claims contained a commitment to work cooperatively and in good faith during the life of the MOU with the aim of reaching consensus for new industrial instruments to apply from 1 July 2025. The object is to consolidate and modernise more than 50 Awards and Determinations.
On 11 November 2024, the Health Secretary filed an application for a dispute under s 130 of the Industrial Relations Act 1996 (NSW) as a vehicle for the matter to come before me.
I listed the matter for a report back on 1 April 2025 and requested the parties to file a joint submission setting out the steps taken by the parties and progress made in relation to award reform. I was told that the parties had engaged in regular meetings and exchanges in correspondence with a view to replacing more than 50 industrial instruments with a single core conditions award that would apply to all employees falling within HSU classifications (excluding medical, ambulance and early childhood teaching classifications) along with two to five classification awards.
Mr Lappin for the HSU informed the Commission that even before those negotiations commenced the HSU had engaged in an extensive process of consultation and meetings of its members, constituting "hundreds and hundreds of hours across hundreds of people", and that far from being a project led by an industrial officer, this was a process led by HSU members who had been deeply involved in the drafting of everything that has been done.
At the report back on 1 April 2025, I was informed that the negotiations had been progressing well and the parties were confident that, provided certain key decisions were able to be made at a senior level, the aims of the parties could be achieved. The parties informed me that they were each committing significant resources to the process, had agreed on a large number of further meetings, and each were seconding to the project high-level officers with subject matter expertise.
The matter came back before me for a further report back on 18 June 2025 and I received a further joint submission. I was told that since 1 April, the parties have met a further 21 times to discuss:
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(1) The HSU's claim relating to its consolidated Core Conditions Award;
(2) Conditions common to the HSU's Clinical Health Professional and Associated (CHAP) Award and Medical Imaging and Radiation (MIR) Award;
(3) Individual professional streams within the CHAP and MIR Awards; and
(4) A new general services award, and how this award could be progressed and settled in advance of the HSU's other claims.
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The exercise that the parties are engaged in - an exercise of award modernisation and simplification - is a very significant project which started more than two years ago and is now nearing its third anniversary.
The parties are now within striking distance of achieving something that would stand as one of the most significant industrial reforms that has occurred in this jurisdiction for many years. I am not only keen to encourage the parties to make those final steps but have made clear that the Commission stands ready to give them whatever assistance is required to bring it to successful completion.
The outcome of this project will not only benefit the workers and managers covered by the new simplified and modernised awards, who will be able to perform their jobs more efficiently, but also the health service and the people of NSW more generally. These are not changes that might be expected to result in immediately quantifiable reduction in costs. Rather, like changes in other areas of regulation directed at reducing red tape and unnecessary complexity, these are changes that can be expected to increase efficiency and productivity over time.
In addition to the hard grind of reaching agreement on a myriad of varying conditions to obtain a single Core Conditions Award, there are some significant decisions that have to be made at a high level before the significant improvements in efficiency and productivity that will flow from this project can be agreed and implemented. I would not want these benefits to fall over due to a failure of people at the most senior level to discuss and make the necessary high-level decisions to bring this project to fruition.
For that purpose I recommend that in about four weeks' time a meeting be held at which the parties are represented at their most senior levels, including the HSU by its General Secretary Mr Gerard Hayes, and the Health Secretary by the Deputy Secretary for People and Culture, Mr Phil Minns. It would also be appropriate that the meeting be attended by persons representing those government decision-makers who would need, ultimately, to approve any additional funding that may be needed to give effect to the ultimate agreement. To that end I recommend that such a meeting be attended by senior staff members of relevant Ministers such as their chiefs of staff.
The report of the outcome of such a meeting will allow me, when the matter is next before me, to understand what needs to be done to bring these discussions to fruition.
I encourage the parties to continue the work that they have been doing. Nothing should be done that would prejudice all of this good work ultimately achieving its aim of the substantial modernisation and consolidation of awards. No doubt, in order to get it across the line, both sides will have to make concessions and reach agreements of the sort that they would prefer not to have to make. However, this work cannot be allowed to fail, and the Commission will do everything it can to assist the parties to ensure it is a success. To that end I reconfirm the Commission's willingness to assist the parties in that process. I have indicated to the parties that a Commission member can be made available to assist them through conciliation, including to assist in the process of finalising the terms of the awards that will reflect the outcome of this important project.
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(1) The matter is listed for further directions on 19 August 2025 at 2.30pm.