ASU: Kingborough Council Workers Reject Cut in Real Wages

Media release – Australian Services Union, 3 June 2022

Kingborough Council Workers Reject Cut in Real Wages

Disruptive industrial action is on the horizon at Kingborough Council, with Australian Services Union members rejecting a proposed cut in real wages.

Kingborough Council, with wages already lower than surrounding councils, is offering a pay rise of just 2.8 % when the cost of living in Hobart has increased by 5.8% in the last 12 months.

Australian Services Union Organiser Karen Tantari said workers at Kingborough need a pay rise that keeps up with the cost of living.

“The wage offer to staff for this year is just 2.8%. That would be a real wage cut of 3.0% or $1,650 for Kingborough’s labourers and customer service staff.”

“Employees at Kingborough Council have rejected council’s previous proposals three times already, something that hasn’t happened at a Tasmanian council in recent memory.”

“Recently, Kingborough General Manager Gary Arnold outrageously suggested that workers could part-fund a pay increase by reducing their superannuation.”

“If this becomes a formal proposal, I am certain it will be overwhelmingly rejected by Kingborough Council employees.”

Analysis by the Australian Services Union of comparative wages shows Kingbourough Council are already lower than nearby councils.

A labourer at Kingborough Council earns $2.00 less per hour than someone performing the same work for Huon Valley Council, $2.20 less per hour than someone at Brighton Council and more than $1.00 less than someone at Tasman Council.

“Kingborough Council is experiencing staff turnover that is much higher than at other councils with workers moving to neighbouring councils or the state government where wages are higher and conditions are better.”

“Staff at Kingborough Council are hard-working people, and it’s not right that council wants to make it even tougher for them to make ends meet.

“Kingborourough Council workers had a pay freeze forced on them in 2020-21 and need a wage increase in line with the cost of living. “

“Members of the Australian Services Union want to progress negotiations on the enterprise agreement but will not accept a cut in real wages.”

The Australian Services Union has begun the process of taking protected industrial action.