AV EBA 2013 WAGE PROPOSAL ANALYSIS

While espousing the Governments 2.5% wage offer for no trade offs it appears that AV is treating its employees differently to other public sector employees in that they are required to give trade offs to pay for the 2.5% initial wage increase. Any further increases are based on the roster that they work and whether they are prepared to give up some leave. AV proposes: 1. Five wage groups based on different roster categories. This involves the abolition of the rolled-inrate as it currently stands.This, in AV language, is about rewarding employees who work the penalty shifts. Eg. Currently an ALS Yr 6 Paramedic working a 10/14 roster (or any other roster) gets a RIR component of 26.59% on their base rate. Under AVs proposal they will get a Fixed Shift Penalty of 25.5% on their base rate working a 10/14 roster, or they can get 27% if they are prepared to give up some leave. Reduction in leave. For an ALS Year 6 Paramedic working on a 10/14 roster there will be increases in ordinary pay totaling approximately $9,880.00 over the four years. But for this they have to give up one week of leave and 2 ADOs a year, for 4 years. The foregone leave is estimated to be worth $8,506.00 over this period. Therefore the gain is $1,374.00 over 4 years or $343.50 pa.

2.

For employees who do not do any shift work the pay increase will be 2.5%. But they, like everybody else, have to give up leave loading and other allowances paid separately (see box A) and agree to productivity gains (see box B). What they will lose
On each O/T shift = $28.00 on current rates of pay On-call Paramedics lose 30 mins of their minimum payment = $28.00 on current rates of pay No make up pay if you are injured at work Part time employees lose overtime rates beyond their contracted hours Rural Paramedics will be moved around to any number of locations Increased difficulty in getting a meal break Annual Leave loading on current rates this equals $1192.60 p.a. for an ALS Yr 6 Paramedic

AV is saving huge O/T dollars on not having to replace paramedics for 4 weeks and 8 ADOs over 4 years which equates to a saving of 595,840 hours at overtime rates. (approx $33.7 mil) 3. Modification of the Rolled in Rate

AVs attempt to reward employees who work a 10/14 type roster by applying a 25.5% fixed rate is less than what the current penalties are, that are shared by everyone. See below. Classification Graduate Amb P/M Level 2 ALS Paramedic Yr 6 MICA Paramedic Yr 6 Current RIR % 28.32 26.6 26.72 AVs Fixed Penalty Rate 25.5%

AV EBA 2013 WAGE PROPOSAL ANALYSIS

Salary Proposals Increases and Fixed Shift Penalties are funded through the following: Box A Allowances & Payments Annual leave loading absorbed/incorporated Drivers licence reimbursement into base rates of pay 10-minute vehicle preparation instead of being paid Flying allowance (AAV positions only) separately Communications centre allowance (Comms Centre positions only) Operational crewing allowance Lost, Stolen, Damaged property Box B Productivity gains Implementation of a state-wide Short Term Relieving Included Paramedic model Flexibility of Meal Break Management (removal of Code 1 warnings, increase in the window of opportunity) Part time employees paid at ordinary hours up to 38 hours per week Accident make up pay to align to legislative entitlements All overtime to be paid at 150% for the first two hours then 200% thereafter regardless of whether it is incidental or full shift overtime Minimum callout period to become 1 hour instead of 1.5 Cease 13-week employee secondment to the union Change the release of employees for state councillor meetings from 15 people to eight people six times per year Change workplace relations training to 35 days per year which provides for five days per region

$ Value 3,645,352.00 54,000.00 1,125,182.00 (119.390.00) (112,681.00) 14,470.00 47,602.48 4,886,606.00 $ Value to AV $$$$$$ $$$$ $$$$ $$$ $$$$$$

$$$ $35,447.10 $38,883.60 $18,516.00

The total amount of allowances and payments to be rolled into base rates (in Box A) is $4,886,606.00. (excluding Flying & Control Room Allowances) Calculating the total cost of a 2.5% increase to every operational employees base rate of pay the figure is approximately $4,082,723.00, leaving a profit of $803,883.00 How different Classifications will be affected Non-Emergency Operations
Details Minimum Salary Increase for all current employees. Effect on leave entitlements Option One 2.5% No reduction in leave entitlements Option Two 5.0% One week reduction in PH leave 2 Day reduction in ADO

GROUP A Wage Details No shift work Year 1 increase Fixed shift penalty

2.6% of employees 2.5% 0.00%

5.00% 0.00% 2

AV EBA 2013 WAGE PROPOSAL ANALYSIS

Patient Transport Officers / Ambulance Attendants / Driver Training Coordinator Classifications in this group are as above. According to AV these classifications do not work shift work and fall under GROUP A in their wage proposal The total numbers of employees in this category that can be identified is approximately 44 (plus DTCs) Option One. A 2.5% increase in their total base rate = $49,733.00 however, they are contributing $127,051.00 by incorporating/absorbing allowances from Box A. Result = $77,318.00 profit to AV Option Two. A 5.0% increase in their total base rate = $99,466.00, however, they are contributing $127,051.00 by incorporating/absorbing allowances from Box A, and contributing from loss of 1 week PH leave plus 2 ADOs which is an amount of $58,852.00. Result = $86,437.00 profit to AV Emergency Operations Car Division Controllers / Clinic Transport Officers / Paramedic Community Support Coordinators / Shepparton PTOs GROUP B Wage Details Low shift work Year 1 increase Fixed shift penalty 2.2% of employees 2.5% 5.00%

5.00% 5.00%

The total numbers of employees that can be identified in this category is approx 45. Option One. A 2.5% increase in their total base rate = $51,446.00 however, they are contributing $107,505.00 by incorporating/absorbing allowances from Box A. Result = $56,059.00 profit to AV. Option Two. A 5.0% increase in their total base rate = $102,932.00, however, they are contributing $107,505.00 by incorporating/absorbing allowances from Box A, and contributing from loss of 1 week PH leave plus 2 ADOs which is an amount of $56,059.00 Result = $60,632.00 profit to AV Example: A 5% penalty (on the new base rate) for low shift work would see a Clinic Transport Officer Yr 3 receive $41.30 per week, rather than the $240.35 currently. Put another way, current RIR is $1,045.95. New RIR after 2.5% increase, (plus allowances rolled in) would be $867.05 which is a reduction in pay.

Senior Team Managers / Clinical Support Officers

GROUP C Wage Details Moderate shift work 2.6% of employees Year 1 increase 2.5% Fixed shift penalty 15.00% The total numbers of employees in this category is approx 64. Option One. A 2.5% increase in their total base rate = 124,753.46, however, they are contributing more than $127,050.87 (have not included Comms Allowance for CSOs) by incorporating/absorbing allowances from Box A. Result = 2,297.41 profit to AV 3 5.00% 15.00%

AV EBA 2013 WAGE PROPOSAL ANALYSIS

A 15% penalty (on the new base rate) for moderate shift work would see a Senior Team Manager Yr 3 receive 209.52 per week, rather than the 326.95 currently. Put another way, current RIR is 1689.70. New RIR after 2.5% increase, plus allowances rolled in would be 1606.34 which is a reduction in pay. A 15% penalty (on the new base rate) for moderate shift work would see a CSO Yr 3 receive 240.10 per week, rather than the 374.20 currently. Put another way, current RIR is 1935.80. New RIR after 2.5% increase, plus allowances rolled in would be 1840.74 which is a reduction in pay. Option Two. A 5.0% increase in their total base rate = 249,506.92, however, they are contributing 127,050.87 by incorporating/absorbing allowances from Box A, and contributing from loss of 1 week PH leave plus 2 ADOs which is an amount of 166,022.99. Result = 43,566.94 profit to AV. AV has stated that current employees will be quarantined, ie they will not suffer a pay cut. This means that new employees and employees coming into these positions will be on a lesser rate of pay and current employees in these positions will in actual fact take a pay cut.

GROUP D Wage Details On Call Rosters 4.4% of employees Year 1 increase Average 3.69% Fixed shift penalty 23.00%

Average 5.35% 25.00%

The total numbers of employees that can be identified in this category is approx 100. Option One. A 3.69% increase in their total base rate = $207,350.00 however, they are contributing $215,010.00 by incorporating/absorbing allowances from Box A. Result = $7,660.00 profit to AV. A 23% penalty (on the new base rate) for On Call Rosters would see an ALS Paramedic Yr6 receive 256.80 per week, rather than the 286.45 currently. Put another way, current RIR is 1363.35. New RIR after 3.69% increase, plus allowances rolled in would be 1373.45. which is only a $10.00 increase per week. Option Two. A 5.35% increase in their total base rate = $300,630.00, however, they are contributing $215,010.00 by incorporating/absorbing allowances from Box A, and contributing from loss of 1 week PH leave plus 2 ADOs which is an amount of $192,283.00 Result = $106,663.00 profit to AV QUESTIONS: How do new employees choose the group they wish to work in? What happens after the agreement is approved if AV decide to change rosters? What rosters are employees placed onto if placed on reserve? How do branches get to change their roster if it affects rates of pay? What do employees get paid when on overtime at a different branch? What roster projection would they be paid when rostered to annual leave?