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Impact of WorkChoices on NSW youth services

from YAPRap September 2006

Late in 2005 the NSW Government established a taskforce to investigate the impacts of WorkChoices on the delivery and quality of community services in NSW.

In August 2006 YAPA met with Justice Marcus Einfeld, the Chair of the Taskforce, to discuss potential impacts of WorkChoices in the youth services sector.

Our recommendations are outlined below:

1. Employment advice

YAPA anticipates that many young people and young adults will be offered an AWA and will require further information and support about their rights at work and how to negotiate their pay and conditions.

Youth workers are able to provide emotional support to young people on these issues however they do not have detailed knowledge of the industrial relations system and legal employment matters.

YAPA recommends that the NSW Government establish a free and independent Young Workers Advisory Service to provide this advice.

2. Demands on emergency assistance

YAPA anticipates that many young people will be affected by the removal of unfair dismissal protections because they work in industries which employ less than 100 workers such as retail and hospitality.

The removal of unfair dismissal protection means that it will be easier for employers to churn through a large number of young people in the interests of economic productivity.

We anticipate that many young workers will find themselves suddenly unemployed. This has many impacts on a young person's sense of self worth, independence and identity.

We expect to see a rise in the number of young people seeking emergency relief, practical support and assistance with emergency accommodation.

Given that most services are working at full or over capacity we can only wonder at how these needs can be met.

3. Competitive tendering

Many funding bodies have an increasing interest in competitive tendering or in contestable processes which include a focus on value for money.

While most youth services are not constitutional corporations and will stay under the NSW Social and Community Services Award system, there are some notable exceptions including 'for-profit' organizations and many large charities.

These organizations will be able to offer AWAs to their staff and may choose to offer lower wages and conditions.

We therefore expect that for-profit organisations and some large not-for-profit charities who do not pay decent salaries will be competing with those that do. We can only expect that those with the lowest cost drivers will be successful in future funding rounds with some government departments.

YAPA does not believe that this situation will lead to increased outcomes or quality of service for clients.

The effect of WorkChoices will be inappropriate competition between community services for funding.

Services which are not constitutional corporations may be faced with a choice of tendering based on reduced staff wages, or lose their funding.

YAPA recommends that the NSW Government ensure that appropriate salaries for staff are viewed as indicators of a quality service, in funding allocation processes.

YAPA also recommends that the NSW Government require their funded services to report on resources allocated to staff training and professional development.

4. Information about WorkChoices

Many youth services are managed by small management committees which do not have expertise in employment matters. Many services are unsure about where they stand in relation to WorkChoices. Both workers and management committees are experiencing uncertainty and anxiety on this issue.

In additional, small organizations do not have sufficient funding to seek legal advice on these issues.

YAPA recommends that the NSW Government provide information and support to management committees and managers about their position in relation to WorkChoices. This could be delivered through a training program via the DoCS NGO Training Unit.

5. Ability of workers to bargain at work

YAPA believes it will be very difficult for community workers in constitutional corporations to participate in individual bargaining.

Management committees who are faced with increasing costs without a corresponding increase in funding (such as adequate CPI increases) will be faced with a choice of cutting services or cutting staff wages. We expect that many will choose against staff wages.

We also note the predominance of female workers in the industry. 65% of youth workers in NSW are women. It is our view that males are over-represented in managerial and higher paid positions. We believe that many female workers will find it more difficult to negotiate at work, and that management committees will be less willing to negotiate with female employees.

YAPA recommends that the NSW Government establish a fair and just indexation policy for all funded community services in NSW, and that indexation payments are delivered in a timely manner.

YAPA recommends that the NSW Government continue to support services to properly cost their services in funding allocation processes via the DoCS Costing Project.

6. Long service leave

The youth services sector already faces a high turnover rate in the industry and between positions. It is YAPA's view that this turnover rate is increasing.

On average, workers have been employed for 4 years in the sector, and 2 years in their current position.

Currently there is no portable long service leave available for youth workers, as in other industries. This impacts on the retention rate.

YAPA recommends that the NSW Government investigate options and support for a portable long service leave system for community workers in NSW.

 

More information about WorkChoices

There are resources for young people, and links to other media coverage, at YAPA's Your rights at work page.



Youth Action & Policy Association NSW Inc (YAPA) ABN 17 209 492 539 phone (02) 9281 5522 tollfree (NSW landlines only) 1800 627 323 fax (02) 9281 5588 post Suite 403, 64-76 Kippax St SURRY HILLS NSW 2010 Australia email info@yapa.org.au
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