The Fair Work Commission has ruled that rail workers in Sydney will receive an extra one per cent yearly increase in their pay.
Workers will receive an additional one per cent pay increase on top of the existing offer made by the New South Wales government when negotiations for a new enterprise agreement began in May 2021.
The disagreements over the rate of pay increases had led to prolonged industrial action affecting NSW trains, culminating in network-wide shutdowns and rolling strikes last year.
The rail unions lodged the first of several applications with the commission back in September after failing to reach agreement with the government.
The Fair Work Commission ruled that the initial one per cent wage increase will be applied from May 2022, with another one per cent increase applied from May 2023. Sydney train employees would now receive a pay rise of 3.53 per cent from 2022, with back pay to be paid out, and an increase of 4.03 per cent from 2023. They will also get a one-off payment of $4500.
Unions NSW secretary Mark Morey said the momentous decision delivered significantly higher pay than the NSW government intended.
“The independent umpire has now returned a decision significantly higher than the wage cap that applies to nurses, paramedics, teachers and police,” he said.
The decision comes in the wake of Sydney Trains and NSW TrainLink employees agreeing to a new agreement presented by the NSW Government in January.
The deal provided a pay rise of 2.53 per cent in the first year (as well as superannuation backdated to May 2022), and 3.03 per cent for the second year (with superannuation backdated to May 1 this year).
In a 52-page judgment released on Friday afternoon, the Fair Work Commission found the government had not been able to demonstrate that a wage increase past its three per cent wages cap would cause any “discernible detriment” to the NSW budget.
“No evidence has been adduced, nor is it contended, that any wage increase additional to those provided for in the 2022 agreement would cause any difficulty for the commercial or financial position of the rail entities or for the budgetary position of the NSW government,” the judgment said.
“This projected significant decline in real wages is a significant factor weighing in favour of the award of wage increases additional to those currently provided for in the 2022 agreement.”
.png){kind=small}
