Hydro Tasmania employees are set to vote on industrial action after rejecting the state-owned company’s latest enterprise agreement offer, with union officials claiming workers’ living standards are falling behind while executives receive ‘massive pay packets’.
About 57% of workers voted against the proposed agreement on July 28, which would have covered around 690 of Hydro Tasmania’s 1200 employees.
The Communications, Electrical and Plumbing Union (CEPU) has now lodged a protected action ballot with the Fair Work Commission.
CEPU state organiser Adrian Shaw said the decision was not taken lightly, saying Hydro workers keep the lights on for every Tasmanian and keep the state’s economy thriving.
The rejected offer included a 2.4% pay increase for the first year matched to the March consumer price index, with second and third years capped between two and 3.5%. It also featured a $4,000 sign-on bonus.
It represents a reduction from the previous agreement, which provided 3.5% increases each year.
Hydro’s executive general manager of people and corporate affairs Ruth Groom defended the proposal as “a strong offer that supported staff to manage cost of living pressures”.
“We respect the employees’ vote and have returned to the bargaining table,” Groom said.
Hydro Tasmania has committed to continue negotiations, with meetings already scheduled with union and independent representatives.
The company has reassured Tasmanians that energy security will not be affected if industrial action proceeds.
“We respect the right of employees to take industrial action and assure Tasmanians that energy security and safety are our top priorities,” Groom said.
“We have plenty of capacity within our energy network and within our business to manage Tasmanian demand.”
Both parties are scheduled to meet again on Thursday to continue negotiations.
