Pay rise for LPO employees

There are about 1.4 million low-paid Australian workers on minimum Award wages who rely on Union representation at annual wage cases to protect their living standards – that’s one in six workers. These workers include our members who are employed by Licensed Post Offices. It is also worth noting that Unions vigorously pursue a pay rise in minimum wage cases for Award workers despite the fact that most are not members of Unions.

Real pay cuts for the low paid under WorkChoices

The former Liberal Government’s WorkChoices laws changed the way minimum wages were set to make them lower. This meant that over the period of the former Coalition Government’s WorkChoices system, the wages of over 1.4 million Australians reliant on Award wages went backwards in real terms. Average Award wages dropped by around $30 a week and some Award workers had their real wages cut by almost $100 a week.

In a final blow for Award workers, the WorkChoices pay commission decided in July 2009 to freeze their wages – so Award workers did not get any pay rise that year.

New Fair Work laws

The new pay setting body established by the Federal Labor Government – Fair Work Australia (FWA) – now conducts the Annual Wage Review under new, fairer industrial relations laws. Under the new laws, the Panel considers not only the economic criteria, like inflation and productivity, but also important issues like social inclusion, relative living standards and the needs of the low paid.

This year’s pay rise

From July 1 2011, LPO workers will receive a pay rise of between $20.68 and $26.40 per week (depending on classification). This means, since Labor’s new, fairer wage setting system made its first wage review decision last year, Unions have achieved average wage increases of over $46 per week for LPO employees.

The wage increase applies to workers in all Licensed Post Offices respondent to the Postal Services Industry Award 2003. The application of this wage increase is limited to LPO workers who do not receive wage increases under a certified agreement or a WorkChoices Australian Workplace Agreement (AWA).