News & Views

7th February 2018

NECA calls on employers to turn their back on union enterprise agreements

The Victorian Chapter of the National Electrical and Communications Association (NECA) has called on its members, and all electrical contracting industry employers, to engage directly with employees to achieve enterprise agreements.

 

The Executive Director of NECA Victoria, Mr Kevin McCosh said that with the current Electrical Industry ‘Pattern’ Agreement expiring on 31 October, discussions with the Electrical Trades Union have been very disappointing.

Mr McCosh has warned the industry that short-sighted and unreasonable union demands made by the ETU will result in massive job cuts across the electrical contracting industry as Victorian electrical companies close their doors.  And at the same time creating greater opportunities for interstate contractors to move in and win Victorian electrical work by under-cutting on price. 

“In Victoria, electrical contracting businesses who have union enterprise agreements are finding it particularly hard to win work. The high cost of labour associated with these companies is fast making them uncompetitive. A worker who is employed by such companies is currently paid $45.66 per hour for a 36 hour week, receives double time for any overtime and shift work, receives 26 rostered days off a year, and on top of that also has over $120 per week paid on their behalf into a redundancy and income protection fund. These conditions are great for workers but are costing Electricians their jobs on a daily basis.” Mr McCosh said.

In order to secure a new Agreement, the union is demanding a 20% increase to wages and allowances over a three year period, an immediate increase in superannuation guarantee contributions to 12%, and an additional 18% increase to the employer contributions into the severance and income protection fund in addition to the establishment of portable annual leave and sick leave schemes.

He added that Electrical Contractors in Victoria are urgently seeking new enterprise agreements that will be compliant with the anticipated new Building and Construction Code. ‘This is an extremely important issue for Contractors as they will need to be Code compliant in order to access government funded work which currently constitutes 42% of all electrical work undertaken’

Mr McCosh said that employers had nothing to fear from negotiating enterprise agreements directly with employees as this had been a growing trend in the industry over the past two years.

 

-ENDS-

Media enquiries and interviews

Kevin McCosh – Executive Director NECA Victoria

E kevin.mccosh@neca.asn.au

D 03 96455533

M 0450 515 041

 

Barry Jackson – National Marketing and Communications

E barry.jackson@neca.asn.au

D 02 9962 6904

M 0457 767 328

Notes for editors

  1. NECA is the peak industry body representing the interests of electrical and communications contractors Australia-wide.
  2. NECA is run by electrical contractors, for electrical contractors.
  3. We have 5,000 contracting companies as members – and they in turn employ over 50,000 people Australia-wide.
  4. NECA employs almost 350 people across its seven chapters (Queensland, New South Wales, ACT, Victoria, Tasmania, South Australia and Western Australia).
  5. The chapters provide NECA members with a range of services including: Industrial Relations, Health & Safety, Legal, Training, business-support services, product discounts and advocacy representation in Canberra with Government, Industry bodies and Training bodies.
  6. NECA wholly-owns its Legal firm, Group Training and the NECA Colleges (in WA) and EcoSmart Electricians – and has joint ventures with a superannuation company (NSW) and one of the national cabling registrars (ACRS).
  7. NECA also employ around 2,000 apprentice electricians and provides training to a further 2,000.
  8. For further information go to www.neca.asn.au .

 

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