USU Campaigns across NSW to Stop Funding Changes that Threaten Jobs
By Ben Kruse
USU General Secretary
Apr 9, 2008
The New South Wales State Government has again moved to threaten jobs in Local Government by seeking to alter the funding arrangements for RTA work. USU General Secretary Ben Kruse has been visiting members across NSW to campaign against the funding changes. Since 2000 councils have operated under the Single Invitation Maintenance Contract (SIMC) for work performed on the State roads.
Under a new proposal called the Road Maintenance Council Contract (RMCC) funding becomes at risk with options recommended that will severely affect employees in councils who rely on the RTA funding as a major source of income. An Issues and Options paper was distributed in January this year when the majority of councils’ road staff were on leave with a request for submissions to be provided by the 15th February.
Options being considered include, the RTA taking over all spray sealing works on State roads, contracting out all works or going to competitive tendering with the state being divided into contract zones for spray sealing.
Most councils have had to invest huge amounts of time, money and resources towards the development of their management system for compliance under the SIMC system.
There has also been major capital investment in plant & equipment to perform works under the existing system.
The impact of this funding change is likely to be significant with potentially 1500 local government jobs at risk across the state.
Many smaller rural communities already struggling will be further disadvantaged with job losses imminent should the funding arrangements change. The flow on effect to local communities of having contractors or RTA employees not residing within the community has the potential to further decimate many rural communities.
Communities at Risk Millions of dollars will be ripped away from struggling communities already being hit hard through drought, attacks on Water and Sewerage, Section 94 levies, and the privatisation of the Energy Industry.
Councils will also be faced with higher costs for their local road works due to the reduced scale of works on offer. Economies of scale will mean councils will be forced to pay a higher cost for road working materials due to a reduced demand with the loss of the RTA works.
The USU is working with councils and the Local Government and Shires Association to ensure that the funding is not lost to councils or their local communities and to preserve jobs especially in the rural communities.
USU Submission The Union has made a submission on behalf of its member and has requested meetings with the Minister and the RTA Steering committee to voice our concerns on behalf of our members. A focus group has also been established to manage this campaign.
You can become involved in the Unions campaign to protect jobs by contacting Peter Collins on (0418481935) or email pcollins@usu.org.au
