:: Transcripts - National Radio, Checkpoint, Wednesday, 24 August 2005

 

 

Transcript - National Radio, Checkpoint,

Wednesday, 24 August 2005

Professional firefighters have won an employment court test case that the Fire Service says could mean up to $5m a year in ongoing costs and up to another $5m in backpay.  The case has implications for airline pilots and could also affect other emergency services. The dispute was whether the firefighters' contract provides days off in lieu for working public holidays as required under the Holidays Act.  Compere talks to Mike Hall about the implications of the judgement, and he assures that it will not affect services to the public.

Interviewees: Mike Hall, Chief Executive, Fire Service

MARY WILSON:         
Professional fire-fighters have won a significant Employment Court test case that the Fire Service says could mean up to $5 million a year in ongoing costs, and up to another 5 million in back-pay.

The case has implications for airline pilots, and could also affect other 24-hour emergency services.

The dispute was whether over the contract covering the 1800 fire-fighters provides days off in lieu for working public holidays, as required under the 2003 Holidays Act.

The Fire Service said the fire-fighters down time already included any days off in lieu, but the union successfully argued that it didn’t, and that extra time had to be provided.

The Fire Service’s chief Mike Hall – Chief Executive Mike Hall – says that’ll come at a price.

MIKE HALL:                
We think between 3.5 and 5.5 million per year, depending on how the decision is interpreted and applied.

WILSON:                     
But that means sitting down and talking with your staff, doesn’t it, with the workers?

HALL:                          
With the unions yeah, of course it does, yeah.

WILSON:                     
And working out how this is going to apply; and for instance, how people will choose their days off in lieu.

HALL:                          
Yeah, well that’s right. That’s normally the way we do business.  We’ve never considered this to be a confrontationalist area.  It’s new legislation.  You’ve stated the financial impact on the organisation, and…

WILSON:                     
Well can you afford that financial impact?

HALL:                          
Yeah, well clearly we’ll sit down with our unions and determine what the absolute figure is.  But we’ve been aware for quite a long time of the potential impact of this legislation, and quite prudently we’ve built in that impact, potential impact into our business model.

WILSON:                     
Right, so you’ve got the money saved have you?

HALL:                          
Yes, yes, we can afford it, and no, there will be no impact on services to the public.

WILSON:                     
Do you now owe the workers any money?  Is there a retrospective nature to this?

HALL:                          
Well, there is, back to April in 2004, and we have the, the liability, if we accept the court’s decision without appeal, to back-pay to that date.

WILSON:                     
So, how much are we talking about there?

HALL:                          
Well again, it’s between 3.5 and 5.5 million per year, so you can extrapolate that back to the 1st of April 2004.

WILSON:                     
Alright, so just to get this clear, you have up to $5 million a year in ongoing costs…

HALL:                          
Yes.

WILSON:                     
…plus up to $5 million possibly in back-pay.

HALL:                          
That’s correct.

WILSON:                     
That’s quite a lot of money isn’t it?

HALL:                          
Yeah, well it is.  it amounts to about 2% of salary budget per year for an organisation the size of the Fire Service, and as I say, we were not unaware of the potential, and it’s built into our financial modelling.

WILSON:                     
One might ask why you didn’t get this sorted out a lot earlier.  The judgement says, the contract simply does not comply with the Holidays Act.

HALL:                          
Well, as I said to you, we have a very complicated contract, and the union have one view and we have another one, and we determined without rank, to submit to the Employment Relations Court for an umpire’s decision, and that’s what we’ve got.

WILSON:                     
And you think it was worth the price of that?

HALL:                          
Well it always is, because any organisation with the best will in the world, will simply not take the unions view of a new piece of legislation that’s gonna cost an additional $5 million a year, without getting some expert opinion from the courts.

WILSON:                     
And this is Mike Hall from the Fire Service.

*          *          End          *          *

Compere talks to DerEK Best about the union's victory in the employment court over days in lieu.  He says the union will be holding discussions with the Fire Service regarding the implementation of the decision. 

Interviewees: DerEK Best, National Secretary, Firefighters Union

MARY WILSON:         
Joining us now is the National Secretary of the Fire-Fighters Union, Derek Best.  Good evening.

DEREK BEST:              
Good evening Mary.

WILSON:                     
The Fire Service says it’s still considering whether to appeal or not.

BEST:                           
Well yes, they’ve got a timeframe of 28 days within which to make that decision, and as Michael noted, I’m pretty certain between now and then we’ll be having some discussions with the Fire Service regarding the implementation of the decision as it presently stands, and maybe that might help them with making their mind up regarding an appeal as well.

WILSON:                     
Do you regard this then as a reasonably significant victory?

BEST:                           
Yes, very much so.  It’s, has been previously, and even with the new legislation, very difficult to quite understand some of its principles, as applied to shift workers, particularly groups like fire-fighters that work 24 hours a day, seven days a week.

We’ve still got another three or four issues that we don’t think have been properly clarified at this stage, but the, the one we decided to proceed with first was the, was the days in lieu.

And obviously, given that the outcome means another eight, you know, on the average an eight to 10 days leave a year for fire-fighters, that is a very significant improvement in fire-fighters conditions of employment, because…

WILSON:                     
Yeah, and $5 million in back-pay; sounds like something you’d, what, be getting onto pretty much straight away.

BEST:                           
Well we’d certainly like it to be paid as well, you know, as early as possible.  And I guess that, as far as fire-fighters are concerned, is a pretty good return on, on their union membership fees – just that one issue alone.

WILSON:                     
There’s been a lot of discussion in the past – and you’re very much aware of this – of actually how much work fire-fighters do, and there is a lot of down time anyway.  Why do you need more?

BEST:                           
Well, the principle in this country is that if you work a public holiday you’re entitled to, and obviously there are downsides with that – fire-fighters regularly aren’t at home at Christmas time and other significant celebratory days – if you work on one of those providing an essential public service, then you’re entitled to another day off in compensation.  It’s really just as simple as that.

WILSON:                     
The question seems to be though, what day the staff will choose, and if they’ve worked a previous public holiday they may well in fact choose to have their day off in lieu on Christmas Day.

BEST:                           
Yeah, well absolutely, and you know we acknowledge that as a problem.  We have an absolute vital interest in ensuring that fire trucks have, have staff on them 24 hours a day, seven days a week.

In fact, at various time, we have, we believe we’re the only ones that actually have that as an objective.

So, they are some of the issues that we need to talk with the employer.  We’ve acknowledged that as a problem.

WILSON:                     
The service will keep going regardless, on public holidays?

BEST:                           
Well we’ll certainly make absolutely every effort to ensure that it does.  I mean even now…

WILSON:                     
That doesn’t sound like a guarantee though.

BEST:                           
Well no, nothing can be guaranteed as far as that’s concerned, but, but I think it’s pretty well accepted that in the past when there have been problems on particular days with staffing, we have spent as much as time as the employer have in contacting members and, and making sure that we have minimum staffing arrangements available.

I think the other aspect too, to talk with the Fire Service is, is whether there is a need to actually increase the overall establishment of fire-fighters to accommodate this amount of time off.

WILSON:                     
That’s something that you will be taking up with them in the negotiations, which Mike Hall seems pretty clear he wants to have, and in a pretty friendly atmosphere as well.

BEST:                           
Well absolutely.  Well when you’ve got a 24 hour a day service obviously not every fire-fighter that’s employed – you’re talking about 1800 fire-fighters employed – there’s only about 400 or so of those on duty at any one point in time, and the surplus are there to work on the next lot of shifts, and to be available to work on overtime.

So, there are a number of issues like that that have to be looked at as well.

WILSON:                     
Thanks very much for that.  That’s Derek Best, he is the National Secretary of the Fire-Fighters Union.

*          *          End          *          *

 

 

--------------------------------------------------------------------------------------------


 

Join the NZPFU News
& Announcement List

First Name:

News & Announcements
Read More


NZPFU txt-msg alert
Subscribe here