As a Strategic Leadership Team we are focused on making ...€¦ · As a Strategic Leadership Team we are focused on making the Ministry a great place to be. Were proud of what weve

As a Strategic Leadership Team we are focused on making the Ministry a great place to be.

We’re proud of what we’ve achieved over the past few years.

We know there’s more to do, and some of the things we’re tackling will take time.

We’re committed to working with the PSA and employees to make the Ministry a place you can be: supported, involved, trusted, healthy and safe, and yourself.

24 July 2018 1

PSA bargaining claims The focus of negotiations so far has been on the new proposed pay ranges and where jobs sit in the pay band structure.

During discussions we’ve outlined our budget for pay increases, which is 3% this year, and 2% for next year (5% over a two year period).

The PSA has made a claim on pay increases for this period:

24 July 2018 2

There are other PSA claims, but we haven’t talked about these in detail yet, we’re keen to keep discussing options.

Claim Approximate Cost

4% Across the Board increase 4%

1% Performance matrix 1%

Total Cost 5%

2019:

Claim Approximate Cost

5% Across the Board increase 5%

Transition to a step based pay scale 4%

Total Cost 9%

2018:

14% over a two year period

Background

Being able to improve our pay will take some time. We haven’t been given any additional money to do this.

We’ve focused on improving pay rates for our lowest paid people, and fixing our pay system.

We are committed to continuing this work.

24 July 2018 3

e.g. the salary of people in B05 (e.g. CROs, Case Managers) who have been with us over the past 3 years (approx. 800 people) has increased by an average of 14%.

The average salary increase for the last 3 years for all Ministry employees was 10%.

Our new proposed pay system

We’ve been talking with the PSA bargaining team about two important parts of our new pay system.

1. Fixing our pay band structure

• pay based on the job market, so we can keep pace with what other similar organisations are paying.

• jobs paid fairly by being compared to other jobs within the same band and across other bands.

2. How people get pay increases each year • we want people to move more quickly to the midpoint of their pay band.

• we want people to feel recognised for their contribution and performance.

24 July 2018 4

How the new pay band structure worksWe’ve simplified things in the new structure.

• There would be one main pay band structure. • National office, frontline and manager jobs would all be in the same pay band

structure.• Jobs with the same level of responsibility would be in the same band.

• Jobs would be in the right place, so they are paid fairly compared to each other. • We’ve used an external provider (Hay) to help determine where jobs would sit in the

pay band structure. • We’ve also:

• looked at additional information about the jobs.• compared jobs to other jobs within the same band and across other bands.

Most positions have stayed in the same place, some have moved up and some have moved down.

The pay band structure hasn’t been finalised. We’re still working with the PSA to make sure the jobs are in the right place.

* Excluding ICT and PDS Lawyers, which is explained later on in this presentation

24 July 2018 5

*

How the new structure works• The minimum of our new pay ranges would be $43,000.

Currently it’s $34,415.

• Pay rates would be based on the public service job market so the pay band midpoints would be higher.

• The new bands would be wider - 80-120% of the midpoint instead of 85-115%.• 84% would have greater earning potential, including those currently at

the top of their band.• People could choose to stay in technical roles, rather than moving into

management.• There would be a greater overlap between the bands, this would allow

career stepping stones between and across jobs.

24 July 2018 6

e.g. Collections Registry Officer:Current midpoint $52,253 New midpoint $56,903

Example of what it means for people

• John is one of 800 Court Registry Officers. He is currently earning $52,253.

• In the proposed structure this role would have a higher minimum, mid and maximum point.

John’s current pay band: $44,416 - $52,253 - $60,092

John’s new pay band: $45,523 - $56,903 - $68,284

Salary = $52,253 John can earn up to $60,092

John canearn up to

$7,839more

Salary = $52,253The wider ranges means he can earn up to $68,284

John can earn up to $16,031

more

Current pay system

New pay system

Min Midpoint Max

24 July 2018 7

Here’s what the new bands would look like

Band 80% 100% 120%

J1 $43,000 $44,831 $53,798

J2 $43,000 $51,171 $61,406

J3 $45,523 $56,903 $68,284

J4 $49,773 $62,216 $74,660

J5 $57,536 $71,919 $86,303

J6 $65,644 $82,055 $98,466

J7 $77,548 $96,934 $116,321

J8 $92,639 $115,798 $138,958

J9 $108,033 $135,041 $162,050

J10 $129,392 $161,740 $194,088

J11 $154,124 $192,654 $231,185

Main Ministry bands:

24 July 2018 8

Examples of where some of our jobs would sit:

• Court Registry Officer - J3• Family Court Coordinator - J4• Court Victim Advisor - J4• Court Registry Support Officer - J1• Court Security Officer – J2• Advisor - J5• Senior Advisor - J7• Service Manager - J6• Team Manager - J6• Customer Services Representative - J2• Grants Officer - J3

We’re still working with the PSA to finalise where jobs would sit in the structure.

Information and Communication Technology (ICT) and Public Defence Service (PDS) bands

Band 80% 100% 120%

ICT1 53,746 67,182 80,619

ICT2 63,287 79,108 94,930

ICT3 71,823 89,778 107,734

ICT4 84,167 105,208 126,250

ICT5 98,964 123,705 148,446

ICT6 109,901 137,376 164,852

ICT7 133,498 166,872 200,247

ICT bands: PDS Lawyer bands:

24 July 2018 9

As well as the main pay band structure, there would be an ICT pay band structure and a PDS Lawyer pay band structure.

ICT jobs have a different technical job market, so they don’t easily fit into the main pay band structure.

PDS Lawyers also have a different job market. PDS Lawyer bands were updated in 2017, so the only change is lifting the minimum to $43,000 and increasing the range to 80% - 120%.

Band 80% 100% 120%

PDS1 43,000 50,000 60,000

PDS2 48,316 60,394 72,473

PDS3 55,997 69,996 83,996

PDS4 73,920 92,400 110,880

PDS5 97,600 122,000 146,400

PDS6 111,879 139,848 167,818

PDS7 122,069 152,586 183,104

How would I move into the new bands?Following bargaining, we’d move people to the new bands.

24 July 2018 10

A Team Leader Court Security on

$56,050

Their salary is below the minimum for their new band (J5), and would increase to $57,536 as part of the change

New Salary:

$57,536

Their salary is below the minimum for their new band (J1), and would increase to $43k as part of the change

A Court Registry Support Officer

on $37k

People would move across on their current salary or the minimum of their new band (whichever is higher). No one’s salary would decrease as part of this change.

Because the pay bands are higher, approximately 22% of people would get an automatic increase as part of the move to the new bands.

For Example:

Once people moved to the new pay band structure, pay increases would then be applied.

New Salary:

$43,000

How will I move up the band?People would move up the bands based on the annual remuneration review.

Over the last few years we’ve had a performance matrix. With the matrix, people low in the band receive bigger increases, so people can move more quickly through the band.Strong performers also receive bigger increases, so people are rewarded for their contribution and performance.

This is a proposed matrix for the 2018 annual review:

A matrix is our starting point for discussions with the PSA bargaining team, but we’re open to other ideas too.

24 July 2018 11

2017 ratings of eligible people

• 15% Outstanding • 73% Performing WellSalary as a % of the band

Rating <90% >90-100% 100-109.9% 110-120%

Outstanding Performer 5.5% 5% 4% 3.5%

Performing well 4% 3% 2% 1%

Meeting some expectations 2% 1% 0.5% 0.25%

Not meeting expectations 0% 0% 0% 0%

Example of what the proposal means for peopleTamati is one of 180 Court Security Officers.

In the proposed structure this role has a higher minimum, mid and maximum point.

24 July 2018 12

Min Midpoint Max

Tamati’s current pay band: $40,301 - $47,412 - $54,525Tamati’s new pay band: $43,000 - $51,171 - $61,406

Tamati currently earns $41,000. He would get a $2,000 increase to the new minimum of $43,000.

Tamati received a ‘Performing Well’ rating, so he would also get a 4% performance increase ($1,720)

New Salary:

$44,720

Tamati would get a total salary increase of 9% in 2018.

Example of what the proposal means for people

24 July 2018 13

Min Midpoint Max

Lisa is one of 800 Court Registry Officers.

In the proposed structure this role has a higher minimum, mid and maximum point.

Lisa’s current pay band: $44,416 - $52,253 - $60,092 Lisa’s new pay band: $45,523 - $56,903 - $68,284

Lisa currently earns $50,000.

Lisa received a ‘Performing Well’ rating, so she’ll receive a 4% performance increase ($2,000)

New Salary:

$52,000

Lisa would get a total salary increase of 4% in 2018.

Example of what the proposal means for people

24 July 2018 14

Min Midpoint Max

James is one of 65 Court Victim Advisors. This job is one of those which has moved down in the proposed pay band structure. This is still being discussed in bargaining, but if it did moved down in the final structure, it would have a lower minimum, mid and maximum point.

James’ current pay band: $56,050 - $65,940 - $75,832 James’ new pay band: $49,773 - $62,216 - $74,660

James currently earns $70,000.

James has been an ‘Outstanding performer’, so he’ll receive a 3.5% performance increase ($2,450)

New Salary:

$72,450

James would get a total salary increase of 3.5% in 2018.

Example of what the proposal means for people

24 July 2018 15

Min Midpoint Max

Hannah is one of 30 Team Managers.

In the proposed structure this role has a higher minimum, mid and maximum point.

Hannah’s current pay band: $64,509 - $75,892 - $87,276 Hannah’s new pay band: $65,644 - $82,055 - $98,466

Hannah currently earns $73,000.

Hannah received a ‘Performing Well’ rating, so she’ll receive a 4% performance increase ($2,920)

New Salary:

$75,920

Hannah would get a total salary increase of 4% in 2018.

Summary • Lifting the salaries of our lowest paid

• Wider pay bands for greater earning potential and career options

• A simple, fair, sustainable pay system

• Jobs in the right place compared to other jobs within the same band and across other bands

• New pay bands, based on job market rates

• A progression system that moves people more quickly to the midpoint, and rewards people for their contribution and performance.

24 July 2018 16

Summary

We’re excited about the proposed new pay system and what it will mean for people.

We’re conscious that in the past we haven’t been able to backdate pay increases, so we’re keen to get back to the table to keep talking with the PSA bargaining team.

Our next bargaining meetings are on 13-14 August. We’ve still got a lot to talk about and we’re looking forward to making some good progress.

24 July 2018 17