Shoalhaven City Councillors are deliberating over a proposed increase to council staff wages.
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Fairfax Media has obtained a copy of the confidential employee remuneration review developed by council’s human resources, governance and customer service section.
The increase recommended in the review, costing between $2.1 million and $4.3 million per year, would be on top of standard annual pay rises afforded to local government workers.
Staff have proposed the pay rise would be effective from May, 2019.
At present, wages, including superannuation, cost council $71.4 million per year.
Funds for the staff pay rise would be sourced from council’s general fund, water fund, sewer fund, domestic waste fund and possibly the special rates variation.
Human resources staff have predicted a failure to implement the increase would impact morale and productivity and result in staff losses.
Reasons for remuneration review listed in the report
- Council’s current salary table has been in place since 1999 and despite annual award increases it has failed to keep pace with remuneration offerings within and outside of the industry.
- Council has faced challenges in attracting prospective candidates as it is increasingly competing with Wollongong and Sydney markets.
- Changing economic conditions including increasing housing prices continue to create pressure on incomes and council’s wage competitiveness.
- Increasing pressures competing with the local private sector, with the growth of defence contracts, Princes Hwy upgrades and increase in development.
- Roads improvements including the Berry Bypass means it is easier for local people to commute outside of the Shoalhaven for work.
- A survey undertaken in 2017 found 37 per cent of staff agreed or strongly agreed they were satisfied with their income. It is important the organisation listens and responds to staff.
On Tuesday afternoon in a confidential meeting it is understood a majority of Shoalhaven City councillors in attendance voted in favour of adopting the wage rise recommendation proposed by council staff.
The recommendations of the review have not been formally adopted by council – the matter remains in the hands of councillors, who can vote for or against the recommendation, and make amendments to it in an extraordinary meeting in December.
