Background - On 15 May 2024 Parks Victoria advised staff and relevant unions that it had recently undertaken a self-initiated review of its employment obligations under the Parks Victoria Enterprise Agreement 2016 (2016 EA) and the Parks Victoria Enterprise Agreement 2021 (2021 EA) (together, the EAs) for the pay periods from 1 July 2017 to 30 June 2023 (Review Period) (Payroll Review). 

From this Payroll Review, Parks Victoria identified instances where certain employment obligations under the EAs were not met, resulting in amounts owing to both current and former employees over the Review Period. 

The two main issues identified were: 

• in relation to the calculation of the hourly rate of pay – instead of paying employees over 26 fortnights as required by the EAs, Parks Victoria was paying over 26.0893 fortnights (like the rest of the Victorian Public Service) (Annual Divisor Issue) 
• entitlements in accordance with the obligations relevant to emergency work in the EAs Parks Victoria appointed an independent external provider to assist in calculating any amounts owed to existing and former employees during the Review Period. From 16 May 2024 Parks Victoria commenced paying all amounts identified as owing to current and former employees including superannuation where applicable.

It also:

• made interest payments of 5% on amounts owing to employees and self-disclosed the noncompliance to the Fair Work Ombudsman; and
• made remediation payments dating back 7 years, an additional year over legal requirements.

Additional payment - Although the Payroll Review only went back to 1 July 2017, Parks Victoria understands that at least in respect of the Annual Divisor Issue, instances of non-compliance with its obligations under applicable enterprise agreements would have dated back further than this time.

The Fair Work Act 2009 (Cth) only requires employers to rectify underpayments dating back 6 years. However, Parks Victoria understands the frustration this causes for employees who feel errors have been made.

The Community and Public Sector Union (CPSU) have been working constructively with Parks Victoria on behalf of its members to resolve this issue for employees.

Parks Victoria and the Community and Public Sector Union are pleased to announce an additional payment to employees as follows: 

• Parks Victoria will repay all amounts (including superannuation contributions) owing to current and former employees as a result of the Annual Divisor Issue for the period between 1 July 2012 to 30 June 2017. This is an additional 5 year period to the remediations payments and superannuation contributions already made by Parks Victoria taking its remediations to 12 years for the Annual Divisor Issue; 
• Current and former rostered weekend employees who received emergency work overtime will be paid $150 gross in each year they received a rostered weekend allowance and emergency work overtime for the period between 1 July 2012 to 30 June 2017;
  
• Parks Victoria will also pay 5% interest on the amounts (not including superannuation) it is repaying to current and former employees as a result of the above two items. The interest will be paid as a flat rate on the total amount that is repaid to each current and former employee (for example if an employee is repaid a total amount of $100 they will receive an interest payment of $5 resulting in a total payment of $105).
  

This outcome demonstrates that Parks Victoria has listened to and addressed concerns raised by our valued employees.

We appreciate their continued understanding and patience as we finalise the details of this payment.

Parks Victoria will contact current and former employees over the coming weeks to advise them the total amount owing to them as a result of this additional payment.

Parks Victoria thanks all employees for their dedication and hard work and CPSU for its willingness to work cooperatively to achieve this outcome.

We reiterate that we have taken the discovery of the non-compliance with our employment obligations very seriously and apologise that this has occurred.

As a result of the Payroll Review, Parks Victoria has implemented changes to its systems and practices to ensure it has the appropriate governance framework in place to meet all legislative requirements and employment compliance obligations.

For any further questions about this matter please email payrollreview@parks.vic.gov.au

KAREN BATT
CPSU Victorian Branch Secretary