The complete transcript of this hearing is available hereIR trans

David asked questions about:

• The loss of Federal funding to NSW Industrial Relations as a result of a cancelled contract with the Fair Work Ombudsman to deliver industrial relations services.
• The reason why the contract to provide services of the Fair Work Ombudsman was cancelled.
• The 2.5% cap to increases in public service salaries, and whether that includes the compulsory federal superannuation increase.

A contract which NSW Industrial Relations negotiated with Federal Fair Work Ombudsman worth $4.6 million was cancelled, and the effects of this were debated in estimates.

The Government advised that Treasury were negotiating with Fair Work Ombudsman’s office about the Federal contribution to the scheme, but NSW Treasurer Mike Baird would not confirm why the contract was cancelled. The Executive Director of NSW Industrial Relations, Ms Telfer, said that members of the Fair Work Ombudsman’s office had told her that budgetary constraints were responsible for cancelling the contract.

The 2.5% cap for public sector wage increases was also discussed. Minister Baird accepted that inflation would rise above 2.5% in many cases, and that the federal government’s decision to increase superannuation contributions would be accommodated within the 2.5% cap. Questions were also asked about whether Treasury’s negotiations with the PSA contemplated that the wage cap would include superannuation contributions or that superannuation contributions were a separate matter.

The answers to the questions taken on notice during the hearing can be found here.

After the hearing a number of supplementary questions on notice were also submitted, the answers to these questions can be found here.