Month: September 2015

Premier Mike Baird’s promised protections for jobs and service levels during the privatisation of publicly-owned electricity network company Ausgrid have been thrown into doubt following the leaking of a management briefing that reveals plans for massive cuts at the company.

The United Services Union said the document had revealed a three-phase plan, to be rolled out over the next year, which would include the outsourcing of call centres, the sale of real estate assets, the closure of local depots, and extensive cuts to service delivery and jobs.

USU energy manager Scott McNamara said the union’s fears about the impact of the NSW Government’s privatisation plans had been confirmed by the document, which revealed massive cuts at the business ahead of the sale of a majority of the company next year.

“Mike Baird and fellow Liberal and National Party MPs made a lot of promises before the election, including commitments that privatisation would not lead to cuts to jobs and services,” Mr McNamara said.

“But this document reveals those statements were simply false, and there is a well-advanced management plan to close down, sell off, or outsource huge sections of the company.

“If Ausgrid management are allowed to press ahead with this program, consumers will find they are calling an overseas call centre in an emergency, that the response times to their issues are reduced because local depots have closed, and that training opportunities for their kids have dried up.”

Mr McNamara said the proposals came on top of 1100 job cuts announced earlier this month, and would further decimate communities across Sydney, the Central Coast, Newcastle and the Hunter Valley.

“The Baird Government made big promises to get this privatisation past the public and through the parliament, but they now seem intent to ignore them,” he said.

“Workers are demanding an urgent explanation from the NSW Government about why Ausgrid is planning to make these major cuts – many of which appear to directly breach job and service protections.”

A leaked management briefing from NSW Government-owned electricity network business Ausgrid has revealed a plan to slash jobs, close local depots, axe apprenticeships, sell off state-of-the-art training facilities and outsource call centres in the lead up to the privatisation of the company.

The three-phase plan, due to be rolled out during the next year, comes in addition to 1100 job cuts announced by the company earlier this month, which will come from workplaces in Sydney, the Central Coast, Newcastle and the Hunter Valley.

The Electrical Trades Union said the NSW Government needed to urgently explain why Ausgrid was planning to make major cuts which appeared to directly breach promised protections for jobs, service levels, and apprentice numbers made before the election.

“This deeply alarming document reveals Ausgrid management are looking to circumvent promised protections for services and jobs that were made before the election,” ETU assistant secretary Dave McKinley said.

“The management briefing outlines imminent plans for the axing of apprenticeships, the sale of training facilities, the closure of local depots, the outsourcing of their call centre – likely offshore – along with reductions to inspections that currently guarantee safety and reliability.

“The proposals come on top of 1,100 job losses, already revealed by Ausgrid earlier this month, that will see front-line power workers axed across Sydney, the Central Coast and Newcastle before the end of the year.”

Mr McKinley said thousands of jobs were at risk in what appeared to be an attempt to gut the company ahead of the planned sale of a 50.4 per cent stake in the company next year.

“We fear Ausgrid is gutting jobs and services at the company prior to the Baird Government’s electricity privatisation transaction next year, all in the hope of delivering a higher sale price,” he said.

“This is exactly what happened in Victoria when the Kennett Government privatised electricity – safety inspections were pushed out by years and maintenance slashed – resulting in the Black Saturday bushfires that killed more than 100 people.

“Outsourcing the operation of the network, including maintenance work, will result in the public suffering more frequent and longer blackouts, as well as posing a risk to worker and public safety.

“Mike Baird gave a commitment that there would be no forced redundancies, that apprentices would have a future, and that workers would be given five year employment guarantees. They now appear to have been hollow promises designed simply to get electricity privatisation through the parliament.

“Cross bench MPs, and in particular Fred Nile, must hold Ausgrid and the government to account and prevent their attempt to circumvent the job and service protections passed earlier this year.”