Victorian Public Mental Health Services Enterprise Agreement 2016

Additional resources will be allocated to the implementation of company agreements beyond the costs incurred by normal budget indexation and/or by any savings or compensations presented by the PDO and agreed during the relevant round of negotiations. This was included in the ministry`s calculations regarding the ability of public psychiatric services to cover the costs of implementing EA mental health in 2016, including the payment of one-time lump sum payments in advance as part of the agreement. On April 20, 2017, the Fair Work Commission approved the Victorian Public Mental Health Services Enterprise Agreement 2016-2020 (the “2016 Mental Health EA”) and came into effect on April 27, 2017. The ministry will not consider any review of the funding of this corporate agreement unless the public hospital or health unit has clearly and fully identified the nature and appropriateness of what is considered an “unfunded” cost. In addition, the public hospital or health service must demonstrate that it has identified and used all sources of funding and disposable revenue that could help cover the costs in question. For the current round of business negotiations, the ministry referred more directly to the profile of the staff of each public hospital or health service concerned in its budget modelling than in previous cycles, where budget modelling focused more on “whole sectoral profiles”. This will eliminate some of the heaviest “swings and roundabouts” that may have emerged in the context of the previous approach. Any public or health hospital concerned that considers that the funds received do not adequately reflect the costs it would incur to implement the “new” results of the company agreement may submit its case to the Ministry for verification. (As a first step, public hospitals and health services should make their own calculations based on the calculations described in the example above.) The ministry will verify these local calculations upon request. Under the Departmental Funding Model (DFM), the indexation of 2.5% pa for wage movements is considered to be provided for prices and should be deducted from the costs of an EBA before providing further supplements. The assumed indexation of the DFM shall be calculated on the relevant salary basis at the time of the expiry of the previous EBA and then applied annually to the compound interest basis.

Public hospitals and health services are reminded that the ministry does not finance 100% of its activities. . . .

Category: Uncategorized