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ELECTRICITY CORPORATIONS (RESTRUCTURING AND DISPOSAL) ACT 1999 - SECT 24

24—Separation packages and offers of alternative public sector employment

        (1)         Subject to this section, any action that a private sector employer takes from time to time as a consequence of a transferred employee's position being identified as surplus to the employer's requirements must consist of or include an offer of a separation package that complies with this section.

        (2)         If a private sector employer makes an offer to a transferred employee under subsection (1) after the end of the employee's first two years after becoming a transferred employee, an offer must also be made to the employee of public sector employment with a rate of pay that is at least equivalent to the rate of pay of the employee's position immediately before the employee's relocation to public sector employment.

        (3)         A transferred employee who is made an offer of a separation package under subsection (1) must be allowed—

            (a)         if an offer of public sector employment is also made under subsection (2)—at least one month from the date of the offer of public sector employment to accept either of the offers;

            (b)         in any other case—at least one month to accept the offer.

        (4)         If a transferred employee has been offered both a separation package and public sector employment under this section and has failed to accept either offer within the period allowed, the employee is taken to have accepted the offer of a separation package.

        (5)         The employment of a transferred employee may not be terminated as a consequence of the employee's position being identified, within the employee's first two years after becoming a transferred employee, as surplus to a private sector employer's requirements unless the employee has accepted (or is taken to have accepted) an offer under this section or otherwise agreed to the termination.

        (6)         A separation package offered to a transferred employee under this section must include an offer of a payment of an amount not less than the lesser of the following:


(a)

1999.36.un00.jpg;

(b)

104WP,

where—

"CYS" is the number of the employee's continuous years of service in relevant employment determined in the manner fixed by the Minister by order in writing; and

"WP" is the employee's weekly rate of pay determined in the manner fixed by the Minister by order in writing.

        (7)         An order of the Minister—

            (a)         may make different provision in relation to the determination of an employee's continuous years of service or weekly rate of pay according to whether the relevant employment was full-time or part-time, included periods of leave without pay or was affected by other factors; and

            (b)         may be varied by the Minister by further order in writing made before any employee becomes a transferred employee; and

            (c)         must be published in the Gazette.

        (8)         A person who relocates to public sector employment as a result of acceptance of an offer under this section is taken to have accrued as an employee in public sector employment an entitlement to annual leave, sick leave and long service leave that is equivalent to the entitlements that the person had accrued, immediately before the relocation, as an employee of the private sector employer.

        (9)         It is a condition of an offer of a separation package or public sector employment under this section that the employee waives any right to compensation or any payment arising from the cessation or change of employment, other than, if the employee accepts (or is taken to have accepted) a separation package, the right to superannuation payments or other payments to which the employee would be entitled on resignation assuming that the employee were not surplus to the employer's requirements.

        (10)         If an employee is relocated to public sector employment as a result of acceptance of an offer under this section—

            (a)         the employee may not be retrenched from public sector employment; and

            (b)         the employee's rate of pay in public sector employment may not be reduced except for proper cause associated with the employee's conduct or physical or mental capacity.

        (11)         Subsection (1) does not apply if the action that a private sector employer takes as a consequence of an employee's position being identified as surplus to the employer's requirements consists only of steps to relocate the employee to another position in the employment of that employer or a related employer in the electricity supply industry with—

            (a)         functions that are in their general nature the same as, or similar to, the functions of the surplus position; and

            (b)         a principal workplace or principal work depot not more than 45 kilometres distant by the shortest practicable route by road from the principal workplace or principal work depot of the surplus position; and

            (c)         a rate of pay that is at least equivalent to the rate of pay of the surplus position.

        (12)         For the purposes of subsection (5), the employment of a transferred employee is taken not to have been terminated by reason only of the fact that the employee has been relocated to another position in the employment of the same employer or a related employer in the electricity supply industry if the rate of pay of that position is at least equivalent to the rate of pay of the employee's previous position.

        (13)         In this section—

"award or agreement" means award or agreement under the Industrial and Employee Relations Act 1994 or the Workplace Relations Act 1996 of the Commonwealth as amended from time to time;

"electricity supply industry" has the same meaning as in the Electricity Act 1996 ;

"private sector employer" means—

            (a)         a purchaser under a sale/lease agreement or a company that was an electricity corporation or State-owned company before the shares in the company were transferred to a purchaser under a sale/lease agreement; or

            (b)         an employer who is related to a purchaser or company referred to in paragraph (a);

"public sector employment" means employment in the Public Service of the State, or by an instrumentality of the Crown or a statutory corporation;

"rate of pay" includes an amount paid to an employee to maintain the employee's rate of pay in a position at the same level as the rate of pay of a position previously occupied by the employee;

"relevant employment" means—

            (a)         employment by The Electricity Trust of South Australia, an electricity corporation or a State-owned company; or

            (b)         employment by a private sector employer;

"transferred employee" means an employee

            (a)         who—

                  (i)         was transferred by an employee transfer order to the employment of a purchaser under a sale/lease agreement; or

                  (ii)         was in the employment of a company that was an electricity corporation or a State-owned company when the shares in the company were transferred to a purchaser under a sale/lease agreement; and

            (b)         who has remained continuously in the employment of that purchaser or company or in the employment of an employer related to that purchaser or company since the making of the relevant sale/lease agreement; and

            (c)         whose employment is subject to an award or agreement.

        (14)         Employers are related for the purposes of this section if—

            (a)         one takes over or otherwise acquires the business or part of the business of the other; or

            (b)         they are related bodies corporate within the meaning of the Corporations Law ; or

            (c)         a series of relationships can be traced between them under paragraph (a) or (b).



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