Prior to commencing the process outlined in this table it is expected Employers have considered and explored alternate outcomes short of involuntary termination of employment to give effect to the budget reprioritisations, this includes where appropriate and consistent with the terms of this policy the use of:
- Changes to workplace arrangements or team profiles
- Early Retirement Schemes
Where it is decided that involuntary terminations are required to give effect to budget reprioritisations, the following process must be followed:
Step 1 - Options for internal mobility
Opportunities for internal mobilisation to any growth or new areas must be considered.
Where opportunities for internal mobilisation are identified, a public service body head may transfer or assign an Employee to duties consistent with their employment classification, skills and capabilities on terms no less favourable within their organisation.
These powers will be exercised consistent with the mobility common policy and s28 and 31A of PA Act.
Step 2 - Proposal for major change
Departments will develop proposals for major change and commence the clause 11 process in consultation with the union and Employees. The Employer’s proposal for change will clearly identify the roles which will no longer be required to be performed in the new structure.
Step 3 - Outcome of major change proposal
Once a new structure has been decided:
For employees who are matched to a role in the new structure consistent with the business rules
Process concludes.
For employees who are not matched to a role in the new structure (including lapsing programs where the functions are no longer required to be performed)
The Employer will provide an opportunity for Employees whose role is no longer required in the new structure and who are not matched to a role in the new structure (Affected Employee) to make Application to Depart the VPS Immediately (Application). Employees who are matched to a role in the new structure or in an area not affected by the budget reprioritisations are not eligible to make an Application, given they continue to hold roles in the new structure.
While an Affected Employee can make an Application, the Employer is not obliged to accept any or all Applications. Where there are more Affected Employees making an Application than would be required to fulfill the number of departures needed to give effect to the budget reprioritisations, Employers should accept Applications based on objective criteria that best meet the savings ask of the Employer.
Affected Employees whose Application is accepted by the Employer will be paid either an Applicant Separation Package or the financial equivalent of an Immediate Separation Package if more generous for the Employee (see below). Affected Employees whose Application is accepted must cease employment within 4 weeks of being notified of the Employer’s acceptance of their Application (unless a longer period is agreed by the Employer). Affected Employees whose Application is accepted by the Employer will be paid the more generous of:
- an Applicant Separation Package consisting of the following elements:
- four weeks’ pay, irrespective of the Employee’s length of service
- a lump sum early separation incentive of up to $15,000 (for a full time Employee)
- two weeks’ pay for each completed year of continuous service to a maximum of 15 years, and
- an additional four weeks’ pay for Employees who are over 54, or
- the financial equivalent of an Immediate Separation Package which will include:
- four weeks’ pay, irrespective of the Employee’s length of service,
- a lump sum payment of $10,000 (or pro-rata for part-time Employees)
- two weeks’ pay for each completed year of continuous service to a maximum of 10 years
- payment of a 3-month redeployment period in lieu.
Affected Employees whose Application is accepted by the Employer at this stage will be restricted from re-employment, either directly or through a labour hire agency, or from receiving a fee for service from a VPS Employer for a period of 18 months. This restriction does not preclude re-employment in the broader Victorian public sector.
Affected Employee who are:
- currently in a role no longer required by the Employer, and
- who are not matched to a role in the new structure; and
- who choose not to make an Application or whose Employer does not accept their Application
will be invited to express interest in filling vacant roles within the new structure. Employees must actively participate in the EOI process. Employees who fail to actively participate in the EOI process may be precluded for expressing interest in an Immediate Separation Package in step 4 below.
Step 4 - Commence EOI for vacant roles in the new structure
Where after following the Application process in step 3 above the savings ask of the Employer remains unmet, then the Employer will run a EOI process to fill vacant unmatched roles within the new structure.
For Affected Employees who are successful through the EOI process to fill a vacant role in the new structure
Process concludes.
For Affected Employees who actively participated in the EOI process but are not successful through the EOI process to fill an unmatched role in the new structure
Affected Employees whose role is no longer required in the new structure and who remain without a position in the new structure following the EOI process will have two options:
Option 1 – Immediate cessation of employment (within 4 weeks) and be paid an Immediate Separation Package (see below) and payment in lieu of the 3-month redeployment period. The Immediate Separation Package will include:
- 4 weeks’ pay, irrespective of the Employee’s length of service, and
- a lump sum payment of $10,000 (for pro-rata for part-time Employees), and
- two weeks’ pay for each completed year of continuous service to a maximum of 10 years.
Cessation of employment will occur within 4 weeks (unless a longer period is agreed with the Employer, with any longer period resulting in an equal diminution of the lump sum being paid in lieu of the redeployment period).
- Option 2 – participate in the three-month redeployment period which will be undertaken in accordance with existing custom and practice. Affected Employees who are unsuccessful in obtaining another role at the conclusion of the redeployment period will be a paid a Targeted Separation Package consisting of:
- 4 weeks’ of pay, irrespective of the Employee’s length of service; plus
- 1 additional week pay if the Employee is over 45 years of age and has completed at least 2 years of continuous service; plus
- two weeks’ pay per each completed year of continuous service up to a maximum of 10 years
Regardless of the option chosen in step 4 no re-employment restrictions, either in the public service or sector, apply to affected Employees.
For Affected Employees who fail to actively participate in the EOI process and are not successful through the EOI process to fill an unmatched role in the new structure
Employees who fail to actively participate in the EOI process may be precluded from expressing interest in an Immediate Separation Package and may be declared surplus and will be required to participate in the three-month redeployment period, which will be undertaken in accordance with existing custom and practice. Employees who are unsuccessful in obtaining another role at the conclusion of the redeployment period will be a paid a Targeted Separation Package consistent with the elements outlined in option 2 above.
For Affected Employees who accept another ongoing position in the VPS prior to receiving their Immediate Separation Package under Option 1 above
Employees who accept another ongoing position in the VPS before receiving their Immediate Separation Package payment will no longer be eligible to receive the payment under option 1 above, because they will, similarly to an Employee who is successfully redeployed, maintain employment in the VPS in an alternate role such a separation payment is not necessary. Employees that have accepted another ongoing position prior to receiving payment of an Immediate Separation Package must make a declaration to their Employer to that effect.
For Affected Employees who are a candidate for another ongoing role in the VPS prior to receiving their Immediate Separation Package under Option 1 above
Where a recruitment process is not yet finalised for an Affected Employee who is a candidate for another ongoing role in the VPS, Employers may also elect to defer payment of an Immediate Separation Package amount under option 1 above, until the outcome of the process is known. Employees who are a candidate for another ongoing role in the VPS prior to receiving payment of an Immediate Separation Package must make a declaration to their Employer to that effect. For the purposes of this obligation, Employees are only required to declare their continuing candidacy for other ongoing roles in the VPS where they have applied for another ongoing role in the VPS and have been:
- short-listed for an interview as part of the recruitment process for that role, or
- interviewed as part of the recruitment process for that role, or
- advised they are the preferred or successful candidate for an ongoing role and are awaiting the finalisation of recruitment paperwork before accepting a new ongoing role in the VPS.
For the purposes of this section Employees are not required to declare roles they have applied for but have not yet been short-listed for an interviewed or for any unresolved recruitment processes for roles outside of the VPS.
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