Application
This Policy applies to all departments and public sector bodies of the State of Victoria and their non-executive level employees, as defined under the Public Administration Act 2004 (Vic) (PA Act) and other Victorian legislation.
Overview
The Victorian Government recognises that flexible, hybrid and alternative ways of working may contribute to positive organisational and individual outcomes, including improved employee wellbeing and work/life balance without sacrificing quality or organisational productivity. The Government recognises that alternative ways of working or arranging ordinary hours of work are a flexible working arrangement that parties may wish to consider introducing or trialling in their workplaces. This may include public sector employers exploring whether new or alternative ways of working or arranging ordinary working hours could be implemented across their workforces. However, where they wish to do so they must do so in a robust and objective manner with appropriate governance and oversight arrangements in place, in consultation with relevant unions and consistent with this policy.
Note the arrangements and obligations in this policy apply where agencies are considering exploring alternative ways of working or arranging ordinary hours of work on a group, team, division or whole of employer basis and do not alter any existing rights for individuals to request alternative or flexible working arrangements under existing enterprise agreements, legislation or policy.
Exploring alternative ways of working
Exploring alternative ways of working or arranging ordinary hours of work is a matter that is to be dealt with primarily through enterprise bargaining and in accordance with the Victorian Government Wages Policy and Enterprise Bargaining Framework. Under the Enterprise Bargaining Framework, public sector employers are permitted to explore alternative ways of working or arranging ordinary hours of work as part of a Best Practice Employment Commitment (BPEC). Employers should not agree to codify new or alternative ways of working or arranging ordinary hours in an enterprise agreement without first undertaking an approved trial which conforms to the requirements set out in this Policy.
Agencies considering exploring and/or trialling alternative ways of working or arranging ordinary hours outside of the enterprise bargaining process must consult with their portfolio department in the first instance and/or Industrial Relations Victoria (IRV) to discuss any potential industrial implications before agreeing to conduct a trial or implement any outcomes. Agencies must also consult with relevant unions prior to agreeing to conduct a trial.
Developing recommendations for Government consideration
Where agencies are considering exploring alternative ways of working or arranging ordinary hours of work on a group, team, division or whole of employer basis, public sector agencies must first undertake a desktop review or feasibility study for Government consideration. The feasibility study should seek to develop recommendations for Government consideration (via IRV) that:
- identify new ways of working or alternative models of arranging, compressing or reducing ordinary hours that could be feasibly trialled in the specific workplace context,
- outline trial parameters that might be used to trial alternative ways of working or arrangement of hours, including the timing, scope of participants, and the duration (which must not be less than 12 months unless otherwise agreed) and evaluation of any trial,
- identify what, if any, impacts a trial would have on the entitlements of participating employees, including considering inclusivity and equality considerations, and
- identify objective criteria to be used to measure success.
In considering trialling alternative ways of working or arranging ordinary hours of work, public sector employers should consider how the reduction in weekly working hours or varied arrangement of ordinary hours of work could be appropriately operationalised in its workplace and specific operating environment, while positively impacting employees and continuing to meet organisational requirements and without reducing service delivery to the Victorian community or creating additional cost. This may include considerations of different models of reduced working hours as well as considerations as to how productivity will be assessed and maintained when standard working hours are altered or re-arranged under an alternative way of working or arranging ordinary hours of work, including appropriate workplace innovations and efficiencies. Bargaining parties should also agree on trial parameters (including scope and duration, which should be no less than 12 months unless otherwise agreed) and how the success of the trial is to be measured and evaluated.
Agencies must report back to IRV on the outcomes of any study, and whether it is proposed that they will undertake a trial or not. This must occur prior to any implementation of any recommended trial(s).
Implementing alternative work week trials
Public sector agencies must seek approval from IRV prior to implementing an alternative work week trial after first undertaking a desktop review or feasibility study referred above. Employers must not commence a trial without first seeking approval of Government (via IRV).
Employers must not trial alternative ways of working or arranging ordinary hours of work that may inadvertently erode employee entitlements and conditions of employment. Consistent with the Government’s Enterprise Bargaining Framework, any administrative costs associated with developing a feasibility study or establishing or evaluating any approved trial will be met by the public sector employer. Employees not in the scope of any approved trial (or who opt out of the trial) will continue to work in accordance with their existing work arrangements.
Where Government approves the commencement of a trial of alternative ways of working or arrangement of hours, the public sector employer will be responsible for:
- ongoing consultation with employees and unions regarding any issues that arise during the trial period,
- ongoing monitoring and assessment of any trials, including periodic reporting and assessment to ensure the trial supports both employers and participating employees, and
- participating in an assessment of the outcome of any trial to determine whether the alternative working arrangements trialled may be recommended as suitable for broader or longer-term implementation in the relevant workplace.
The agency and relevant portfolio department are responsible for advising IRV of any industrial or fiscal implications arising during the course of the trial.
Public sector employers considering whether to trial an alternative way of working or arranging ordinary hours must consider the guidance material set out in Attachment A below before agreeing to undertake a trial. While not mandatory, public sector employers are encouraged to use the model BPEC term outlined below as an attachment. In the absence of using the model BPEC term, public sector employers that seek to explore alternative ways of working are responsible for ensuring that their BPEC term reflects the expectations and considerations outlined in this policy.
Implementing any trial outcomes on a permanent basis
At the conclusion of the trial the employer must report back to Government (via IRV) on the findings of the approved trial and whether the employer seeks to adopt the trialled arrangements on a permanent basis or to extend the trial.
The Government must retain the right at the conclusion of any trial (and following review and evaluation) to determine next steps, which may include:
- extending the trial, or
- implementing alternative work arrangements on a permanent basis to some or all of its workforces, or
- deciding against a broader roll out of any or all of the trialled alternative work arrangements and return to the previous (pre-trial) working arrangements.
Approval to implement trialled arrangements on a permanent or extended basis must be sought and provided by Government before they are implemented by the entity.
Further Information
For further information and advice employees and public sector union representatives should contact the local Human Resources or People and Culture Unit (or equivalent) of the relevant entity for further assistance in the first instance.
People and Culture Representatives of Public Sector Entities should contact their Portfolio Department for further assistance in the first instance.
People and Culture Representatives of Portfolio Departments should contact their usual IRV portfolio contact for further assistance in the first instance.
Related Policies or Documents
- Enterprise Bargaining and Agreement Making
- Flexible Work
- Right to Disconnect
Attachment A
Updated