Role of Departments, Portfolio Entities and Central Agencies

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 roles and responsibilities of portfolio departments, portfolio entities and central agencies in the management of enterprise bargaining and other public sector industrial relations matters are outlined below.

Role of Departments, Portfolio Entities and Central Agencies

Agencies

  • Portfolio agencies are responsible for the timely development of management logs, including identifying and developing funding strategies consistent with the Government policies, compliance with the Public Sector Industrial Relations Policies and the conduct of negotiations with bargaining representatives, including unions.
  • Agencies are responsible for ensuring consistent application of policies and practices, both during bargaining and through the application of their enterprise agreement(s) and raising any queries regarding application with their portfolio department in the first instance. This includes ensuring compliance with Government Wages Policy, Enterprise Bargaining Framework and Public Sector Industrial Relations Policies and that the conduct of negotiations with bargaining representatives, including unions, are consistent with these policies.
  • Before agencies obtain authority to table settlement offers and/or conclude negotiations, they must report any industrial matters that may impact Government policy or have budgetary considerations to their Portfolio Department and Industrial Relations Victoria (IRV).
  • Portfolio agencies are responsible for operational matters, including the ensuring the correct application of their relevant enterprise agreement(s).

Departments

  • Departmental Secretaries are responsible for the overall management of industrial relations issues (and associated projects) within their department and portfolio entities, including supporting public sector entities with enterprise bargaining processes. While Ministers will maintain constructive relationships with unions and employees to facilitate successful industrial relations outcomes, they remain outside formal negotiations. Portfolio entities are public entities within a department’s portfolio where the Minister who has responsibility for the public entity is supported by the portfolio department.
  • Departments are responsible for ensuring consistent application of policies and practices across agencies in their portfolio and are the first point of contact for portfolio agencies seeking information and advice. This includes compliance with the Public Sector Industrial Relations Policies and that the conduct of negotiations with bargaining representatives, including unions, are consistent with these policies.
  • Departments are responsible for engaging with their portfolio agencies early to ensure the timely development of management logs. Departments are required to engage with portfolio departments to identify and develop funding strategies consistent with the Government policies including Wages Policy and the Enterprise Bargaining Framework.
  • Departments are responsible for ensuring that their portfolio entities commence bargaining in good faith in a timely manner consistent with the Government’s Enterprise Bargaining Framework and not to unduly delay bargaining in order to avoid renegotiating their enterprise agreement or other legal obligations.
  • Before departments obtain Government’s approval for their portfolio entities to table settlement offers and/or obtain authority to conclude negotiations, they must report any industrial matters that may impact Government policy or have budgetary considerations to IRV.
  • Departments are responsible for seeking timely approval of final agreements by central agencies, consistent with Wages Policy and the Enterprise Bargaining Framework.
  • Departments are responsible for notifying IRV of any dispute or industrial relations issue which is likely to have sector or service wide implications.

Industrial Relations Victoria

IRV is responsible for providing timely advice to departments and agencies about industrial relations matters and enterprise bargaining, including application of, and compliance with, the Public Sector Industrial Relations Policies.

IRV will not ordinarily be directly involved in all public sector negotiations, nor will it be involved in individual disputes between a department or agency and its employees.

The role of IRV is to:

  • implement the Public Sector Industrial Relations Policies and provide advice to agencies and unions on industrial matters affecting the public sector
  • oversee enterprise bargaining across the public sector
  • lead and manage the negotiation of the enterprise agreement covering Victorian public service employees and provide advice to portfolio departments on its operation
  • become involved in enterprise bargaining negotiations to assist the parties to find workable solutions before they turn into intractable disputes
  • assist in the resolution of disputes between departments and agencies, and public sector unions, and
  • provide high-level and strategic advice to Government on industrial relations matters.

Department of Treasury and Finance

The Budget and Finance Division in the Department of Treasury and Finance (DTF) is responsible for:

  • assisting departments and agencies to understand and apply the Government’s Wages Policy
  • reviewing enterprise agreement costings; and
  • providing advice to Government on departmental and agency compliance with wages policy.

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.

  • Public Sector Industrial Relations Principles
  • Role of Public Sector Unions
  • Enterprise Bargaining and Agreement Making

Updated