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CEPU official response to Australia Post’s “take it or leave it” EBA7 offer
As indicated in our previous circular, the CEPU Divisional Executive has met to formally consider Australia Post’s proposed EBA7 and recent pay offer.
The CEPU Divisional Executive’s position is reproduced below:
“Divisional Executive notes with great concern the report given on the status of EBA7 negotiations with Australia Post management.
- The Divisional Executive believes the current offer by management could not be recommended to CEPU members.
CEPU members in Australia Post have helped deliver to the corporation healthy profits and record productivity. Senior managers then rewarded themselves for this with major salary bonuses.
These same managers now refuse to fairly distribute such gains to the rest of the Post workforce, despite knowing they will need employee support for future network changes.
Considering this, Australia Post management’s revised pay offer of 3.5 % a year (adjusted by a mere 0.5% a year on its original offer) is completely unfair and unreasonable.
What makes management’s offer even more unacceptable is that – using the Federal Government’s WorkChoices law as its protection – Australia Post is telling employees they have to accept:
- More contracting out, whenever Post wants it
- More franchising out, whenever Post wants it
- No limits on Dedicated Delivery
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- No protections for existing employees from being forced onto Australian Workplace Agreements
- Tea breaks at a time Post wants, or not at all
- Limits on what clauses can be protected by arbitration – under Post’s proposed EBA, we couldn’t apply for arbitration if they applied the Redundancy Agreement incorrectly
- A sub-standard occupation health and safety clause
- Some shift workers will still be forced to do the same work for $105 a week less than people doing the same work, simply because of the shift they are forced onto by Post
- If you are a postal worker you will not have any compensation protection if you have an accident to or from work or on a lunch or tea break while you are off Australia Post property
- No proper protection for full time jobs, no adequate review of the part time hours clause
Divisional Executive authorises the conduct of a membership survey to seek the views of members about their preferred position on the EBA.
The survey will also ask members what actions they would be prepared to endorse to achieve a fair EBA that rewards them properly for their efforts in Australia Post.” |
Resolution of the CEPU Communications Division, Divisional Executive, 30 March 2007
Members will be able to tell us their direct views about the EBA offer, via the membership survey.
In the meantime, let us know if you think we should “take it or leave it” by emailing us at eba7@cepu.asn.au.

On pay, Australia Post tells employees: ‘take or leave it’
Despite huge profits, record productivity and fat senior executive pay bonuses, Australia Post today told the CEPU that it would hardly move its pay offer to staff.
Australia Post will tell staff that it will only move its pay offer by 0.5% a year, to 3.5 per cent.
While awarding themselves massive bonuses, Australia Post senior managers are telling staff that this 3.5 per cent a year offer is “their final one”.
- Even worse, Post has launched a feel good advertising blitz holding up its employees as the reason the public should continue to support Australia Post – while paying those same staff at a rate that hardly keeps pace with inflation.
With the Federal Government’s WorkChoices law as its protection, Australia Post is telling employees they have to accept:
- More contracting out, whenever Post wants it
- More franchising out, whenever Post wants it
- No limits on Dedicated Delivery
- No limits in how they will offer Australian Workplace Agreements
- Tea breaks at a time Post wants, or not at all
- Limits on what clauses can be protected by arbitration – under Post’s current EBA, we couldn’t get arbitration if they applied the Redundancy Agreement incorrectly!
- A sub-standard occupation health and safety clause
- Some shift workers will still be forced to do the same work for $105 a week less than people doing the same work, simply because of the shift they are forced onto by Post
- And if you are a postal worker you will not have any compensation protection if you have an accident on a lunch or tea break while you are off Australia Post property
The CEPU Divisional Executive will be meeting shortly to consider a formal response to this insulting offer.
In the meantime, let us know if you think we should “take it or leave it” by emailing us at eba7@cepu.asn.au.
Noel Paul
Branch Secretary

Talks on EBA 7 are still progressing and Australia Post has made some movement but there are many issues that they need to respond on.
Australia Post will now:
- Agree to arbitration in limited circumstances such as where the dispute relates to an award clause or more than 1 employee.
- Allow bonus payments to be paid into superannuation
Post's claim that everything will be OK in EBA 7 won't happen if you can't access the independent umpire.
Disputes over issues contained in the agreement (such as consultation, employment arrangements, use of labour hire and contracting out, teams, dedicated outdoor delivery, franchising / retail (conversion) or individual issues, wont under posts process be resolved by the independent umpire.
What else are they saying?
Below is a list of issues discussed and Australia Post's response:
Issue |
CEPU |
Australia Post |
Pay |
- Pay increase to be calculated
with reference to CPI and
productivity (better than the
3% offer)
- Pay out unused sick leave on
retirement, redundancy or
resignation
- Corporate bonus not payable
if industrial action taken
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- Post have agreed to delete
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Existing conditions |
- Protection of tea breaks and
'wash up' time (including for
part-time staff). Any changes
should be by agreement only
- Overtime meal allowance to
continue to be paid in cash
- Incorporate Authorised Holiday
into Agreement
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- Some form of tea break clause
will be included but Post want
the ability to change times and
length
- Post still to respond
- Post to respond
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Dispute settlement |
- Full dispute resolution involving conciliation and arbitration
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- Post have moved some way but not enough
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Job security |
- The union is seeking to tighten the Review of part-time hours and minimum hours clauses
- Post want 3 year fixed term positions; the union will consider this for specific areas provided those fixed term employees have access to redundancy
- Clauses 6.25, 6.26 and 9.24 of EBA6 (contracting out)
- Clause 6.13 of EBA 6 (Use of agency staff)
- Protecting country jobs and prevention of country mail centre downgrades
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- Post will not give any commitment on contracting out, using workchoices as an excuse
- Post will not give any commitment on the use of Agency staff, using workchoices as an excuse.
- NO
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Consultation |
- Rights, obligations and training of Union representatives
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Work and family |
- Provision of written reasons for refusal of leave
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- Post will provide written reasons in limited circumstances, but not in respect to long service leave
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OHS (incl. work rates) |
- Retention of EBA6 OH&S clause
- Recess claims - Union wants clarity around entitlement to workers compensation for workers who cannot take their lunch / tea break on post premises
- Machinery crewing levels, protection against unrealistic sort rates, appropriate rotation patterns, no individual monitoring or surveillance and no link of the discipline process to performance review
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- Post to identify those parts of the OHS Agreement it sees as in conflict with the new provisions of the OHS Act, further discussions to occur
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Income protection |
- Provide income protection insurance
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FNDs (Attendance and Injury management) |
- Remove clause 10 principal determination
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Travel Cover |
- Journey accidents to and from work to continue to be covered as a form of insurance top up
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Superannuation |
- Bonuses to count for the purpose of superannuation
- Bonuses able to be paid into superannuation
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AWAs |
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Retail |
- Retention of EBA6 clause on conversion and franchising
- Employees working five or more Sundays get extra we'k’s recreation leave
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Delivery |
- Limits on the creation of dedicated delivery positions
- 15 per cent shift penalty to be include in base pay for all PDOs
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Transport |
- Outcomes of the Transport Review to be included in EBA7
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- Parties still finalising review outcomes
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Technical |
- Current agreements to continue - 12 hour shifts, shift penalties on training
- Clarification of access to qualification framework
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- Post to supply draft clauses
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Call Centre |
- New call centre classification increment proposal
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Tell Post you want a positive answer to these issues and you want EBA 7 finalised, you can contact them on their EBA hotline (1800 106 245) or alternatively send them an email at eba7@auspost.com.au.

Australia Post Being Open and Honest?
What Post is telling you
When it comes to defending an inferior EBA7 pay offer of 3% per annum pay rise over 3 years for 35,000 Australia Post Award employees, Post Executive’s CPI calculator peaked at 2.7% for the year 2006-07.
*Source: Post EBA7 SIB 12 February 2007 |

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What Post is telling consumers
In January, consumers were informed of the International Post price increases at an average weighting of 3.6%. Post Executives publicly defended this generous increase against the rising general costs and CPI currently at 3.9%.
*Source: International Post memo
Summary of Changes 5 March 2007 |
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In the meantime Post Executives have rewarded themselves with double-digit % salary increases including cash bonuses ranging from $105,211 to $264,537 for the 2005 - 2006 financial year.
Australian Postal Workers and their Families Can Receive a Just and Fair EBA7 Pay Deal Once Post Executives become Open and Honest!
*Source: 2006 Australia Post Annual Report |

Noel Paul, Branch Secretary, CEPU, P&T Branch, SA/NT
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EBA7 - Circular No.8:
EBA 7 -- Making progress, but more needs to be done
Post changes position on seniority and redundancy
After weeks of talks, there has been some progress on one major issue affecting the next EBA – involving the Redundancy, Retraining and Redeployment Agreement (RRR Agreement).
As you know, the CEPU, CPSU and Australia Post are talking about how we will roll in all your existing agreements and the Australia Post awards into one wages agreement, EBA7.
Australia Post planned some changes to the RRR Agreement during the rollover into EBA7.
Under its plans, Post no longer wanted to consider “seniority” (or the number of years employees worked with Post) as a factor when making decisions on offering redundancies.
Post initially argued that “seniority” was discrimination on the basis of age, and that the Federal Government’s WorkChoices laws would not allow this.
The CEPU and CPSU argued this was a very harsh interpretation of the laws – with very bad consequences.
As some members have asked: “What factors would local managers take into account when hand picking who should be made redundant?”
Fortunately, Post went away and considered the points raised by the CEPU negotiators – and informed the unions this week that seniority will be considered when offering voluntary redundancies.
That’s the good news – but we still have some major concerns about what Australia Post is offering:
- Members keep telling us -- the management wage offer of 3 per cent per annum is way too low, running less than inflation;
- Australia Post is hiding behind the tough WorkChoices laws to bring to life its long term plans on contracting and franchising Post employees’ work and jobs;
- The EBA will be nearly impossible to enforce if the dispute resolution process does not include an opportunity to involve the independent umpire – the AIRC – in arbitration; and
- Australia Post wants to block the CEPU’s ability to protect your safety by ripping out the EBA6 Occupational Health and Safety clause out of the next EBA.
What do you think?
Got a view about the EBA? Please tell us what you think by emailing us at eba7@cepu.asn.au.
Want to hear the latest EBA7 news? Listen to the CEPU Podcasts.
Podcasts are an audio file that you can play from your computer or portable music player. You can download this via the EBA7 section of our website at: www.cepu.asn.au

EBA7 news - Cepu-first EBA7 podcast launched
The CEPU EBA7 podcast, specially designed to update members on EBA7 talks, was launched this week. The podcast is a new move by the union to communicate with members on EBA7.
In a way our members can claim credit for the new podcast. On a workplace visit at the Seven Hills Delivery Centre in Western Sydney the union noticed posties wearing white earphones, linking them to their iPods or other portable music players. The union decided if our members had made the technological leap forward, the CEPU should do the same. So thanks to our members in Seven Hills for giving us the idea to launch a podcast.
What is a podcast?
Podcasting is a way of downloading audio files from your computer. You can listen to our podcasts on your computer or transfer them to an iPod or MP3 player. If you don’t have an iPod or MP3 player you can download the file to your computer using your computer’s media playing software.
What’s in the CEPU podcast?
In this podcast we look at: What’s EBA7 all about and what’s the union is hoping to achieve in a new EBA? We also provide some initial thoughts on Australia Post’s opening offer.
During the course of the next few months, we’ll be putting out regular podcasts, giving you the latest on where talks are at on the new EBA and we’ll examine some of the specific issues that are likely to be sticking points in negotiations with Australia Post.
We will also take feedback from members based from across Australia, responding to your questions. And we’ll also get reports from various officials, letting us all know what’s happening in their neck of the woods.
The podcasts should be ten to fifteen minutes long - if that’s too long or too short, let us know at our website and you can keep downloading this feature from our website, www.cepu.asn.au.
While you are there you can also send us your thoughts on the EBA:
- What’s important to you in the upcoming wage agreement?
- What do you think about management’s 3 per cent pay offer?
- What conditions do think we should really push for?
Our approach to the wage talks are guided by your views – so keep them coming through, via email: eba7@cepu.asn.au
Download the circular with details of the podcast in .PDF format here.

Does a good, old tradition survive WorkChoices and EBA7?
It’s been part of Australian workplaces for years, providing a chance for a quick rest break through the course of a long work shift.
But under Australia Post’s EBA plans it faced an uncertain future.
In plans released last week, Australia Post looked set to stop employees from taking tea breaks.
We’ll be interested to see if tea breaks are stopping Australia Post from making big profits, when it releases its Annual Report in about two weeks time.
After the CEPU and CPSU reacted to Post’s penny pinching, the Corporation said it wasn’t going to get rid of tea breaks -- it just wants to leave tea breaks out of EBA7.
This is becoming a regular feature of EBA talks with Post: claim credit for something they think they are doing well, but force you to check the detail to see if they are talking straight.
If conditions like tea breaks aren’t clearly spelt out in an EBA, Post’s commitments don’t mean much. That’s because Australia Post have nothing in writing to stop them from making you work through your breaks.
This is the same view we take with the dispute settling process.
If Post doesn’t allow an independent umpire like the Australian Industrial Relation Commission to have a full role to sort out tough disputes through arbitration, then management’s dispute settling processes don’t mean much.
The other big concerns we have are:
- The Australia Post three per cent pay offer is too low, especially for people coping with increased costs of living; and
- Australia Post is hiding behind the Federal Government’s tough industrial laws to knock out too many of your work conditions.
The CEPU have presented its draft log of claims. The log of claims lists the things CEPU members have told us are important to them in the EBA.
You can download the draft log of claims from our website: www.cepu.asn.au
Got a view about the EBA? Please tell us what you think by emailing us at eba7@cepu.asn.au.
You can also talk with your local union rep or give the State office of the CEPU a call and pass on your feedback there.
Yours Sincerely,
Noel Paul
Branch Secretary

Australia Post profit up, productivity up, bonuses up:
but you get 3 per cent pay offer (or four bananas a week)?
Australia Post today released it’s 2005/06 Annual Results.
The results are impressive, with lifts in profits and productivity – and revenue is pretty stable.
CEPU members can be proud of their contribution to Australia Post’s bottom line.
Even the Federal Communications Minister Senator Helen Coonan said “…every one of its (Australia Post) 34,842 employees deserve congratulations for an excellent performance.”
So what are the results? According to the Report (see: www.auspost.com.au/annualreport2006):
PROFIT UP |
Australia Post made a before-tax profit of $515.6 million – beating the target of $495.7 million. It is up nearly 10 per cent on last year’s result. |
REVENUE STABLE: |
Post earned revenue of $4.53 billion – but had expected $4.57 billion. |
PRODUCTIVITY UP: |
Productivity growth of 3.7 per cent, which brings total productivity growth over the past five years to 16.7 per cent – three times the national average. |
LETTERS PERFORM: |
Last year, profit from the letters business had declined by $56.9 million. This year there has been a $16.6 million increase in profit from letters. In 2005/06 letter volumes grew by 0.5 per cent – some 28 million letters. |
DELIVERING ON TIME: |
Beat the main service performance target by delivering 95.6 per cent of domestic letters on time or early. |
PARCELS AND LOGISTICS GROW: |
Strong growth with increased profit of $42.8 million this year through significant growth across all products and services. |
RETAIL SOLID: |
Retail and agency services put in a solid performance in 2005/06 and, although revenue was down (by $7.9 million compared with last year), produced a $12.5 million increase in profit in a tough retail environment. |
Across the board, Australia Post is performing well and continues to be seen as a world class service.
But this performance is not a fluke – and it’s not delivered by one or two people.
It’s delivered on the backs of nearly 35,000 employees who have worked together, made changes to their operations, put in many long hours. And now Post reaps rewards.
The CEPU says Australia Post management should share that wealth with the employees who helped create it.
Offering a tiny 3 per cent pay increase (inflation running at 4.4 per cent) after such a strong profit (and after generous management pay bonuses): that’s not right. That’s not fair.
The feedback the CEPU has received from members across the country has been overwhelming: the 3 per cent offer is not worth considering. Here are some actual member comments, received by the CEPU via email:
- “I have sent an e-mail to their hotline asking how much after tax 3% would equate to per pay for Mail Officers. In my calculations a Mail Officer could buy approximately 4 bananas per week. This would not even buy a banana a day to consume at the morning tea break if we are still going to have a morning tea break.”
- “I agree and would not consider a 3% pay rise as sufficient to keep pace with inflation and reward for assisting Post in delivery record profits.”
- “Pay rises that do not keep up with inflation are not acceptable. Even though the official inflation rate is about 5% the "real rate" is much more. Anyone who shops will know this.”
- “I am disappointed that the EBA7 will only give us a 9% pay rise over 36 months. This equates to only 0.25% per month (9 / 36). Based on our previous rise and keeping in mind today's ever rising cost of living I would have thought that the minimum increase should be the same, that is 0.32% per month for 36 months, a total of 11.52% during the term of the EBA.”
- “They have jumped in early with an attempt to sugar-coat what is a less than generous offer. I believe we should call their bluff.”
- “I believe that their offer should be thrown out.”
What do you think?
Got a view about the EBA?
Please tell us what you think by emailing us at eba7@cepu.asn.au.
Yours Sincerely,
Noel Paul
Branch Secretary

Australia Post EBA7– talks begin, but CEPU has concerns
Dear Members,
Talks began in Melbourne on Thursday the 28th September 2006 between the CEPU, CPSU and Australia Post regarding the EBA7.
Australia Post began by outlining:
- Its view about the state of its business, both now and into the future (we’re hoping to provide a summary of this shortly)
- Its views about what should – and shouldn’t – be in the next EBA.
As you know, Post has stepped out early through the sudden release of its SIB, spelling out what it thinks are the positives in its plans.
However it was behind closed doors that we got to see the things that Post wants to drop from future agreements.
As we said in our circular on Thursday (28/9), there are some positive elements to this proposal.
- However, we also indicated you need to pay close attention to the detail – to see what might have been dropped and potentially affects your take home pay.
After viewing the Post presentation, the CEPU was expected to outline the views of its members, regarding their preferences for the next EBA.
However, after hearing some of the things that Post want to do, the CEPU and CPSU both agreed to postpone our presentations – because we felt we had to question Post further about some concerning elements of their plans.
- The CEPU has told Australia Post in clear terms – we do not accept management’s proposed EBA and we have some serious concerns with it.
The elements that concern us are:
- Their pay offer is too low – 3 per cent is less than inflation and doesn’t reward you for your help in making Post a profitable, world class service.
- Post is hiding behind the Federal Government’s tough industrial laws to do the following:
- Extend fixed term employment for up to three years.
- Remove any commitment to continuing to provide permanent jobs, promoting the use of casual, fixed term and agency staff and the contracting out of work.
- Remove the commitment to provide tea breaks.
- Remove any restrictions on the use of facility nominate doctors (FNDs).
- Remove the commitment not to split classifications and reduce pay levels for Mail Officers, Parcel Post Officers, Delivery Officers and Technical Officers.
- Removing any requirement for consultation on the retail network, and allowing any corporate outlet to be converted or franchised.
- Removing any commitment to retain technical work ‘in-house’.
- Further restrict union access to workplaces and members.
- Restrict their commitment to Occupational Health and Safety to the Howard Government’s new Occupational Health and Safety laws which limit union involvement.
- Vary the RRR provisions to allow management selection of individuals for retrenchment.
- Refuse to give preference to existing permanent part-time employees when full-time work is available.
- Refuse to give preference to existing fixed term staff when permanent work is available
- Take bonuses away from individuals who take – what Post believe – is unlawful industrial action.
- The planned Australia Post dispute resolution process – in our view – is weak and ineffective.
A good dispute resolution process should help sort out workplace problems that just don’t seem to be getting solved at a local level.
And if that dispute resolution process doesn’t provide access to an independent umpire, like the Australian Industrial Relations, then there’s little confidence that the process will take your concerns into account and make fair decisions that balance management priorities with employee views.
We understand that we have only had one day of talks, and if Australia Post is genuine and fair, it will have to take into account your concerns and those of the CEPU and CPSU before any agreement is put to a member vote.
We have also told Post that any documents or positions they put on the negotiating table, will be considered public documents.
Australia Post can’t issue glowing Staff Information Bulletins full of praise for their own version of an EBA on one day, but expect the next day to hide their tough plans behind closed doors.
This is just an early report and we aim to keep you fully briefed on the talks as they continue.
As always we’d like to hear your opinion and feedback.
Please contact us via email at eba7@cepu.asn.au.
You can also talk with your local union rep or give your local State office of the CEPU a call and pass on your feedback there.
We’ll keep you posted on further developments – that will determine your future rights at work in Australia Post.
Yours Sincerely,
Noel Paul
Branch Secretary

Dear Members,
Your current wages and conditions are set out in an important legal document, known as an Enterprise Bargaining Agreement (EBA). The term of your current EBA - EBA6 - finishes in December, but your wages and conditions remain protected until you vote on a new EBA. Talks will soon commence between Australia Post management and the CEPU regarding the new EBA (EBA7).
After talking with members across the country, the CEPU has put together an initial list of EBA7 claims that include wage increases and improved conditions. This list is known as a log of claims and a summary is attached with this letter for your information.
By working together as a group, CEPU members in Australia Post have been successful in getting pay rises and protecting their conditions. And research shows union negotiated EBAs have a better track record at delivering wage increases – without the sacrifices made through weaker and tougher individual Australian Workplace Agreements.
Our aims in the upcoming EBA negotiations are simple:
- As a group working together, our members have helped Australia Post perform strongly. You and your fellow members can be proud of your efforts and we think you should be fairly and properly rewarded.
- Good workplaces work together – and an EBA makes sure that everyone is paid fairly for doing the same work.
- Members have also told us good workplaces can also make time for their families – we agree and the CEPU will argue for a better work/family balance for our members.
- Experienced and skilled Australia Post employees should be properly rewarded – and we will push the case for improved superannuation conditions for loyal, long standing employees.
- Importantly – since this is one of the first EBAs to be negotiated under the Federal Government’s unfair workplace laws – we will be fighting to protect your take home pay and conditions by rolling these conditions into this EBA, where allowed by these tough laws.
If Australia Post are sensible and fair, we believe these wage talks could be wrapped up before the end of the year. However, these new workplace laws may make this difficult to achieve.
During the EBA7 negotiations we will keep you up to date through:
- Workplace visits
- Regular bulletins
- Our new special EBA7 webpage at www.cepu.asn.au
We’re keen to keep hearing your views. Please contact your local state office of the CEPU – or email us direct at eba7@cepu.asn.au
Thank you for your continued support – and we look forward to working on your behalf to get a fair EBA that rewards you for your hard work in helping make Australia Post a successful world class postal service.
Best regards,
Ed Husic
Divisional Secretary |
Noel Paul
Branch Secretary SA/NT |

25th July, 2006
BRANCHES, as addressed
Dear Colleague
RE: Letter to Graeme John concerning EBA7
We enclose for your information copy of letter dated 20th July 2006 forwarded to Mr. Graeme John asking Australia Post to commit to maintaining current wages and conditions for existing and new employees.
The enclosed letter has been incorporated into a members’ bulletin in accordance with a decision of the EBA campaign committee. As you may recall the thinking of the committee was that the letter would be circulated to delegates and members for discussion in workplaces.
If you have any queries about the above please contact Carol Gee.
Yours faithfully,
Sharelle Herrington,
ACTING DIVISIONAL SECRETARY
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