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Over many years, unions have sought to balance the power dynamic between workers and employers during periods of significant change.

Unfortunately, it’s not always possible to prevent job cuts from happening. But thanks to legal protections won by union members, employers cannot do whatever they want without considering the consequences, including the health and safety risks and impacts.

All enterprise agreements negotiated by our union contain a clause that requires management to undertake certain steps before final decisions are made regarding cuts and restructures. This includes:

• consulting with you about the decision to introduce major changes.
• discussing with you the effects the changes are likely to have on you.
• providing you all relevant information about the proposed change in writing.
• considering your views, feedback and any concerns you have about the change.
• discussing measures to avoid or reduce the adverse effects of the changes.

After consultation ends, employees whose roles are made redundant and who are unable to be redeployed are entitled to redundancy – something that is determined either by the Banking, Finance and Insurance Award or, if one exists for your workplace, your enterprise agreement.

Every enterprise agreement is different, so we encourage members to check their individual EA to ensure the proper process is being followed.

Members can search for their EA on our website here.

Can these clauses really make a difference?

Yes! These requirements aren’t just box-ticking exercises. They are there to ensure employees have a genuine say in their future employment.

There are many recent examples of FSU members negotiating better conditions when faced with restructures and redundancies, thanks to management being required to engage in meaningful consultation.

At Westpac, members fought for employees who were being made redundant to either receive a four-week ex-gratia payment (on top of redundancy pay and support) or an extended redeployment period.

At NAB, consultation is ongoing with members at the Knox site pushing for better support, after being told their site will close. So far, management has conceded to an enhanced flexible work arrangement process, a $3200 relocation payment, and revised rostering arrangements.

And at CBA, management is trialing an early consultation approach for a distinct team within the Collections department, which will see staff engaged through town hall meetings and through calls for expressions of interest ahead of potential changes. This new consultative approach is the result of relentless advocacy from the FSU to get CBA to improve its transparency and engagement with employees ahead of workplace changes.

Union membership the biggest protection

Importantly, there are also industrial avenues for unions to pursue when employers ignore their consultation obligations – including escalating to the Fair Work Commission. The FSU has had numerous successes with forcing employers to engage in genuine consultation and, in some cases, reverse their decision.

For example, CBA was forced to backflip on their decision to cut 45 customer service roles last year, after we challenged CBA’s claim that a new AI-powered ‘voice bot’ had led to a reduction in call volumes.

Of course, workplaces that have high union membership will always be in a better position to collectively make their voices heard.

Why? When an employer knows that the majority of their employees are represented by the union, we have more power to negotiate things like no forced retrenchments and improved redundancy payments.

Unfortunately, some employers rely on their staff not knowing or fully understanding their rights and entitlements, let alone exercising them.

Ensuring you and your colleagues are members of our union is the best way to stay informed and protected at work. If you need support or want advice when it comes to your rights at work, join our union today or contact our Member Rights Centre on 1300 366 378.