Fed: Telstra says it is just complying with new super laws

AAP General News (Australia)
08-01-2008
Fed: Telstra says it is just complying with new super laws

Unions have accused Telstra of dipping into the pay packets of up to 20 thousand staff
on individual employment contracts .. but the telco says it's simply complying with the
law.

The ACTU says Telstra is cutting employees' take-home pay and using the money to cover
a shortfall in superannuation contributions .. following changes to super laws.

The changes mean superannuation is now calculated on a person's earnings .. not their
base salary.

The ACTU says Telstra's approach could mean cuts of up to three thousand dollars from
the pay packets of Telstra staff over the life of a five-year Australian Workplace Agreement.

But Telstra says there's no change to the total remuneration of its employees .. and
the majority of its workforce isn't affected.

Telstra spokesman MARTIN BARR says the impact on the individual depends on that employee's
super fund .. pay arrangements .. level of existing super contribution and their additional
personal contributions.

Mr BARR says affected employees were informed before the changes happened.

ACTU secretary JEFF LAWRENCE says Telstra's decision to dip into take-home pay isn't
illegal .. but he says it's an example of how Telstra workers could be worse off compared
with those on union-negotiated collective agreements.

AAP RTV cjb/hn/crh/sw

KEYWORD: TELSTRA STAFF (SYDNEY)

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