The NSW Government has taken a key step to rebuild essential services and address critical public sector vacancies with a $3.6 billion Essential Services Fund (ESF).
This fund delivers on a key election commitment to reinvest in our frontline workers.
The fund will support long-term growth in pay for front line workers such as nurses, paramedics, health workers, police, firefighters, prison officers, teachers and child protection workers, another step in a long-term plan to retain staff and address shortages which are impacting the delivery of essential services.
We are committed to improving working conditions, stopping our frontline workers quitting and attracting more people to these vital roles.
The new ESF is part of this Government’s approach to engaging our public sector workforce, reinforcing a commitment to a new bargaining framework by setting aside the funds to support public service improvement and deliver wage growth for thousands of workers.
It comes on top of what the NSW Government has already delivered:
- the end of the former government’s unfair public sector wages cap
- a two-year salary freeze for senior executives and Members of Parliament which will save around $250 million over four years
- a 4.5 per cent pay increase (including a 0.5 per cent increase to superannuation) in 2023-24 for more than 400,000 public sector employees
- a series of agreements with essential workforces delivering well-deserved pay rises including this month’s deal which will see educators go from being among the worst to the best paid in the country.
The Industrial Relations Taskforce, led by former Deputy President of the Fair Work Commission, Anna Booth, and former President of the Industrial Relations Commission, Roger Boland, has also been established to fulfil the commitment to a new interest based bargaining framework.
This support is only possible because of the careful and responsible approach we have taken to repair the budget and reprioritise spending – which we have done without privatisation or imposing an unfair wage cap on our essential workers.
We are a government with a clear focus – managing our finances responsibly so we can provide support when you need it most and improve the essential services that we all rely on, now and into the future.
Treasurer Daniel Mookhey said:
“Hard-working public servants keep our hospitals, schools, parks and services running. The people that keep our state going deserve real wages growth.
“The Essential Services Fund will give them certainty and help bolster their ranks to ensure essential services workers are supported to deliver the best outcome for the people of New South Wales.”
Minister for Industrial Relations, Sophie Cotsis said:
“We have already ended the wages cap. Now, we’re setting aside the funds needed to deliver wages growth for our hard-working teachers, nurses, police officers and other public servants.
“We’re committed to improving the public sector and ending the recruitment and retention crisis in NSW”.
