TORRENS TRANSIT

Mrs VLAHOS (Taylor) (14:24): My question is to the Minister for Transport Services. Can the minister advise the house what the state government is doing to protect employees who have been transferred from Torrens Transit to Transfield?

The Hon. C.C. FOX (Bright—Minister for Transport Services) (14:24): Transfield continues to honour their contractual obligations in relation to employment provisions and continues to uphold all long service leave and sick leave entitlements of employees who have transferred from Torrens Transit. Under the previous bus contract arrangements, Torrens Transit has to pay state government a reasonable allowance for the potential liability of the incoming operator for the long service leave and sick leave entitlements of transferring employees, based on the length of their service. All employees who have transferred are aware that their entitlements are preserved and protected in the new employee arrangements.

Under the arrangements in place between the department and the contractors, the amount that Torrens Transit pays the department for the transfer out of these obligations is being negotiated and resolved based on independent actuarial advice. The funds paid to the department through these arrangements will be paid through to the new operator.

Commonwealth law also dictates that employees cannot lose award entitlements, and a process is in place to ensure that the transfer of business provisions in the Fair Work Act 2009 applies in this instance. I understand that the actual allowance that Torrens Transit is required to provide government is currently being determined and a resolution is expected within the next few weeks. I have had extensive consultations and meetings with the union concerned—

Ms Chapman: And they're sick of waiting.

The SPEAKER: Order, the member for Bragg!

The Hon. C.C. FOX: —the Transport Workers Union—in relation to this matter. They have worked tirelessly on behalf of their members, and we are very happy to assist them in this process.