Targeted Voluntary Separation Packages

In reply to the Hon. S.C. MULLIGHAN (Lee) (21 September 2018). (Estimates Committee B)

The Hon. R.I. LUCAS (Treasurer): I have been advised of the following

A non-executive employee to whom an offer of a TVSP is made and who accepts such offer, will receive a payment, calculated at the rate of 10 weeks' pay, plus an additional 2 weeks' pay for each completed year of service, up to a maximum of 52 weeks' pay. Consistent with clause 1.8.6 of the South Australian Modern Public Sector Enterprise Agreement: Salaried 2017, an excess employee who has been a redeployee for between 0 to 3 months from date of formal written declaration of excess is entitled to redundancy pay equal to 100% of the voluntary separation payment prescribed in clause 1.8.3 plus a lump sum payment of $15,000.

Employees who accept a TVSP are not eligible to be re-employed or otherwise engaged in the South Australian Public Sector:

for a period coinciding with the number of weeks' TVSP pay (based on 100% TVSP) paid to them, from the effective date of their separation; unless

the individual repays to the Crown a sum equivalent to the number of weeks' pay remaining in the nominal period by reference to the number of weeks' remuneration paid to them upon resignation of their employment.

For example, a full-time employee with 10 years unbroken completed years of service would be offered a TVSP (at 100%) equivalent to 30 weeks pay (10 weeks, plus 2 weeks x 10 completed years of service). The employment exclusion period for this employee would then be 30 weeks from the date the employee terminates by resignation.