Finance union knocks back 3pc pay rises at Cbus

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Industry fund Cbus has made the controversial decision to pursue its pay offer with staff directly in the face of union opposition and claims its wage increases are below cost of living.

Cbus has made the controversial decision to pursue its pay offer with staff directly in the face of strong union opposition and claims its proposal will amount to a real wage cut.

Cbus chief executive Justin Arter says the fund “strongly believes” the offer strikes the right balance.The contested ballot shows the intense pressure that rising inflation is putting on wage growth and is expected to spark several days of campaigning by the construction union fund and its staff union to win employee support.

In a message to staff late on Monday afternoon, Cbus chief executive Justin Arter said the fund made the unprecedented decision to take its proposed deal to employees without FSU support after making several concessions to the union.He said the fund and staff wanted the negotiations to be “wrapped up swiftly” and it was unfortunate the union had rejected its offer despite “numerous attempts to reach agreement”.

“This means a real wage cut for three years, and certainly for the first year, if inflation remains at its current level,” she said.“The offer is especially disappointing because all the pay rises we negotiated under the current EBA have been above inflation – and almost all executive pay increases in the same time period have been above 10 per cent.”

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