CORPORATE Q&A
Got a question? We’re here to answer it.
YOUR QUESTIONS ANSWERED
You can read more about the problems with FRV’s offer and the UFU’s position here. Still wondering about something? Ask us here.
When VPS parity comes into line in 2028, will it be at the VPS rate at the time or at 2026 levels?
Answer
The UFU’s position is that parity should be with the applicable VPS salary rates at the time parity is achieved, not frozen at outdated 2026 rates. Aligning to 2026 salaries would leave employees behind immediately. Genuine parity means matching the current VPS rates when alignment occurs.
Further, the UFU’s position is that Top of Band Payment must be maintained as part of status quo and any resolution of bargaining must ensure equity across the FRV band structure, particularly bands 6, 7 and 8.
As a UFU member, the current offer has never been put to me to vote. At what stage can FRV ask staff to vote without UFU agreement?
Answer
FRV can only put an Agreement to employees if it has met its legal obligations under the Fair Work Act. The UFU’s position is that those obligations have not yet been met because significant relevant information about FRV funding remains unresolved. This is currently a UFU Good Faith Bargaining Order before the Fair Work Commission. The Union is not preventing a vote — we are seeking to ensure employees vote on an agreement that has been lawfully bargained.
Why can't we proceed to a contested ballot if the Government has already approved the offer being put to staff?
Answer
Government approval relates to funding parameters. It does not remove FRV’s obligation to bargain in good faith. The issue is not whether an offer exists, but whether bargaining has been completed lawfully. Those issues are currently before the Fair Work Commission, due to a UFU Good Faith Bargaining Order Application.
Corporate staff are the only FRV employees without income protection. Don't Corporate staff deserve income protection?
Answer
We believe they do. Income protection has been one of the UFU’s claims throughout bargaining, but FRV has consistently rejected it. We do not accept that Corporate employees should receive lower employment conditions than other FRV employees. Illness or injury outside work can affect anyone, and we’ll continue pursuing this entitlement.
How does the proposed Agreement differ for fixed-term or part-time employees?
Answer
Most salary increases apply equally regardless of employment type. Part-time employees receive entitlements on a pro-rata basis where appropriate, and fixed-term employees covered by the Agreement receive the same Agreement conditions while they remain employed. Individual circumstances may vary depending on the specific entitlement.
Can you explain how FRV is funded?
Answer
FRV receives annual appropriations through the Victorian Budget. Funding is provided to operate the organisation rather than being allocated employee-by-employee. This is why we’ve requested further information about how funding has been allocated internally. That information has not yet been fully provided.
The detail of how a public sector organisation is funded is contained in Victoria Government resource management framework documentation (over 210 pages) on an annual fiscal year basis. The documentation describes the resource management and departmental funding frameworks.
Government has provided funding for wage increases over six years. Where has the money gone?
Answer
That’s one of the key questions we’ve asked FRV. We’ve requested relevant financial information during bargaining to understand how wage funding has been allocated. FRV has not yet provided all of the information requested. Until they do, employees cannot properly understand why wage outcomes have been delayed for so long.
When will FRV provide the remaining funding information?
Answer
We’ve repeatedly requested relevant additional financial information. The Fair Work Commission has become involved because of concerns regarding bargaining requirements. We will continue pressing FRV to provide the relevant information needed to properly assess its position.
I don't want employer-funded income protection. I'd rather arrange my own.
Answer
That’s a personal choice and we respect that. However, enterprise agreements establish minimum employment conditions. Many employees choose additional private cover, but that shouldn’t prevent everyone receiving a minimum employer-funded entitlement. The UFU believes Corporate employees should not be worse off than comparable workforces and other FRV cohorts.
Why did the AMWU secure income protection while Corporate staff have not?
Answer
The AMWU Workshops members were given income protection, above their EBA, in 2018 after the UFU secured it for operational staff. The UFU has claimed income protection, but FRV has rejected that claim for Corporate employees. We do not believe there is any principled reason why Corporate employees should receive a lower standard of employment conditions.
What happens if there's a change of Government after the election?
Answer
Enterprise bargaining continues regardless of election outcomes. A change of Government does not automatically end or restart bargaining. The Union’s focus remains securing the best possible Agreement, regardless of which Government is in office.
This is dragging on. Why not just let staff vote?
Answer
We understand members’ frustration, we are equally frustrated! Asking employees/members to vote before bargaining is properly completed risks locking staff into inferior conditions for years. Our responsibility is to ensure members have the opportunity to vote on the best achievable Agreement.
Why are other employee groups getting better outcomes?
Answer
Each enterprise agreement is negotiated separately. Some workforces have secured outcomes beyond the standard wages policy where Governments have agreed. That’s exactly why we’ve argued CTA employees deserve pay parity. We do not accept that Corporate employees should receive a lesser outcome.
Will everyone receive the $8,000 sign-on payment?
Answer
Under FRV’s current proposal, eligibility depends on the final terms of the Agreement. Members should carefully consider any eligibility criteria before voting. The UFU will continue seeking clarity from FRV, including how the payment applies to new starters and part-time employees, and will provide clear advice before any Agreement is put to a vote.
FRV’s proposed $8,000 “Patience in Bargaining” payment is a one-off lump sum. It does not increase your ongoing salary or improve your long-term earnings.
Importantly:
- It is a one-off payment, not a permanent wage increase.
- It is taxed as income, meaning many employees will not receive the full $8,000 in their take-home pay.
- It does not increase your base salary, so future wage increases are calculated from the same existing salary.
- It does not attract additional employer superannuation contributions, meaning there is no long-term benefit to your retirement savings.
- It does not flow through to allowances, penalties or other salary-based entitlements that are linked to base pay.
Once the payment has been made, it is gone. It does not compound over time or improve your ongoing remuneration. In contrast, increases to base salary continue to deliver value every pay cycle, increase superannuation contributions, and flow through to salary-linked entitlements for the life of the Enterprise Agreement and beyond.
The UFU says we need 26% just to cover the cost-of-living. With 3% a year over the agreement, that compounds to more than 40%. Isn't that unachievable, and if so what is the point of holding out?
Answer
In relation to the compounding effect, the evidence that the Union relies upon regarding Wage Increases has been put together, and verified, by Professor Bill Mitchell. Essentially, there has been a wage freeze since 2020.
The effect of rectifying the wage freeze, and moving forward on a 3-4 year agreement, bears no relevance as the percentage increase during the life of the Agreement is where the true compounding effect is. Even if you are correct, if we divide 10 years over 40%, that equates to 4% per year – which is not unreasonable. If we’ve misunderstood your question, please contact the UFU Office.
If we delay signing now, does that push any increase out to next year and leave us worse off again?
Answer
The answer is: No. Resolution of enterprise bargaining is based on ensuring that Corporate members’ purchasing power remains relevant to the cost of living. Any settlement has to take that into account. If the Agreement was signed today, effectively, corporate members have enshrined a permanent wage cut of 16-17% forever.
The UFU’s claim of about 26% rectifies not only the period of the wage freeze but maintains your purchasing power as relevant to the projected cost of living.
If the question is delaying the signing of FRV’s offer – the answer is still no, as FRV’s proposal backdates the first increase to 1 January 2026, payable from the first pay period after the agreement commences. On the current draft, the wait itself would not forfeit that period’s money, and we won’t endorse any agreement that doesn’t feature this backdating.
There is also more in play than there was six months ago. We are in a Fair Work Commission process, there is an election in November, and we are working with stakeholders including Trades Hall Council to see this resolved. We are using these levers to bring this to a head as soon as possible, rather than letting it drag on into another year.
The solidarity of Corporate members in remaining resolute to rectifying the injustice of the wage freeze and the consequences of such has been inspirational, to say the least. We are confident that, if that solidarity continues, we will be able to achieve the outcomes that we collectively strive to achieve.
That is: Not only maintaining the relevance of the work that Corporate members do in the context of remuneration but also enable them to provide for their families against a previous and future spike in the cost of living.
Is there a strategy to get this signed before the current Government faces the election in November?
Answer
Yes – our strategy aims to finalise this before the election and we are using every avenue we have to do just that.
Governments heading into an election generally want outstanding disputes resolved rather than running through a campaign, especially Governments who are afraid of losing their majority. We are using that. We are working within the political system, meeting with various stakeholders including Trades Hall Council, and we are applying public pressure to the Government alongside that, including with our television advertising. We know they are feeling the impact of this public pressure.
At the same time, we are continuing in the Fair Work Commission (FWC). Our Good Faith Bargaining Order application is aimed at forcing FRV to provide the information it has withheld and to bargain in good faith. We believe this process can see us through to a fairer agreement. There are other FWC mechanisms available to us if this current process does not secure an outcome.
We have also been meeting with a broad range of parties and representatives. Our preference is to have this resolved before the election. But, in case it is not, we are prepared to make this an election issue and to support those who commit to fixing it.
How does the VPS alignment actually work, and what will it mean for my pay point? What happens if I don't think I've been aligned to the correct VPS level?
Answer
Under FRV’s proposal, alignment happens in January 2028. If you are currently an FRV 3.1, you would be aligned to the equivalent VPS progression step, in that case VPS 3.1.1. The VPS rate only applies if it is higher than your FRV rate at that time. From the first full pay period on or after 1 January 2029, the final 3% increase is applied to whichever rate is higher.
However, there are three problems with this.
The first is timing. The VPS Agreement nominally expires on 9 April 2028 and sets no rates beyond 1 May 2027. The rate you would be compared against in January 2028 is effectively a 2027 rate rather than a current one. Our position is that VPS rates as they stand when alignment occurs would be effectively 6 months out of date.
The second is that not everyone gains. Many members currently receiving Top of Band payments would stop receiving them under this model. Under FRV’s proposal, increases are not distributed equally across the workforce. The UFU’s position is that the same increase should apply to everyone, which is obviously the fairer path forward.
The third goes directly to the question about appeals. During bargaining, FRV had agreed to wording that put the alignment work through the Consultative Committee, which would have given the UFU and members oversight of how it was done. FRV has since removed that wording. What is proposed now is alignment determined solely by FRV.
In practice that means if you believe you have been aligned to the wrong level, there is no clear avenue to challenge it. This winds back the existing right you have to appeal reclassification, and it is one of the reasons we have made a counteroffer to FRV.
FRV says the UFU has declined their offer. Is that what happened?
Answer
It is becoming more frequent for FRV to enter into a communication strategy that, at the least, is misleading and, at its highest, is totally deceptive. Effectively, they have misrepresented the UFU’s position. This is unfortunate because it causes extreme confusion amongst members and should be seen for what it is: a strategy to try and turn Corporate members against their Union in part via a misinformation campaign.
FRV’s communication states that on 21 August the UFU decided not to endorse FRV’s offer. What we actually did was put a counteroffer to FRV. Bargaining has not stopped. We are still at the table and still seeking an outcome. We think this is a meaningful difference.
Describing that as the UFU declining the offer suggests the process has ended and that we walked away from it. It has not, and we have not. A counterproposal is how bargaining works. It is the normal response to a flawed proposal.
Our position remains what it has been throughout. We will endorse an agreement that recovers what corporate staff have lost since 2020 and does not disadvantage members through the alignment model.
Has the UFU's counteroffer been shared with staff?
Answer
Yes. As explained more recently, the UFU via Trades Hall and at the request of sections of the Victorian Government, have put a proposal for resolution for both Operational and Corporate Enterprise Agreements. This is on the UFU Intranet under the page titled “September 2026 – UFU Bargaining Updates“.
Prior to this, the journey of negotiations has been communicated as negotiations have progressed.
Note: The linked page on the UFU intranet is only available to UFU members.
I have heard that the outcome for operational staff will set a pathway for Corporate. Does that mean we are waiting on the operational agreement to be resolved first?
Answer
No. Corporate bargaining is a separate process with its own agreement, its own claims and its own Fair Work proceedings. Nothing in it depends on the status or outcome of the operational negotiations, and we are not holding off on anything while we wait for them.
There is one potential connection, however, and it works in our favour. Operational staff are currently in a Fair Work process. If that produces an outcome, FRV will have a clear picture of what happens when wages are determined fairly by the Commission rather than settled at the negotiating table. We believe that would give FRV a reason to bargain properly with Corporate staff instead of risking the same result for the CTA staff EBA.
So, the only relevance of the operational process is that it may end up putting pressure on FRV to move. It is not something corporate staff are queued behind.
Can the UFU poll members on two things: whether we want to see the full offer, and whether we are ready to vote on it?
Answer
These questions are slightly different, so we will answer them separately.
Firstly, on seeing the full offer, a poll would not tell us anything not already communicated. When you talk about the offer, we assume you refer to FRV’s documentation. If not, the UFU’s documentation has previously been provided to UFU members.
Regarding FRV’s documentation: the UFU has been demanding the complete document from FRV for months, and it is a central part of our Good Faith Bargaining Order application in the Fair Work Commission.
It is only after the UFU having spent significant amounts of money in making a legal application to the Fair Work Commission for FRV to produce its documentation – which they have, in part, produced some documentation but not all. Of course, this brings into question FRV’s bona fides and, more importantly, raises significant questions as to why they will not be totally and fully transparent.
We are not withholding the offer text. FRV is the party that has not released the document, and a poll of UFU members does not change what FRV chooses to do. Requests for the full offer text should be directed to Tony Matthews and the FRV leadership team.
In relation to a poll for members to vote: As previously explained, that is not in accordance with Government policy. However, to be clear, if FRV chose to prosecute a non-Union Agreement, the Union would have no option but to run a ‘No’ campaign given the significant damage to the career structure and remuneration (among other conditions) that Corporate members would lose.
It should be noted that, once lost, your conditions can never be regained.
Submit your questions
Union delegates and representatives are visiting worksites to talk about FRV’s offer. Submit a question anonymously so it can be responded to at site meetings and on this page.
Looking for something else?
We want members to feel supported and informed. To that extent, please be aware of the following resources for members:
Delegates are members – other FRV employees – who’ve stepped up into a leadership role. Delegates can help you understand issues, like workplace bargaining, protected industrial action, and FRV’s offer. Learn about your delegates here.
You need to know your rights before you can exercise them. To support members, we’re compiling information about your rights, the bargaining process, and protected action here.
WE'RE HERE TO inform, support & PRotect you.
If you need more information, just let us know.
Unions have fought for decades to defend your right to seek fair pay and fair conditions, and to ensure your job security. Under the Fair Work Act, there are legislated general protections that protect you from FRV taking any detrimental action against you. Therefore, you cannot be punished for joining your union or getting involved in protected industrial action. The UFU will use all avenues to defend your legal rights and your employment.
If you have any concerns about how you are being treated (or might be treated) if you get involved, let us know.