Wagga council employees have been thrown a safety net as the organisation signs up for a new workplace agreement after being snubbed in government's wage subsidy.
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As part of the arrangement called a 'splinter award,' those council workers who can no longer do their jobs will be paid $858 a week for three months if stood down and have access to special leave.
The city council's general manager Peter Thompson said the new award gives the organisation special powers in the next 12 months to manage its staff through the coronavirus uncertainty.
Mr Thompson said the priority, however will be to keep employees doing meaningful work wherever possible before resorting to the special considerations.
Wagga council has already redeployed staff to assist local charities that are working hard to have meals available for those in need.
"I put a call out asking if people were prepared to work in front line community services and about 126 staff put their hands up ... they are putting the shoulder to the wheel and filling those positions that are usually done so by volunteers," Mr Thompson said.
Wagga councillor Vanessa Keenan said the new award was "born out of necessity" when the federal government deemed council staff ineligible for the Job Keeper program.
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She said the staff needed some assurity and understanding about keeping their jobs during these challenging times ahead.
"Council wants to keep people employed. In Wagga, like many other places, its council is one of the largest employers so to have an opportunity now to work with the employees is great," she said.
With security given to employees, Cr Keenan said the focus needs to shift toward providing funding to local councils which have an important role to play in stimulating the city's economy.
"We need work for the workers to do," she said.
"We saw it during the global financial crisis that local councils were able to step up and take on a number of shovel ready projects.
"Not only will this keep council workers employed, but local trade and services too. So that money goes into the community with flow on effect."
Local Government NSW president Linda Scott said the splinter award gives councils greater flexibility to provide alternative duties for permanent staff unable to perform their regular work.
"The intent is to retain as many people as possible, for as long as possible, as councils navigate through this pandemic," Cr Scott said.
"Without this award, councils would face an almost impossible task and thousands of council staff would face uncertainty in the weeks and months ahead."