CONTEMPORARY APPROACH TO EMPLOYMENT IN THE CHURCH
In Australia, the Church is a significant employer, with approximately 176,000 employees engaged in the provision of community services in the education, health and welfare sectors and diocesan and parish administration.
This paper is intended to assist the Church in its role as an employer,
so that it exemplifies and models fair, just and equitable employment policies.
The Church has consistently affirmed the dignity of labour, beginning in
1891 with Rerum Novarum by Poe Leo XIII, and continuing to recent times
with Gaudium et Spes, Laborem Exercens and Centesimus Annus.
In 1993, the Bishops’ Committee for Industrial Affairs (BCIA) issue Industrial
Relations – The Guiding Principles ‘to draw attention to
fundamental principles of morality and social justice’. This was set against the new industrial
background of workplace reform and enterprise bargaining.
Statements in all of these documents challenge employers to provide
fair wages and decent working conditions.
They promote the involvement of employees in decision-making in the
workplace.
On the other hand, they challenge the employees to perform their
working diligently, to respect the person and property of their employer and to
comply with all reasonable instruction.
Since the publication of The Guiding Principles, workplace
reform and enterprise bargaining have developed into an industrial relations
framework that promotes a direct relationship between the employer and the
individual employee.
In this paper, the Bishops’ Committee for Employer Relations (BCER)
seeks to provide practical guidance to those who carry out the mission of the
Church at a time of considerable change in industrial relations and employment
practices and legislation.
There is a new need to give practical meaning to the role of employment
relations for the Church and its employees in light of those developments.
DRAFT NATIONAL MEMORANDUM OF PRINCIPLES THAT WILL GOVERN THE RELATIONSHIP BETWEEN ACTU/UNIONS & CHURCHES
Noting that employment in the not for profit church sector across aged care, health/hospitals, education, social welfare, and employment agencies is large and represents a significant percentage of overall employment, the parties agree that the following points will govern the relationship between the church and unions.
The memorandum is in no way intended to interfere with, nor intervene
in local enterprise bargaining, but is aimed at creating a favourable framework
and climate within which detailed negotiations at the enterprise can proceed
positively.
1.
Unions will be free to organise in church agencies
without barriers, and where churches have a policy that is positive towards
union membership, that will be widely publicised among employees.
2. Appropriately elected shop stewards and
job representatives will have
freedom of time and movement in the enterprise to carry out their duties, providing there is no undue disruption to the work of the agency.
3. Churches will not seek to undermine union/award standards in the award
stripping process, or preventing the flow on of legitimate national
decisions dealing with improved wages and conditions.
4. Unions and churches commit to delivering a high quality effective agency
service and spell out in detail how that will be achieved at the enterprise level.
5. Churches will negotiate with unions to achieve efficiency measures through better work management systems, skills, improved OH&S, less turnover, less waste, devolution of decisions, and consultation and information sharing, etc., and not through cutting wages and conditions.
6. Unions and churches will work together to develop a set of Key
Performance Indicators that are suitable for the appropriate agency.
7. Principles to be developed and agreed beyond this memorandum around the
following issues : Outsourcing, Casualisation, Employment security, Improving working hours and working life.
8. Unions and churches will work together in approaches to government,
development of tenders etc.,
to try and ensure that far as possible the particular agency/ies are/is
maintained in the not for profit rather than the
for profit sector.
9.
Resources to be jointly developed to ensure
upgrading of skill competency
within the agreed
national agency framework.
10.
Recognising the long traditional and important role
volunteers play in
various church
agencies, an agreed code of practice to be developed that clarifies their role
and level of involvement, and that they will not be employed to eliminate paid
employment.
11.
Churches and unions to meet regularly to review and
hear reports of the
progress of the
Memorandum.
·
Recruitment and promotion
The recruitment and promotion of employees should be based on fair and transparent procedures.
Open advertising assists in finding the right person for the
position. Accurate and current position
descriptions containing clear lines of accountability need to be available so
that both the employer and applicants understand the expectations of the
position.
The employer needs to make applicants aware that they have a
responsibility to provide appropriate documentation and an honest assessment of
their abilities and previous experience.
When employment is offered, the employer should make explicit all of
the terms of employment, including the projected duration of the position, the
details of the remuneration package, the duties of the position and the terms
of accountability.
Job security is a legitimate expectation of employees. The employer should be open with employees
that this is dependent upon performance evaluation, the ongoing need for the
position and level of financial resources.
Employers are advised to seek advice about the latest developments in
employment and industrial law before they undertake the recruitment of
employees. This is especially relevant
in the areas of anti-discrimination legislation, the selection process and
criteria, the checking of references for employees who may have responsibility
for the care of children or vulnerable persons, the terms of contracts of
employment and the use of employment agencies.
·
Participation in decision-making
Employees should be involved in decision-making at appropriate levels of the organization. In establishing and maintaining a fair and just workplace, the Church employer is to encourage participation in decision-making so that all persons may exercise their right to contribute views about how their work life is organised.
Though managers make ultimately those decisions appropriate to their
responsibility, participation of employees in the formulation of decisions that
affect the workplace is essential for cooperative and effective implementation
of change.
·
Wages and salary
Employees should be able to live in a manner worthy of human dignity, in order to fulfil their family and social responsibilities.
The Church believes that the wages and salaries of employees should be
based essentially on the value of the work to the organisation and the
attributes that employees contribute to their roles.
Obviously, there is a need to balance questions of internal and
external equity with the financial pressures upon the organisation.
However, the Church believes
that the lowest paid employee should receive, at the least a living wage, which
provides for their basic human needs.
·
Performance evaluation
The value of the person is at the centre of the Church’s teachings about the employment relationship. Performance evaluation allows the employer and employee to openly discuss the expectations of the organisation and the achievements of the employee, with an emphasis on the future development of the employee within the objectives of the organisation. It should be based on the belief that people have an innate dignity and deserve to be treated with respect.
Performance evaluation should occur at regular, pre-determined
intervals for all Church employees. It
is critical that employees are well informed about the methodology and criteria
to be used for the appraisal process.
The evaluation procedure may include a self-evaluation by the employee,
an evaluation by the relevant supervisor or manager and consultation with
external sources or peers when appropriate.
Feedback is directed, as far as possible, toward the mutual growth of
both the employee and the organisation.
The well being of the employee should be considered during the process
of evaluation and future development.
The individual ability and needs of the person are to be considered
within the needs and objectives of the whole organisation.
This requires sensitive leadership from the employer and managers. Open and honest listening together with a
clear view of the total organisation, is required of the management team so
that a mutuality of commitment is achieved.
·
Training, development and continuing education
Further training and education needs to be available for all Church employees in areas relevant to their roles. Gives that the Church values faith development, its employees need to have the opportunity and encouragement for spiritual growth. Such opportunities will promote the understanding of each employee about their role in the mission of the Church.
·
Grievance procedures
Procedures for the resolution of grievances and disputes are to be based on established civil and canonical norms. Both justice and reconciliation should be at the core of any grievance procedure.
Such procedures and processes should be readily available to Church
personnel. Rather than creating
confrontation, the focus is designed to mediate diverse perspectives, to
alleviate frustration caused by human or other limitations, to heal painful
experiences and to promote the full development of employees.
Pope John Paul II (Centesimus Annus, 1991)
“The obligation to earn one’s bread by the sweat of one’s brow also
presumes the right to do so.
Satisfactory levels of employment cannot be justified from an ethical
point of view, nor can that society attain social peace.
The Church has no models to present:
models that are real and truly effective can only arise within the
framework of different historical situations, through the efforts of all those
who responsibly confront concrete problems in all their social, economic and
cultural aspects as these interact with one another.
The State has the duty to sustain business activities by creating
conditions which will ensure job opportunities, by stimulating those activities
where they are lacking by supporting them in moment of crisis.”
The Bishops of Australia view the following matters as being of
critical importance to the employment relationship:
·
Freedom of association
Pope John Paul II states in Laborem Exercens that the various
rights of workers give rise to the necessity of:
‘the right of association, that is form associations for the purposes
of defending the vital interests of those employed in the various professions.’
The Church recognises that trade unions and employer organizations have a right to exist and to represent their members.
However, individual employees and employers must be free to decide
whether or not to join representative organizations. Compulsion, either to join organizations or
not to join them, is a breach of the right of individuals to choose whether and
how they will exercise their right of freedom of association.
It is a breach of fundamental freedoms to force employees or employers
to join any organisation. Employees
should not be disadvantaged by their membership of trade unions or by their
refusal to join such associations. They
should not be denied employment or terminated because they do or do not belong
to a trade union.
Church employers recognise that trade unions have a legitimate interest
in representing their members, be this in relation to compliance with awards
and legislation or with enterprise bargaining.
Church employers believe in establishing a co-operative working
relationship with trade unions.
When an association or union is legally constituted, the Church
employer should recognise its representatives and endeavour to consult and
negotiate with them.
The Church believes that industrial organizations should act in the
interest of their members and be subject to applicable laws.
It is a misuse of the power of organisations for them to be used for
purposes other than those for which they were created and for which their
members join them.
However, Church employers should not use the law to render trade unions
ineffective or to prevent them from pursuing their just or rightful interests.
On the other hand, association or union representatives have the
responsibility to recognise the right of the Church to fulfil its mission.
·
Conditions of employment
Church employers believe that in offering fair and just minimum wages and conditions of employment.
Industrial awards, through the determinations of the relevant
industrial tribunals, have traditionally established the minimum terms and
conditions of employment for several million Australian workers.
This is gradually changing, through the reduced role of the award
system in some industrial jurisdictions and the implementation of enterprise
bargaining.
Church employers believe that there should be a relevant and
comprehensive body of fair and just minimum terms and conditions of employment
for all employees. That is, the terms
and conditions of employment should not be a basic legal minimum but that they
should reflect the prevailing standards of society. Furthermore, enterprise bargaining is not a
practical approach for some employers and employees.
As a matter of principle, Church employers support the protection
offered by award to employees.
Church employers believe that any restrictions or difficulties with
award conditions of employment or workplaces can be best resolved through a
co-operative approach, rather than through the legislative reduction of
employee entitlements. However, in a
spirit of open and frank regard for the long-term employment of employees,
Church employers are entitled to express concerns about the impact of award
coverage. This is relevant in areas
where there has never been award coverage or where funding restraints will
create great difficulties in relation to award compliance.
It should be recognised also that the award system does not cover the
work of some employees. Therefore, other
arrangements, may be agreed in order to give expression to the conditions of
employment.
At all times, Church employers should attempt to provide fair and just wages and conditions to their employees, irrespective of the nature of the industrial or legal instrument that is utilised to give meaning to the employment relationship.
·
Enterprise bargaining
Enterprise bargaining is an arrangement between employers and employees (who may negotiate through representatives) which, like an award or contact, outlines the wages and conditions as they apply to an individual workplace.
The theory behind enterprise bargaining is that there is a focus on a
single structure. The goal is to achieve
a more effective and productive workplace by creating an employment structure
with wages and conditions that are appropriate for that workplace.
Employers and employees can both contribute to identifying factors
relevant to the objects of the organisation.
Enterprise agreements should address the needs of both employers and
employees.
Enterprise agreements should be viewed as a means of resolving
difficulties in workplace practices. In
turn, both the employer and employees benefit as a consequence of increased
efficiency and productivity.
The impact of an enterprise agreement will vary from workplace to
workplace. An enterprise agreement may
help to create a more harmonious and cooperative workplace culture where the
employer and employees can identify with the aims of the enterprise and work
together to achieve short term and long term goals.
An enterprise agreement may also help to improve information sharing
between the employer and employees, to increase awareness of the
organisation’s operational requirements
and to encourage those involved in address in addressing and solving problems
to implement beneficial workplace change.
For Church employers, an enterprise agreement ca:
·
provide an opportunity to address the needs of both
the employer and employees within the workplace;
·
overcome inflexibilities and restrictions in the
workplace and address the specific needs of the organisation;
·
enhance the provision of services consistent with
the Catholic ethos; and
·
allow the employer and employees to make decisions
regarding the workplace with a minimum of external regulation.
However many employers and employees do not have the resources to
negotiate an enterprise agreement. A
particular difficulty with enterprise bargaining is that Church employers are
generally involved in the social and community service sectors of society. They provide a qualitative service, not a
quantitative product.
That is, many services offered by Church employers rely to a greater or
lesser degree on government funding.
This may severely limit their ability to develop enterprise agreements
with employees about wages and conditions.
Church employers need to take into account the impact of their
enterprise agreements in each other.
They are to be aware of any potential flow-on effects and to communicate
at an early point with other Church employers about their proposed agreements.
The introduction of enterprise bargaining has the potential to create
differences in outcomes or arrangements for employers and employees performing
similar work. This means that it is not
always possible to guarantee or ensure the same conditions of employment and
wages with those offered by other employers.
Church employers must be aware of industry and community standards,
and the historical nexus between wages and conditions in their own and other
sectors.
The circumstances or needs of each workplace may lead to variations in
the agreements that can be achieved between employers and employees. Church employers should be guided in their
agreements by the future directions and requirements of their organisations.
Therefore, it is strongly recommended that Church employers do not use
terminology such as comparability or parity in the context of enterprise
negotiations. These terms may be
misunderstood and actually increase the expectations of employees beyond what
is intended or is able to be achieved.
It is in the best interests of Church organisations to ensure that
their employees understand the funding of their organisations. This enables fairness and objectivity about
the financial parameters of the organisation during enterprise bargaining
discussions.
·
The resolution of disputes
Church employers and employees should establish consultation processes at the workplace level to resolve any grievances or disputes between each other. Employers, employees and their respective representatives have a responsibility to act in a constructive and expeditious manner when faced with disagreement or conflict.
If the grievance or dispute cannot be resolved directly between the
employer and employee, they should seek assistance of their trade union or
employer adviser.
If the matter cannot be settled by such assistance, then the relevant
industrial tribunal or an independent mediator should be utilised.
·
The right to strike
The right to withdraw one’s labour is a basic moral right of every worker. Catholic Social Teaching recognises that strikes are legitimate in proper conditions and within just limits. Ii is to be a last resort, when all other reasonable means for the resolution of a dispute have been truly exhausted. Importantly, the issue in contention must justify the withdrawal of labour.
The use of strikes, lockouts or other industrial action for political purposes extraneous to the employment relationship is not legitimate under any circumstances.
It is acknowledged that it is proper for governments to make special provisions for the common good of society by legislating against the withdrawal of labour if it would result in the denial of those services to the community. In these circumstances, where there is a restraint in the basic right to withdraw one’s labour, there is a parallel obligation to ensure that grievances are dealt with expeditiously and justly.
Church employers should resort only to common law remedies against industrial action if there is no other alternative. Recourse to legal action is a measure of last resort.
However, it is proper for Church employers to deduct pay for any strike action taken by employees. Further, it is legitimate for Church employers to utilise the processes of the Australian Industrial Relations Commission or other relevant industrial tribunal when faced with industrial action or disputation.
· Termination of employment
Termination should only occur if a fair and just process of consultation with the employees and their representatives has been followed and that there is no other alternative course of action. Due process and due diligence is required of the employer to ensure that termination is justified.
Termination procedures should include clear identification of the reasons for which an employee may be terminated. These procedures are to detail and affirm the rights and responsibilities of each person involved in the termination process.
Termination of the ground of misconduct should occur only where an employee’s conduct falls seriously short of what is expected and amounts, in effect, to the employee indicating that he or she is no longer willing to be bound by the contract of employment.
The decision to utilise summary dismissal for serious misconduct is a significant measure. Church employers are advised to take this decision only after having received expert industrial advice. This is especially important where there is an allegation of criminal activity or a breach of professional misconduct. The employee is to be fully advised of the nature of the allegation and is to be given a proper opportunity to respond.
Termination on the ground of poor performance is warranted where an employee’s performance is consitently below what is expected of him or her. The employee must receive verbal and written warnings indicating that his or her employment is in jeopardy and clearly explaining the reasons why in this case.
Termination of the ground of redundancy may be appropriate where, for reasons associated with the operational requirements of the organisation, a decision is made that there is no longer the need to have anyone perform the work that a particular employee has been doing.
In these circumstances, it is the responsibility of Church employers to make sure that they:
· keep employees and their trade unions informed;
· consult with employees about alternatives to redundancy;
· provide pastoral support to the employees (whether in the form of external or internal counselling and assistance); and
· pay redundancy commensurate with the employee’s age; length of service and other relevant factors under industrial law.
In any circumstances that may involve termination of employment, Church employers are to make sure that employees are able to arrange representation, whether in the form of a lawyer, trade union official or friend.
· Safe working conditions
Employers should make every effort to ensure that their work place is safe and that they take appropriate responsibility for the physical and mental wellbeing of their employees.
It is not sufficient to ensure that the legal minimum standards are met. As a commitment to their employees, Church employers should implement preventative strategies for the safety of their employees without the imperatives of legislation.
Employees are expected, within reason, to take proper responsibility for their personal health and safety and that of their fellow employees in the workplace.
CONCLUSION
Church employers should seek to be model employers who exemplify the values of the Gospels and the mission of the Church.
In Laborem Exercens, Pope John Paul II stated:
“…the danger of treating workers as a
special kind of merchandise or as an impersonal force needed for
production…always exists especially when the whole way of looking at the
question of economics is marked by the forces of materialistic economism”.
The managers of Church organisations are to be leaders who ensure that there are fair, equitable and mutually respectful processes for all matters affecting employees. They need to recognise that their treatment of employees may affect others as well.