PTU executive slammed for misinformation re: ferry services

1/4/96

Transport Minister Eric Charlton has questioned the motives behind the Public Transport Union's latest claim that the transitional costs for awarding ferry services to Perth Water Transport were $200,000.

Mr Charlton said the PTU executive was deliberately trying to confuse drivers with misinformation about the public transport tendering process and it must stop.

The Public Transport Union is advised that the costs associated with the ferry tender were:

·       transitional cost of employees - $13,898.66; and -

·       total cost of pro-rata leave - $18,267.45 (already owed to those employees).

The Minister said it would appear the Public Transport Union and particularly its executive did not understand the tendering process, even after it had been briefed.

Mr Charlton said it was important to understand that there was a superannuation liability of $170,032 which was due and payable.

"I would have thought the PTU executive, which operates as a public sector union, would have some understanding of superannuation liabilities," he said.

The Minister said the contract with Perth Water Transport would save $100,000 each year for the contract period of five years.  The real saving was in fact about $470,000 which would be used for additional services elsewhere in the Transperth network, like an extra ferry service to the Coode Street jetty.

The awarding of the ferry contract to Perth Water Transport is indicative of the savings and additional services that will flow from the current round of competitive tendering in the public transport network, no matter who is successful, including the Government operator MetroBus. 

Media contact:  Ian Haselby 321 7333