The United Services Union says it is seriously concerned about a "secretive" push to privatise City of Newcastle waste services.
At Tuesday's meeting, Newcastle councillors will consider a confidential tender report for a FOGO (Food Organics and Garden Organics) contract, which the union believes could result in core council services going to private operators.
City of Newcastle has confirmed the introduction of a FOGO service will not result in any job losses.
But United Services Union (USU) acting northern industrial officer Luke Hutchinson said the proposal risks creating a "race to the bottom" in wages and conditions.
"We've seen this story play out across the country," Mr Hutchinson said.
"The council should ask themselves a simple question, 'When has the privatisation of an essential public service genuinely delivered a better long-term outcome for the broader community?'
"Whether it's telecommunications, electricity or other formerly public assets, communities too often lose accountability, lose local control and watch profits flow elsewhere."
The state government has mandated FOGO collection services for NSW households by July 2030.
Local councils will be required to provide all households that receive a red bin waste collection service with a FOGO service by July 2030.
The mandate is designed to reduce food waste and stop food waste going to landfill, with residents able to place food scraps, such as vegetables, meat, bones and dairy, in their green bins with garden waste for weekly collection.
City of Newcastle is working towards introducing a FOGO service from July 1 next year under a joint procurement process with Port Stephens Council for collection and processing.
A contract to process the material was awarded by both councils to Bettergrow in March. The collection tender is being considered by both councils this month.
A City of Newcastle spokeswoman said the joint process is designed to assess the most affordable way to deliver the service to both communities.
"The introduction of FOGO, as a new service, will not result in the loss of any jobs or employee conditions at City of Newcastle," the spokeswoman said.
"Protecting City of Newcastle employees has been central to the process since the partnership with Port Stephens was formed earlier this year."
The council spokeswoman said there has been extensive consultation with the union and said chief executive Jeremy Bath has met and written to the USU to reassure them that no employee will lose their job or salary point if the service is outsourced.
"Waste services are delivered on a cost-recovery basis through a domestic waste services charge," the council spokeswoman said.
"By keeping food and garden organics out of landfill, FOGO will help reduce emissions while supporting a more sustainable, cost-effective waste service for the Newcastle community."
Maitland, Cessnock and Singleton councils partnered to deliver a FOGO collection service last year which was expected to divert about a third of red bin waste on average.
Lake Macquarie City Council already has a FOGO service.
The USU argues the introduction of FOGO does not justify the privatisation of an existing council service.
The union believes City of Newcastle already has an experienced and capable in-house workforce that delivers waste collection services and said the council should be investing in its own employees.
Mr Hutchinson said the union is concerned that the debate about the future of a public service will take place behind closed doors with little opportunity for public scrutiny.
"This is not simply a procurement exercise," Mr Hutchinson said.
"It is a decision about whether City of Newcastle continues to directly provide an essential service or hands it over to a private operator."
Mr Hutchinson said that when councils talk about privatising services, they often point to efficiencies and cost savings.
"What they rarely talk about is who ultimately pays the price," Mr Hutchinson said.
"Too often it is workers, local communities and public accountability."
The council spokeswoman said the report was being considered confidentially because it contains commercial information and details of an internal bid prepared by the union on behalf of the six staff who drive the trucks that collect garden waste.
