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T128

 

IN THE TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984

 

T. No. 128 of 1985 IN THE MATTER OF an application by the Federated Ironworkers' Association to vary the ELECTROLYTIC ZINC AWARD
   
  RE:  RIGGERS ALLOWANCE
   
DEPUTY PRESIDENT A. ROBINSON HOBART, 17 June 1985
   

REASONS FOR DECISION

   
APPEARANCES:  
   
For the Federated Ironworkers'
Association
- Mr. A. Harper with
  Mr. J. P. Glisson,
  Mr. R. C. Alexander and
  Mr. R. J. Bellette
   
For the Electrolytic Zinc Company of
Australasia Ltd., Risdon
- Mr. P. G. Hall with
  Mr. E. J. Szczepanowski
   
DATE AND PLACE OF HEARING: 
   
4 June 1985                   Hobart  
   

The application before the Commission is to vary the riggers allowance contained in Clause 5, Section III, Division I of the Electrolytic Zinc Award.

Currently the classification of "rigger" is followed by a prescription which states as follows:-

    "Provided that employees mentioned in this Division shall be paid an allowance of $9.10 per week pro-rata to the hours worked. This allowance is in recognition of the special work performed by riggers at Risdon."

The claim is to increase the existing allowance by the amount of $9.30 to $18.40 and such claim has the support of the Company.

Prior to approaching the Commission, both parties had engaged in what was described as intense discussions together with detailed plant inspections.

The common ground reached was that changes which had occurred in the nature of the work over the past 12 to 18 months imposed additional demands upon skill and responsibility of riggers employed in the riggers gang.

It was submitted that genuine work value changes had occurred and because they resulted in a significant net addition to work requirements, the variation sought meets the requirements of the current Wage Fixation Principles of this Commission, and specifically can be accommodated within Principles 9(a)(iii) and 4 (a).

As a matter of background, it was advised that management decisions in relation to upgrading of the plant over time reflected upon both manning levels and maintenance practices within some of the older sections of the plant. This in turn placed significant extra requirements upon the already reduced riggers gang.

The uncontested evidence was that whereas, for instance, it was only ordinarily necessary to use one block on a beam previously, it was not uncommon now for 3, 4 or even 5 blocks to be necessarily used.

It was also uncontested that riggers must now regularly do their own engineering calculations on the job and this view is supported by the Company engineer.

Many of the lifting beams in the plant do not have their weight carrying capacity stamped upon them and in any case most are quite old and therefore allowance has to be made for the effects of fumes etcetera upon them before carrying out lifts.

In circumstances where it is not considered appropriate to use one of the beams for lifting, the riggers now often have to rig a flying fox from other anchor points deemed suitable.

Another distinguishing feature of the current work requirements of riggers is the erection of very high and complex scaffolds at the Risdon plant. These are not straight scaffolds, but have to be erected around tanks and other oddly shaped items.

Mr. Harper for the Federated Ironworkers' Association (F.I.A.) stressed that the increased allowance was not sought to compensate for increased danger, but rather to recognise the increased need for care and the added responsibility and exercise of greater skills now required.

An allowance was felt to be the most appropriate way of recognising the special factors existing at Risdon.

The F.I.A. indicated to the Commission that, if successful, they would not use the increase sought as the vehicle for increases anywhere else, because the circumstances were unique to Risdon riggers. Additionally, the flow-on consequences are minimised further because the ratio of the riggers wage to that of a tradesman is now simply brought up to that which exists in the Metal Trades Award and is still below that which exists at a number of other significant plants in Tasmania.

The Company expressed its support for the claim by the F.I.A. on a "without prejudice" basis.

It is satisfied that a genuine increase in the value of the work has occurred and indicated that this was supported by the opinion of the Company's engineer (Mr. Alexander).

It estimated that there had in fact been a 4% - 6% increase in productivity from the riggers gang, and the increased payment to riggers will be only 3.1% of the total ordinary wage rate.

Mr. Hall emphasised that there is no nexus with the Metal Trades Award but regard had been had for the ratio of wage rates existing under that award on this occasion for the sake of guidance.

He also outlined briefly some of the future plans of the Company in relation to changes at the Risdon plant and how it is intended to engage in full discussion and consultation with employees at appropriate stages and to effect changes without causing unnecessary disruption to employees.

Decision

The Tasmanian Industrial Commission is charged with the responsibility of satisfying itself as to the public interest criteria pursuant to Section 36 of the Act before making an award, either by consent or not. Additionally, the Wage Fixing Principles of the Commission provide, inter alia:-

    "In considering whether wages and salaries or conditions should be awarded or changed for any reason, either by consent or arbitration, the Commission will guard against any contrived arrangements which would circumvent these Principles."

It is quite apparent that the parties concerned were equally aware of the stringent tests to be applied before the Commission will endorse a consent arrangement of this kind, as they come fully equipped with the hard evidence which is necessary.

Such evidence could not be shaken by the Commission's questions and as a result, I am satisfied that genuine work value changes have occurred and that changes to the nature of the work over the past 12 to 18 months constitute a significant net addition to work requirements.

It is proper and appropriate that rather than create a new classification the current riggers allowance be increased from $9.30 to $18.40 per week and I decide accordingly.

In endorsing this consent variation, I congratulate the parties upon their professional approach to presenting a well documented case to the Commission and must say also that the attitude of both parties in recognising the need to harmonise economic reality with good industrial relations practice is to be commended and can only be to the mutual benefit of employer and employee alike.

Operative Date

In accordance with the wishes of the parties the operative date of this award variation shall be from the first pay period to commence on or after 27 March 1985.

An order reflecting the variation to the Award is attached.

 

A. Robinson
DEPUTY PRESIDENT