Department of Justice

Tasmanian Industrial Commission

www.tas.gov.au
Contact  |  Accessibility  |  Disclaimer

T605 and T606

 

IN THE TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984

 

T. No. 605 of 1986 IN THE MATTER OF AN APPLICATION BY THE BUILDING WORKERS INDUSTRIAL UNION OF AUSTRALIA (TASMANIAN BRANCH) TO VARY THE BUILDING TRADES AWARD
   
  and
   
T. No. 606 of 1986 IN THE MATTER OF AN APPLICATION BY THE AUSTRALIAN BUILDING CONSTRUCTION EMPLOYEES' AND BUILDERS LABOURERS' FEDERATION, (TASMANIAN BRANCH) TO VARY THE BUILDING TRADES AWARD
   
  RE: EXPENSE RELATED ALLOWANCES
   
COMMISSIONER R. J. WATLING 22 December 1986
   

REASONS FOR DECISION

   
APPEARANCES:  
   
For the Building Workers'
Industrial Union of Australia
(Tasmanian Branch) and
the Operative Plasterers and
Plaster Workers' Federation of
Australia (Tasmanian Branch)
- Mr. M.L. Cordwell
   
For the Australian Building
Construction Employees' and
Builders Labourers' Federation
(Tasmanian Branch)
- Mr. J.A. Bacon
   
For the Operative Painters and
Decorators' Union of Australia
(Tasmanian Branch)
- Mr. W.B. Thompson
   
For the Amalgamated Society
of Carpenters and Joiners
(Tasmanian Branch)
- Mr. M.J. Dowd
   
For the Master Builders'
Association of Tasmania and
the Tasmanian Chamber of Industries
- Mr. A.J. Smith
   
DATE AND PLACE OF HEARING:  
 
16 December, 1986 Hobart
   

Applications T. No. 605 and T. No. 606 of 1986 were made by the Building Workers Industrial Union of Australia (Tasmanian Branch) and the Australian Building Construction Employees and Builders Labourers Federation (Tasmanian Branch) respectively.

The purpose of the applications was to vary certain allowances in Part II - Conditions, Section I and Section III of the Building Trades Award.

The allowances sought to be increased were:-

    (i) Fares and Travelling by 7.52%

    (ii) Meal Allowance by 8.79%

    (iii) Living Away From Home - Distant Work by 7.55%

    (See Exhibit C1 - N.B.T.C.A. negotiations).

The in reases claimed were the upward movements in the Consumer Price Index between September 1985 and September 1986 and, specifically for

    (i) Fares and Travelling - the A.B.S. Consumer Price Index figures for Transportation (weighted average 8 capitals) (152.9 to 164.4 = 7.52% increase);

    (ii) Meal Allowance - the A.B.S. Consumer Price Index figures for Food - meals out, take away food (weighted average of 8 capitals) (149.1 to 162.2 = 8.79% increase);

    (iii) Living Away From Home - Distant Work - the A.B.S. Consumer Price Index figures for Holiday Accommodation in Australia (143.0 to 153.8 = 7.557 increase).

All parties to the hearing agreed that the award should be varied in the manner envisaged by the claim, including the operative date which was the first full pay period to commence on or after 28 October 1986.

The main arguments presented by the parties in support of the applications can be summarized as follows:

(i) the claim fell within the parameters of the Wage Fixation Principles, and in particular, Principle 9(a)(i);

(ii) the allowances under examination had not been varied since December 1985;

(iii) similar applications had been granted by the Australian Conciliation and Arbitration Commission;

(iv) a nexus exists between Section I of this award and the National Building Trades Construction Award 1975.

Mr. Cordwell, representing the Building Workers Union of Australia (Tasmanian Branch) [B.W.I.U.], requested that consideration of the tool allowance be set aside to enable further discussions to take place with the employer.

However, Mr. Smith, representing the Master Builders Association of Tasmania and the Tasmanian Chamber of Industries, reminded the Commission that the matter of tool allowance was not part of the application and that agreement had been reached with the B.W.I.U. prior to the application being made, that there would be no increase in the tool allowance on this occasion because the past two applications varied the award on an interim basis.

He also pointed out that the list of tools that had been used and costed for the purpose of varying the tool allowance was no longer appropriate given that there was a greater usage on building sites today of power tools supplied by the employer and, as a result, most tradesmen were required to provide a lesser number of tools.

Mr. Smith gave notice to the unions that any future applications for increases in expense related allowances would not be consented to by the employers until such time as there had been a full review of the indices used.

As an example he cited the Consumer Price Index figures,, Holiday Accommodation in Australia, that was used the move the Living Away From Home - Distant Work allowances which, in his opinion, had a particular bias in favour of accommodation in the six capital cities. This he believed to be unreasonable as it was a rare situation where a contractor based in a rural area tendered to carry out work in the capital city.

DECISION

I am prepared to grant the claim which will vary the award in the following manner:

    PART II - CONDITIONS, SECTION I

    Clause 5 - Fares and Travelling by deleting the amounts of $6.70, 37 cents and 20 cents wherever appearing and inserting $7.20, 40 cents and 22 cents respectively.

    Clause 15 - Meal Allowance by deleting $4.60 and inserting $5.00.

    Clause 16 - Living Away From Home - Distant Work by deleting the amounts $169.00, $24.10, $4.60, $8.40, $14.20, $66.50 and $9.50 and inserting $181.80, $25.90, $5.00, $9.00, $15.30, $71.50 and $10.20 respectively.

    PART II - CONDITIONS, SECTION III - BUILDERS LABOURERS

    Clause 11 - Fares and Travelling by deleting the amounts $6.70, 37 cents and 20 cents wherever appearing and inserting $7.20, 40 cents and 22 cents respectively.

    Clause 12 - Meal Allowance by deleting $4.60 and inserting $5.00.

    Clause 13 - Living Away From Home -Distant Work by deleting the amounts $169.00, $24.10, $4.60, $8.40, $14.20, $66.50 and $9.50 and inserting $181.80, $25.90, $5.00, $9.00, $15.30, $71.50 and $10.20 respectively.

In granting these increases I point out to the parties that the figures contained in the Living Away From Home - Distant Work clause, and in particular, the camping allowance in both sections, may be slightly less than that applying elsewhere. This is because I am only prepared to vary the previously mentioned allowance to reflect the movements of the Consumer Price Index for the September 1985 to September 1986 quarters using the previously mentioned indices.

This was the main thrust of the submission presented by the parties. If the parties wish to put further submissions to the Commission on the camping allowance, then it should be done so via a separate application.

Principle 9(a)(i) of the Wage Fixation Principles states:

    "(a)   Existing Allowances

      (i) Existing allowances which constitute a reimbursement of expenses incurred may be adjusted from time to time where appropriate to reflect the relevant change in the level of such expenses."

These allowances have not been varied since the first full pay period to commence on or after 19 December 1985 as they have in the past been reviewed separately, i.e., outside of the National Wage Case hearings.

Applications T. No. 432 and T. No. 435 of 1986 (National Wage Case) did not vary the allowances subject to this application and therefore I am satisfied that no double counting will occur as a result of granting the claim and, further, the applications do not offend the Wage Fixation Principles.

I have also noted that these allowances have been the subject of review before the Australian Conciliation and Arbitration Commission.

OPERATIVE DATE:

The Industrial Relations Act 1984 states inter alia:

    "37(5) The Commission may, in an award, give retrospective effect to the whole or any part of the award

    (a) if and to the extent that the parties to the award so agree; or

    (b) if, in the opinion of the Commission, there are special circumstances that make if fair and right to do so."

The parties have agreed on this occasion that the operative date shall be from the first full pay period to commence on or after 28 October 1986. This receives my support.

ORDER:

The order not only reflects this decision, but I have also taken this occasion to consolidate Part II of the award which I note has not been done since 1982.

 

R. J. WATLING
COMMISSIONER