IN THE TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984

These applications sought to amend Division F - Weekly Hire of the Building Trades Award pursuant to the Restructuring and Efficiency Principle and increase the Tool Allowance in accordance with the Allowance Principle.

Second Tier Increase

The Restructuring and Efficiency Principle is intended to encourage significant and appreciable improvements in efficiency at the enterprise level.

This can be achieved by removing restrictive work and management practices.

As a result of the measures implemented to improve efficiency, increases in rates of pay and improvement in conditions of employment may be justified.

In this matter, the negotiated offsets agreed to by the parties fall within the following parameters:

1. Efficiency agreements negotiated within the industry or at the work site which affect the majority of employees employed in the industry or at the work site shall apply to employees employed under the terms and conditions of Division F of this award.

2. A flexible approach to rostered days off.

3. Provision to enable payment of wages by electronic bank transfer.

4. Procedures designed to eliminate waste and "double-dipping" in respect to safety equipment and clothing.

5. Supervisors permitted to carry out "hands on" work in certain circumstances.

6. Procedures for resolving demarcation issues without losing production time.

7. Strict observance of starting, finishing and wash-up times and the removal of current abuses.

These offsets are similar to those approved by the Australian Conciliation and Arbitration Commission on 12 November 1987 (see Print No.G9990).

It was Mr. Edwards' submission that the offsets were difficult to cost in any precise manner, but he was satisfied they met the required standards enunciated in the Guidelines. This view was supported by The Master Builders' Association of Tasmania and the unions parties to the award.

Whilst I have some difficulty understanding the precise nature of the efficiencies contained in the offsets presented by the parties, nevertheless, I accept, on face value, that the agreement is sufficient to warrant a 4% second tier increase. Therefore this Division of the award will be varied in the manner sought by the parties.

The second part of the application was to increase 'Tool Allowance' for employees in Division F of this award.

The parties relied on the submissions presented during the hearing of T1618, 1636, 1622, 1626, 1635, 1647 and 1656 of 1988.

The figures used to support the application to determine the quantum of increases were the Australian Bureau of Statistics Consumer Price Index weighted average of Eight Capitals; up to and including the June quarter 1988.

This application receives my support as it conforms with the Wage Fixing Principles which allow allowances of this nature to be varied from time to time.

This will mean that the 'Tool Allowance' contained in this Division of the award is the same as that contained in Divisions A and B.

Orders

During the course of the hearing, the parties informed the Commission they were willing to prepare the draft order, if the application was successful.

I now leave it to the parties to carry out that function and submit the draft order for my approval.

I would expect it to contain the appropriate variations giving effect to the offsets, including the second tier increase and the increase in the 'Tool Allowance'.

Operative Date

The parties agreed that the operative date of any successful application should be from the first full pay period to commence on or after 26 October 1988.

For consistency sake, and as the 'Tool Allowance' contained in Divisions A and B was varied from the first full pay period to commence on or after 28 October 1988, this shall be the operative date for all variations arising out of this decision. Order

R. J. WATLING
COMMISSIONER