T2505
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TASMANIAN INDUSTRIAL COMMISSION Industrial Relations Act 1984 The Association of Professional Engineers, Australia PROFESSIONAL ENGINEERS (PRIVATE INDUSTRY) AWARD
Structural Efficiency Principle - second adjustment REASONS FOR DECISION In this matter the Association of Professional Engineers, Australia, Tasmanian Branch (APEA) seeks to further vary the Professional Engineers (Private Industry) Award in accordance with the State Wage Case decision of 30 October 1989 and Supplementary Decision of 9 November 19891. The matter is one of consent and the parties represented agree that the award should be varied both as to salaries and conditions of employment to give effect to the second structural efficiency adjustment, consistent with the strict application of the structural efficiency principle. Wage rates are therefore to be increased by either 3% or $780 per annum from 1 December (pay period) and supplementary payments by way of minimum rates adjustments added at six monthly intervals from that date. The APEA agree that in appropriate circumstances absorption of over award payments will occur. Other aspects of the agreed package include: · Inserting a new classification structure with relativities fixed in relation to the Metal Industry tradesperson, i.e. 130%; 160%; 180% and 210% for graduate engineer; experienced engineer level II; professional engineer level III and professional engineer level IV, respectively; · flexibility in the matter of annual leave arrangements; · insert a new clause titled enterprise agreements as follows: Enterprise Agreements (a) Notwithstanding anything contained in this Award but subject to the provisions of this clause, an agreement may be entered into between an employer and all or some of the employees engaged by that employer. (b) An agreement shall be subject to the following requirements: (i) The majority of employees affected by the change must genuinely agree to the change. (ii) The agreement taken as a whole shall not confer a lesser benefit to any employee than is available under the Award. (iii) The relevant union shall be advised by the employer of their intention to commence discussions with employees on an agreement under this clause. (iv) The relevant union must be a party to the agreement. (v) The relevant union or unions shall not unreasonably oppose any agreement. (c) Any enterprise agreement shall be signed by the parties, being the employer and the union, and contain the following: (i) The term of the agreement. (ii) The parties covered by the agreement. (iii) The classes of employees covered by the agreement. (iv) The means by which a party may retire from the agreement. (v) The means by which the agreement may be varied. (vi) Where appropriate, the means by which any dispute arising in respect of the agreement may be resolved. (d) Any agreement which seeks to vary a provision of this award shall be referred to the Tasmanian Industrial Commission." The more fundamental elements of the variations sought in this instance is on all four with that accepted by the Australian Industrial Relations Commission in respect of the Metal Industry Award and the decision handed down by Deputy President Keogh in Melbourne on 7 May 19902. Whilst all matters have been agreed to Mr Abey recorded some reservations regarding the relativity of a graduate engineer in the present proposal. Nevertheless I am satisfied that the principles of wage fixation have been strictly applied in this instance. Consistency of treatment by tribunals establishing proper wage rates relativities for like classifications across the country is of itself a highly desirable objective. On the basis of achieving the stated objectives of the principles and making industry more flexible and competitive, and at the same time establishing career paths and expanded ranges of skill for professional engineers, I am also satisfied that to approve the variations sought would be consistent with the requirements of Section 36 of the Act. In all of these circumstances the application is granted in the manner sought and the award shall be varied accordingly. Whilst the application extends to including minimum rates adjustments over the next two (2) years, the principles require separate applications. And the format contained in the draft Order shows only total rates. Whilst appreciating the desirability of minimising paper work I must make it clear that: . even though consent in principle to further application of minimum rates adjustments at appropriate (six monthly) intervals exists, ratification can only follow further hearings arranged by request of a party; . the award must show separate columns for base rate, minimum rate and total rate. Operative Date All variations shall have effect from the first full pay period to commence on or after 1 December 1990. Orders are attached.
A. Robinson Appearances: Date and place of hearing: 1 Nos T2146, 2147, 2152 and 2167 of 1989
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