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Tasmanian Industrial Commission

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T1618, T1636, T1622, T1626, T1635, T1647 and T1656

 

IN THE TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984

 

T1618, 1636, 1622, 1626,
1635, 1647 & 1656 of 1988
IN THE MATTER OF APPLICATIONS BY THE AUSTRALIAN BUILDING CONSTRUCTION EMPLOYEES' & BUILDERS LABOURERS' FEDERATION, TASMANIAN BRANCH; THE BUILDING WORKERS' INDUSTRIAL UNION OF AUSTRALIA (TASMANIAN BRANCH); THE AMALGAMATED SOCIETY OF CARPENTERS AND JOINERS OF AUSTRALIA, TASMANIAN BRANCH THE OPERATIVE PAINTERS AND DECORATORS' UNION OF AUSTRALIA, TASMANIAN BRANCH; THE PLUMBERS AND GASFITTERS EMPLOYEES' UNION OF AUSTRALIA, TASMANIAN BRANCH AND THE FEDERATED ENGINE DRIVERS' AND FIREMEN'S ASSOCIATION OF AUSTRALASIA, TASMANIAN BRANCH RESPECTIVELY TO VARY THE BUILDING TRADES AWARD
   
  RE: ALLOWANCES
   
COMMISSIONER R. J. WATLING HOBART, 28 October 1988
   

REASONS FOR DECISION

   
APPEARANCES:  
   
For the Australian Building
Construction Employees' &
Builders Labourers' Federation,
Tasmanian Branch
- Mr. R. Devine
   
For the Building Workers'
Industrial Union of Australia
(Tasmanian Branch)
- Mr. R. Fuller with
  Mr. M. Cordwell
   
For the Amalgamated Society of
Carpenters and Joiners of Australia,
Tasmanian Branch
- Mr. A. Grubb
   
For the Operative Painters and
Decorators' Union of Australia,
Tasmanian Branch
- Mr. W. Thompson
   
For the Plumbers and Gasfitters
Employees' Union of Australia,
Tasmanian Branch
- Mr. R. Hevey
   
For the Federated Engine Drivers' and Firemen's Association of Australasia, Tasmanian Branch - Ms. D. Moncrieff
   
For the Tasmanian Confederation
of Industries
- Mr. K. Brotherson
   
For the Master Builders' Association
of Tasmania
- Mr. A. Lenthall
   
Intervenor:  
   
For the Minister for Public Administration - Mr. A. Pearce
   
DATE AND PLACE OF HEARING:  
   
29 September 1988     Hobart
   

These applications, made by the respective unions, sought to do two things:

1. Increase 'Special Rates' including 'First Aid Allowance' and 'Multi-storey Allowance', as a consequence of the State Wage Case decision as they were not specifically mentioned or varied by that decision and they had a history of moving at that time when percentage increases were granted.

2. Increase expense related allowances and, in particular, 'Fares and Travelling', 'Tool Allowance', 'Meal Allowance' and 'Living Away From Home - Distant Work' in accordance with the Wage Fixing Principles.

Special Rates

On 5 September 1988, a Full Bench of the Commission, when handing down the State Wage Case decision, granted an increase to all wage rates, leading hands' rates, shift allowances (where expressed in money terms) and the minimum wage.

As a result of that decision, it was left to individual Commissioners to process the necessary award variations.

The Building Trades Award is a reasonably complex award so I convened a conference of the parties to that award to finalise the orders.

As 'Special Rates' were not specifically mentioned in the State Wage Case decision, I suggested to the parties that a specific application be made to deal with this question.

This was done and at the hearing the parties agreed that 'Special Rates' be varied by 3%.

A summary of the main submissions in support of the claim is as follows:

1. 'Special Rates' contained in the award have traditionally moved when the State Wage Case decision has granted a percentage increase.

2. The Wage Fixing Principles envisage these types of allowances being increased as it states, in part, in the 'Allowances' Principle the following:-

    "(a)   Existing Allowances

      (i) ...

      (ii) Existing allowances which relate to work or conditions which have not changed may be adjusted from time to time to reflect State wage increases, except where a flat money amount has been awarded, provided that shift allowances expressed in awards as money amounts may be adjusted for flat money amount State wage increases."

3. The Australian Conciliation and Arbitration Commission varied -Special Rates' contained in the National Building Trades Construction Award 1975 as a result of the National Wage Case decision of August 1988.

DECISION

In dealing with this part of the claim, I am treating it as a finalisation of the orders arising out of the State Wage Case decision as it cannot be expected that a common rule determination cover every nuance contained in every award of the Commission.

I have noted the arguments of the parties, and I recognise that these rates have been increased in the past when a percentage increase has been granted in the State Wage Case.

All the parties to the hearing paid little, or no attention to the precise Divisions to be varied as a result of this application as most of the submissions went to the question of the principle of 'Special Rates' being varied.

It is my intention, once again, to vary these 'Special Rates' in Divisions A, B, C and F thus applying the traditional movements to all the 'Special Rates contained in this award.

The operative date of this part of the application will be from the first full pay period to commence on or after 15 September 1988 and I decide accordingly.

An Order giving effect to this part of the decision will be contained in the order giving effect to the State Wage Case decision.

Expense Related Allowances

History

On 24 August 1988, I handed down a decision granting increases in:-

(a) Meal Allowance;

(b) Living Away From Home - Distant Work; and

(c) Camping Allowance.

The operative date of that decision was from the first full pay period to commence on or after 24 August 1988.

The variations were dealt with in accordance with the Wage Fixing Principles as they were reimbursements of cost related allowances.

The increase predominantly reflected the movements in the Consumer Price Index up to and including the September 1987 quarters.

This hearing followed a similar one conducted in the Australian Conciliation and Arbitration Commission on 12 February 1988. However, application was not made to vary allowances in the State Building Trades Award until 4 July 1988.

Current Application

The claims currently before me are similar those made in July 1988 to increase expense related allowances with the inclusion of 'Fares and Travelling'.

My task is to determine whether or not the following allowances contained in Divisions A, B and C of the award should be increased by the amounts sought.

They are:

. Fares and Travelling

. Tool Allowance

. Meal Allowance

. Living Away From Home - Distant Work

The figures used to support the applications to determine the quantum of the increase were:

    Fares and Travelling - Australian Bureau of Statistics Consumer Price Index weighted average of Eight Capitals; Transportation; up to and including the June quarter 1988.

    Tool Allowance - Australian Bureau of Statistics Consumer Price Index weighted average of Eight Capitals; up to and including the June quarter 1988.

    Meal Allowance - Australian Bureau of Statistics Consumer Price Index weighted average of Eight Capitals; Food Meals out and take away foods; up to and including the June quarter 1988.

    Living Away From Home - Distant Work - Australian Bureau of Statistics Consumer Price Index weighted average of Eight Capitals; Holiday Accommodation in Australia; up to and including the June quarter 1988.

The Australian Conciliation and Arbitration Commission also dealt with and granted a similar application with an operative date of 1 July 1988.

This was the operative date sought by the applicants in this matter.

DECISION

I have been persuaded by the submissions of the parties that these expense related allowances contained in Divisions A, B and C of the award should be varied by the amounts claimed as they conform with the Wage Fixing Principles.

Turning now to the question of the operative date.

I have noted the submissions by the unions and the Master Builders' Association of Tasmania in support of an operative date of 1 July 1988. I have also noted the submission of the Tasmanian Confederation of Industries opposing retrospectivity but they recognised the Australian Conciliation and Arbitration Commission made its decision operative from the date sought by the unions and the MBA.

It is my decision that no retrospectivity will be granted to the increases of these allowances.

The main reasons for rejecting this part of the claim are:

1. The previous applications to vary these allowances were made on 4 July 1988 with increases from 24 August 1988 and I can see no good and cogent reason for back-dating these increases prior to the date of the application which last varied these allowances.

2. The applications to vary these allowances were only lodged with the Commission on dates ranging from 15 September 1988 to the day of the hearing and, by one organisation, during the course of the hearing.

3. It is open to parties to this award to make application at any time, however, if they choose to lodge applications some months after a decision has been made in the Australian Conciliation and Arbitration Commission, then they can hardly expect this Commission to grant retrospectivity because of their inactivity in this area.

For these reasons I determine that the operative date for the previously-mentioned expense related allowances be from the first full pay period to commence on or after 28 October 1988.

ORDER

An order giving effect to this part of the decision will issue in due course.

 

R. J. WATLING
COMMISSIONER