T955 and TA25

IN THE TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984


T.955 of 1987	IN THE MATTER OF AN APPLICATION BY THE ELECTROLYTIC ZINC CO OF A'ASIA LTD, RISDON AND ALL UNIONS ON SITE TO VARY THE ELECTROLYTIC ZINC AWARD

	RE: SECOND TIER INCREASES

and

TA.25 of 1987	IN THE MATTER OF A REFERRAL FROM ANOMALIES CONFERENCE NO 9

	RE: SECOND TIER RESTRUCTURING OF THE ELECTROLYTIC ZINC AWARD

COMMISSIONER R.K. GOZZI	HOBART, 16 February 1990


REASONS FOR DECISION

APPEARANCES:

For the Federated Ironworkers' Association of Australia, Tasmanian Branch	- Mr A. Harper

For the Transport Workers' Union of Australia, Tasmanian Branch	- Mr J.T. Lynch

For the Electrical Trades Union of Australia, Tasmanian Branch	- Mr A. Kenny

For the Amalgamated Metal Workers Union	- Mr G.D. Adams with Mr R. Massey

For the Building Workers' Industrial Union of Australia (Tasmanian Branch)	- Mr M. Cordwell
For the Operative Painters and Decorators' Union of Australia, Tasmanian Branch	- Mr R. Hevey

For the Association of Draughting, Supervisory and Technical Employees, Tasmanian Branch	- Mr P. Baker

For the Amalgamated Society of Carpenters and Joiners of Australia, Tasmanian Branch	- Mr M.J. Dowd

For the Australasian Society of Engineers, Tasmanian Branch	- Mr M. Emmet

For the Electrolytic Zinc Co. of A'asia Ltd, Risdon	- Mr. P. G. Hall with Mr. M. Nalley

DATE AND PLACE OF HEARING:

21 December 1987

This matter concerns a consent variation of the Electrolytic Zinc Award in relation to the granting of a 4% second tier increase in wage rates, consistent with the Wage Fixation Principles.

A decision was given in transcript some considerable time back and since a single industry award is involved and the necessary variations have been implemented, I am remiss in not confirming that decision before this time.

This matter is however complicated by the fact that a significant restructuring of the award exercise had proceeded and complicated this matter, together with an unregistered "flexibility" agreement which tended to intrude into the overall question of what wage increases could be sustained. And a series of disputes in particular areas certainly did not help.

When this matter was part of my assignment I had recommended that the anomalies conference procedures be utilised and that course was followed. Thus a reference came to me as an arguable case. And since the award restructuring exercise was still in its infancy, I proceeded to deal with the 47 second tier claim alone because it was separate from any other matter.

During the hearing an agreed document (Exhibit H1) was tendered to detail all of the efficiency cost offsets which were in place and which fall within the restructuring and efficiency provisions of the Wage Fixation Principles.

There are some 59 listed items, divided into 3 separate appendixes. Since they form part of the record and are also an agreed document it is not necessary to repeat them here. Suffice to say they cover a multitude of genuine improved work practices and procedures; matters going to principles to be observed; and goes to other items of a general nature such as direct banking of wages, demarcation issues, and manning levels. The document covers both improved worker and management practices.

Some estimate of costs and savings involved in granting the claim were presented by the Company, although it was conceded that it was a difficult task indeed to be specific. However, major improvements in work methods and work practices could reduce "down time" and have very beneficial results.

Mr Hall for the Company stated that he regarded the savings as equalling the cost of the 4% claims.

In all of the circumstances I endorsed the agreed package because I am convinced that it satisfied the Wage Fixation Principles and is consistent with the requirements of Section 36 of the Act, going to public interest.

The claims concerned go the the following:

1. A 4% increase in total wages including waterside worker rates (special formula). All such rates to be rounded off appropriately.

2. A 4% increase in the disability allowance (rounded to nearest 10 cents).

3. An agreed new allowance (which is cost related) of 60 cents per fortnightly pay, being associated with direct deposit of salary.

OPERATIVE DATE

There were a number of privately agreed matters mentioned on transcript going to recognised appropriate operative dates but whilst they formed part of the record, I was not requested to comment upon them.

The agreement presented on award changes as a whole referred to an agreed operative date of the first pay period to commence on or after 4 November 1987. However, as I indicated on transcript the award would be varied from the date of hearing, i.e. the first full pay period to commence on or after 21 December 1987. This I now confirm.

Order is attached.

A. Robinson
DEPUTY PRESIDENT

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