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Tasmanian Industrial Commission

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T3066

 

TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984
s.29 application for hearing in respect of an industrial dispute

Metals and Engineering Workers' Union
(T.3066 of 1991)

and

Tioxide Australia Pty Ltd

 

COMMISSIONER R K GOZZI

HOBART 13 June 1991

Industrial Dispute - Scheduling of Rostered Leisure Days

REASONS FOR DECISION

In this matter the Metals and Engineering Workers' Union (MEWU) notified a dispute with Tioxide Australia Pty Ltd (Tioxide) concerning proposals by Tioxide to remove leisure days introduced consequential to the reduction in weekly working hours in May 1982.

Extensive off record discussions were held with all of the parties leading to a recommendation by the Commission. The recommendation was predicated on sacrificing leisure days as a means of sending a strong signal to the United Kingdom Board of Management of Tioxide that its Australian employees at Heybridge (near Burnie) would do all they could to prolong Pigment production on a cost competitive basis at that location for as long as possible in return for optimum job security during the transition period between now and the commencement of production at Whyalla.

The Commission also advanced the proposition that the UK Board of Management may consider at the time of the visit of its Chief Executive, to provide what assurances it could to Tioxide employees that their positive co-operation in this deliberate cost cutting exercise would be very highly regarded in the context of an ongoing future for Tioxide subsequent to the commissioning of the Whyalla plant in South Australia. In that regard Tioxide representatives at the hearing indicated the possibility of the current operation continuing as a "finishing plant" as opposed to total closure.

It was with this in mind that the Commission recommended that leisure days be given up. In doing so the Commission also indicated that if, in the final analysis, the effort by employees did not produce any long term tangible benefits, i.e. jobs and an ongoing presence for Tioxide in Tasmania, then the Commission would have regard for the cost cutting initiatives implemented in determining the retrenchment package that may be applicable in the event of plant closure.

Subsequent to the Commission making its views known to the parties, the matter was adjourned to enable further discussions to take place.

In the event I was informed in the ensuing proceedings that the parties had reached an agreement fully detailed in the transcript in this matter, but which may be summarised as follows:

(i) hours of work are to be worked on a basis of 2 hours off per week (i.e. 4 days at 8 hours a day and 1 day at 6 hours)

(ii) in exceptional circumstances and by agreement with the foreman of the work group concerned, the 2 hours accrued in one week may be banked and taken on the basis of 4 hours per fortnight.

(iii) Survival Committee which had already been formed comprising representatives from employees, unions and the employer will review the above working hours arrangements to ascertain if there is a better, more efficient and cost effective method of working the 38 hour week.

(iv) employees will not be required to compulsorily transfer to Whyalla. Those employees refusing an offer to transfer will not forego their retrenchment package.

It is my understanding that the parties intend to reflect the above arrangements and negotiated improvements in the retrenchment package in an agreement which will shortly come before the Commission for approval for registration. I commend that course of action.

On the issue of retrenchments and the calculation of entitlements I support the proposition of the MEWU that Tioxide provide a written statement to each employee indicating length of service as at 1 July 1991.

The parties have also reached agreement that weekly paid employees will receive 4 unrostered days off a year in the same way as applicable to salaried employees of Tioxide.

I am of the opinion that the parties have made a genuine effort to address the issue of working hours with the objective of meeting the requirements of Tioxide that a more efficient and productive arrangement be adopted.

I commend the parties on the establishment of the Survival Committee and as discussed in the proceedings the Commission will be available to assist as requested by the parties.

However at this stage, given that what has been canvassed in this decision will be included in an agreement which I have previously referred to, this file is closed.

 

R K Gozzi
COMMISSIONER

Appearances:
Mr D Price with Mr B Pascoe and Mr G McQueen for the Metals and Engineering Workers' Union
Mr A Sierink (22.5.91) with Mr D Thorp and Mr G Bracken for the Electrical Trades Union of Australia, Tasmanian Branch
Mr T Edwards with Mr R McLeod, Mr M Walsh (16.5.91) and Mr E Van Der Ploeg for Tioxide Australia Pty Ltd.

Date and place of hearing:
1991
Launceston
May 16
Hobart
May 22