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T7241 and T7242

 

TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984
s.23 application for award or variation of award

Construction, Forestry, Mining and Energy Union,
Tasmanian Branch

(T7241 of 1997)
(T7242 of 1997)

BUILDING TRADES AWARD
BUILDING AND CONSTRUCTION INDUSTRY AWARD

 

DEPUTY PRESIDENT B R JOHNSON

HOBART, 7 October 1997

Award variation - expense related allowances - consent matters - applications approved - operative date ffpp 2 October 1997

REASONS FOR DECISION

In these proceedings the applicant Construction, Forestry, Mining and Energy Union, Tasmanian Branch (CFMEU) applied to vary certain expense related allowances in the Building and Construction Industry and Building Trades Awards. The purpose of the applications, which I heard together, is to reflect changes that have occurred in the federal National Building and Construction Industry Award 1990 occasioned by statistical movements in relevant aspects of the Consumer Price Index (Eight Capital Cities Weighted Average;1 Transportation, Weighted Average of Eight Capital Cities;2 Food, Meals Out and Take Away Foods;3 and Travel and Holiday Accommodation in Australia, Eight Capital Cities Weighted Average).4

When the matter came on for hearing on Thursday, 2 October 1997 Ms D Moncrieff appeared for CFMEU; Mr R Brown appeared for the Tasmanian Chamber of Commerce and Industry Ltd (TCCI) and Mr C Atkins appeared for the Master Builders' Association of Tasmania.

The applications proceeded by way of consent, all parties submitting that they complied with the requirements of the Wage Fixing Principles 1997 (Clause 10.1.1 - Reimbursement of Expenses) and contained no matters that are contrary to the general public interest provisions of section 36 of the Industrial Relations Act 1984.

In the course of their submissions the parties noted that, on this occasion, one of the allowances (camping allowance) was the subject of a negative CPI adjustment. In addressing the matter Ms Moncrieff referred to a letter on the subject sent to CFMEU by TCCI foreshadowing a debate about the issue the next time expense related allowances are before the Commission. In part, that letter had the following to say:

"There arises however the issue of those movements in the CPI that have been of a negative nature and the effect this negative figure should have in any future calculation of movements in the allowances because of adjustments in the Consumer Price Index. In this regard it is the position of TCCI that any further adjustment should be done on the basis of utilising the Consumer Price Index movement from the date the Award was last moved, i.e. June of 1996 that way the negative movement in the CPI can be taken into account in any future claim for an adjustment."

Ms Moncrieff said that, in the event of such a debate going ahead, CFMEU's position will be that the camping allowance should be reviewed, both as to quantum and the method of calculating future movements.

After noting the parties' positions I forewarned them of my expectation that, in the coming Award Review Process (Wage Fixing Principles 1997, Clause 16), I would expect them to turn their minds to whether there is a need to continue operation of both the awards, rather than one of them, that were before me in this hearing. In the course of that process, I suggested, they might also deem it appropriate to consider the issue of negative CPI adjustments.

Having heard the parties and being satisfied that the applications fulfil the requirements of the Wage Fixing Principles 1997 and section 36 of the Act I said I would vary the awards in the manner sought, effective from the first full pay period to commence on or after 2 October 1997. My Orders accompany this decision.

 

B R Johnson
DEPUTY PRESIDENT

Appearances:
Ms D Moncrieff for the Construction, Forestry, Mining and Energy Union, Tasmanian Branch.
Mr R Brown for the Tasmanian Chamber of Commerce and Industry Limited.
Mr C Atkins for the Master Builders' Association of Tasmania.

Date and Place of Hearing:
1997
October 2
Hobart

1 Catalogue 6401.0, Table 2B.
2 Supra, Table 6E.
3 Catalogue 6401.00, Table 6A.
4 Supra, Table 7A.