T4945 and T4946
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TASMANIAN INDUSTRIAL COMMISSION Industrial Relations Act 1984 The Australasian Meat Industry Employees Union ABATTOIRS AWARD
Award variation - adjust the minimum wage by the $8.00 a week Arbitrated Safety Net Adjustment REASONS FOR DECISION These two applications, which were joined, were to increase the minimum wage currently prescribed in the Abattoirs Award and the Meat Trades Award by an amount of $8.00. The claims had been made by The Australasian Meat Industry Employees Union, Tasmanian Branch (AMIEU) and originally came before Mr Commissioner Gozzi with a number of other items but were referred back to the President because the subject matter was one which Section 35 of the Act requires to be dealt with by a Full Bench only. Mr Swallow for the AMIEU told us the claim was justified on the basis that the minimum wage had traditionally been adjusted in the past at the same time as general wage movements were approved by Full Benches dealing with State Wage Case matters. However for some reason the question had not been addressed when the most recent Tasmanian Trades and Labor Council (TTLC) application to vary all public and private sector awards and agreements1 was heard on 22 November 1993. It was further submitted that the increase, if granted, will have the effect of adjusting the quantum of the annual leave loading, but will not otherwise affect any current entitlement or obligation contained in these two particular awards. Mr Swallow also reminded the Commission that the use of the minimum wage as a flat amount of annual leave loading in these two awards had a long history and was determined by the Chairman of Wages Boards in 1975. The Meat and Allied Trades Federation of Australia (Tasmanian Division) (MATFA) supported the application of the AMIEU to vary both awards in the manner sought. However Mr Fitzgerald for the Tasmanian Chamber of Commerce and Industry Limited (TCCI) pointed out that when dealing with a similar matter in 19921 Mr Commissioner Imlach had refused to alter the minimum wage when dealing with a different award. We were told that whilst TCCI was not opposed to the granting of the AMIEU claim as a consent matter in these two awards it had some reservations concerning any precedent which may be seen to be established. In considering the issues before us we believe it is important to keep in mind that we do not have before us an application to comprehensively review the minimum wage contained in awards of this jurisdiction generally, but rather we have two applications to vary the existing minimum wage of $257.40 by $8.00 per week by consent in what is essentially a single industry covered by two awards, i.e. the slaughtering of animals and the processing and distribution of meat products. We believe it is equally important to emphasise that the use of a minimum wage as the quantum of annual leave loading in some Tasmanian private sector awards is unique and as a consequence the matters before us concern the subject matter of annual leave loading in a limited area as much, if not more, than they concern any broader concept of what should constitute a fair minimum wage for other purposes. In its Reasons for Decision2 of 24 December 1993 the Full Bench which heard the State Wage Case decided that there will be available an additional $8.00 per week in supplementary payments to be determined on an award by award basis in a manner which is consistent with the Australian Industrial Commission's decisions of 25 October and 15 November 1993 which created a new principle known as the "Arbitrated Safety Net Adjustment". We agree with the observation made by Mr Swallow that the most recent State Wage Case Full Bench decision made no mention of the minimum wage which applies in Tasmania. In our view it is difficult to draw any conclusions from this fact other than that there was no application before that particular Full Bench to consider the minimum wage but rather it was requested to follow the decision of another tribunal which does not have awards which contain the same annual leave loading provisions as are contained in the Abattoirs and Meat Trades Awards. Mention was made to us of a decision by Mr Commissioner Imlach refusing to vary the minimum wage in matter T No 4812 of 1992, but we fail to see the relevance of that outcome because clearly it was beyond jurisdiction to decide by a Commissioner sitting alone in that matter as it was in these two matters when they were originally before Mr Commissioner Gozzi. We have decided in favour of the applications made by the AMIEU on the basis that: 1. This is a consent matter. 2. The use of the minimum wage in this case is confined to the level of the annual leave loading. 3. The cost of granting the claim is $8.00 per employee per annum and therefore will be minimal. 4. Given the rather unique circumstances it is consistent with public interest to grant the claims. Consequently we decide that the minimum wage of $257.40 contained in the Abattoirs Award and the Meat Trades Award will be deleted and the amount of $265.40 will be substituted therefore. Date of Operation This variation shall come into operation on and from the date of our decision. Orders will be prepared and issued by Mr Commissioner Gozzi. Appearances: Date and Place of Hearing: 1 T No. 4692 of 1993
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