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STATE ENERGY COMMISSION OF WESTERN AUSTRALIA - GASDIVISION, ENTERPRISE BARGAINING AGREEMENT 1994

No. AG 62 of 1994

1.-TITLE

This Agreement shall be known as the State Energy Commission of Western Australia - Gas Division, Enterprise Bargaining Agreement 1994.

2.-ARRANGEMENT

1.Title

2.Arrangement

3.Incidence and Parties Bound

4.Date and Period of Operation

5.Relationship to existing Award

6.Objectives and Principles

7.Dispute Settlement Procedure

8.Productivity Improvement - Broad Agenda Items

9.Specific Measures to Improve Productivity

10.Enterprise Bargaining Payment

11.Commitments

12.Renewal of Agreement

13.Consultation

Appendix - Resolution of Disputes Requirements

Appendix A-Enterprise Bargaining Payment

Appendix B-State Energy Commission of Western Australia Dispute Settlement ProcedureAgreement

Signatories

3.-INCIDENCEANDPARTIESBOUND

(1)This Agreement shall apply to and be binding upon the State Energy Commission of Western Australia, Gas Division (SECWA-GAS) or its successor, the organisations of employees set out below and all persons employed by SECWA-GAS who are members of or who are eligible to be members of the following organisations:

Australian Electrical, Electronics, Foundry and Engineering Union (Western Australian Branch) (AEEFEU);

Construction, Mining, Energy, Timberyards, Sawmills and Woodworkers Union of Australia, Western Australian Branch (CMETU); and

Metals and Engineering Workers' Union - Western Australia (MEWU).

(2)The persons employed by SECWA-GAS and referred to in subclause (1) hereof are covered by the terms and conditions of the State Energy Commission of Western Australia Wages and Conditions Award 1988, No. A1 of 1989 or its successor.

(3)The parties to this Agreement, as set out in subclause (1) hereof, agree that any changes to respondency will be amended to reflect them in any awards and agreements registered in the Western Australian Industrial Relations Commission to which SECWA-GAS is a party.

4.-DATEANDPERIODOFOPERATION

(1)This Agreement shall operate from the beginning of the first pay period commencing on or after 24 June 1994 and shall remain in force until 30 June 1995 subject to Clause 12. - Renewal of Agreement, of this Agreement.

(2)Further, notwithstanding subclause (1) hereof, the parties agree that nothing within this Agreement will preclude employees of SECWA-GAS from accessing benefits resulting from a Western Australian State Wage Case.

(3)Nothing in this Agreement shall preclude a further claim being made for an additional payment during the term of this Agreement, which if agreed by the parties will not apply earlier than 1 January 1995. In evaluating any such claim, SECWA-GAS will include in its considerations, the contribution made by employees in the reorganisation of work and restructure of jobs taking place throughout the term of this Agreement.

(4)The parties agree that no 'double counting' for labour productivity improvements already contemplated in the two 3 per cent payment increases available in this Agreement, or otherwise recognised, will be considered.

5.-RELATIONSHIPTOEXISTINGAWARD

This Agreement shall be read and interpreted wholly in conjunction with the State Energy Commission of Western Australia Wages and Conditions Award 1988, No. A1 of 1989 and/or registered agreements or their successor(s), provided that where there is any inconsistency, the terms of this Agreement shall prevail to the extent of any such inconsistency.

6.-OBJECTIVESANDPRINCIPLES

(1)The parties are committed to identifying common objectives which would lead to improved employer/employee relations and improved productivity, flexibility, efficiency, quality of employment and delivery of quality service.

(2)The parties are committed to the following principles in pursuing the above:

(a)To promote the development of trust and motivation within SECWA-GAS and to continue to foster good employee relations;

(b)Honesty, mutual respect and a business-like attitude to prevail at all times;

(c)A free exchange of relevant information and ideas to prevail at all times subject to agreed commercial confidentiality;

(d)Equity;

(e)The opportunity for proper and effective consultation, through appropriate on-site consultative mechanisms, prior to the implementation of any change;

(f)To enhance the quality and security of employment for SECWA-GAS employees through the ongoing implementation of agreed structural efficiency processes together with the philosophies and initiatives detailed in this Agreement; and

(g)To develop employees' appreciation of the needs of all SECWA-GAS's stakeholders; ie. customers, employees, Government and SECWA.

(3)The parties recognise that this Agreement continues the process of structural efficiency and productivity improvement. Fundamental to the continuation of this change process, the parties undertake to:

(a)Establish competency requirements for career opportunities within SECWA-GAS;

(b)Broaden the training and career progression opportunities for all employees and develop accredited competency based training plans to complement job redesign;

(c)Develop more meaningful, interesting and better paid jobs for employees;

(d)Strive to meet the needs of customers, employees, Government and SECWA-GAS; and

(e)Accept that there may be both reductions and increases in employee numbers in some Branches within SECWA-GAS arising from ongoing change. Where numbers are reduced, employees will be retrained and/or redeployed. Voluntary redundancies may be offered.

(f)(i)SECWA-GAS will, in principle, comply with the State Government policy and the General Order relating to classification maintenance;

(ii)In special circumstances classification maintenance may be extended on the approval of the Divisional General Manager together with the General Manager Human Resources; and

(iii)Employees undergoing classification maintenance will exercise the full range of skills of the maintained classification as and when called upon.

7.-DISPUTESETTLEMENTPROCEDURE

(1)The parties agree that all matters relating to the Agreement will be addressed through the appropriate consultative process, and that any disputes will be processed in accordance with the State Energy Commission of Western Australia Dispute Settlement Procedure Agreement (DSP) as detailed in Appendix B of this Agreement.

(2)Any disagreements will be addressed through discussion at the work area concerned prior to the dispute being notified pursuant to the DSP.

8.-PRODUCTIVITYIMPROVEMENT-BROADAGENDAITEMS

(1)In accordance with the Western Australian State Wage Fixing Principles the parties acknowledge that a broad agenda must be considered in the implementation of productivity improvements within SECWA-GAS. Further, that the range of measures to be considered and implemented will vary across SECWA-GAS dependent upon Branch operations and work area operations.

(2)The broad agenda items include:

(a)Establishment of more flexible working arrangements to allow SECWA-GAS to efficiently meet the needs of its customers and workforce;

(b)Introduction of new technology designed to improve the efficiency and continuity of operations and the quality of product and customer service;

(c)Assessing the need for flexible work arrangements to improve efficiency or assist employees with family responsibilities;

(d)Addressing issues relating to competency development, career planning, job redesign, redeployment and retraining;

(e)Addressing issues relating to the establishment of the new gas business and changes to jobs and processes to achieve the Western Australian Government's objectives of a competitive gas industry; and

(f)Investigation, consideration and implementation following agreement of:

Use of contractors; and

Supply work in Gas Operations branch.

9.-SPECIFICMEASURESTOIMPROVEPRODUCTIVITY

(1)It is agreed between the parties that specific measures to achieve productivity will be implemented on a division/branch basis.

(2)It is further agreed between the parties that this Agreement is divided into two stages, with specific measures to be achieved at each stage in accordance with the following subclauses. Stage 1 must be completed first, followed by Stage 2.

(3)Enterprise bargaining payments will be dependent upon all structural efficiency and workplace reform changes which occur as a result of this Agreement being locally ratified and implemented at the relevant workplace.

(4)STAGE 1

Payment in accordance with paragraph (2)(a) of Clause 10. - Enterprise Bargaining Payment, of this Agreement shall be on the basis of all of the following items being completed:

(a)All payment of wages to be by electronic funds transfer within two pay periods of the ratification of this Agreement by the Western Australian Industrial Relations Commission.

(b)The parties to this Agreement agree that the SECWA Use of Contractors Agreement 1987 (C235 of 1987) by the Western Australian Industrial Relations Commission is hereby cancelled as it applies to SECWA-GAS, and whenever contractors are to be used in SECWA-GAS the following arrangements will apply:

(i)SECWA-GAS is committed to maintain a competent, skilled and flexible permanent workforce to service the interests of the Western Australian community and to ensure the job security of employees for the term of this Agreement.

(ii)To meet developed work demands of a permanent nature, where it is economic to do so, consideration should be given to increasing SECWA-GAS's permanent workforce.

(iii)Contractors may be used where this would contribute to meeting the objectives and principles identified in Clause 6. - Objectives and Principles, of this Agreement. This would not be used to circumvent the availability and delivery of training to permanent employees nor to preclude them from undertaking the work in the future.

(iv)Contractors may also be used in any of the following;

in the performance of tasks that have been carried out prior to April 1994. The parties acknowledge there has not always been agreement on the use of contractors and the matter is to be addressed pursuant to paragraph (2)(f) of Clause 8. - Productivity Improvement - Broad Agenda Items, of this Agreement;

where the tasks are of such a nature that the SECWA-GAS does not have the expertise or the equipment and cannot acquire the additional competencies within a reasonable time frame, or it would not be economical to do so;

during periods of peak demand. Consideration will be given to hiring temporary employees to meet this peak demand.

(v)Prior to calling a contract for work normally undertaken by SECWA-GAS permanent workforce, SECWA will provide all relevant information about the contract; including contract duration, to the employees' representatives under the process to be agreed pursuant to Clause 13. - Consultation, of this Agreement.

(vi)Where a reduction of the permanent workforce is envisaged, the provisions of paragraph (3)(e) of Clause 6. - Objectives and Principles, of this Agreement shall apply.

(vii)Ensure a specification requires contractors to abide by SECWA's quality provisions and all statutory requirements including payments to employees and SECWA-GAS safety regulations, practices and requirements. Throughout the contract, the quality and cost effectiveness is to be monitored and reviewed.

(viii)These arrangements will continue in force beyond the terms of this Agreement until further reviewed by the parties in accordance with the SECWA Union Rationalisation - Heads of Agreement document referred to in subclause (4)(d) of Clause 9. - Specific Measures to Improve Productivity, of this Agreement.

(c)Commitment to work towards the completion of the development of competency standards for employees covered by the State Energy Commission of Western Australia Wages and Conditions Award 1988, No. A1 of 1989.

(d)(i)The finalisation and execution of the SECWA Union Rationalisation - Heads of Agreement and all attachments to that Agreement, tendered before the Australian Industrial Relations Commission in No. C 60345 of 1993.

(ii)The APESMA has been involved in discussions in relation to the SECWA Union Rationalisation - Heads of Agreement. However, the APESMA is not prepared to agree to the proposal for union rationalisation and is therefore not a party to that Heads of Agreement, and APESMA will be opposing the making of the order providing for union rationalisation under Section 118A of the Industrial Relations Act (Commonwealth) referred to in the Heads of Agreement.

In these circumstances the ACTU proposed in a letter of 23 March 1994 that SECWA accept APESMA in all negotiations and as a party to any Enterprise Bargaining Agreements until such time as APESMA's representative rights are determined by the Australian Industrial Relations Commission. The role of APESMA as a party to this Enterprise Bargaining Agreement is on a without prejudice basis on the terms spelt out in the exchange of letters between the ACTU, SECWA and APESMA dated 23, 24 and 29 March 1994; and

(e)Acceptance of the issues, and commitment to pursue those issues, on a Divisional or Branch basis, necessary for the implementation of Stage 2 in subclause (5) hereof.

(5)STAGE 2

Payment in accordance with paragraph (2)(b) of Clause 10. - Enterprise Bargaining Payment, of this Agreement shall be subject to the following items being implemented:

(a)Personnel carrying out all work within their recognised competency that is necessary to fully and effectively utilise plant and personnel and only limited by safety considerations, statutory requirements, legality, and the individual's competency to carry out such duties within his or her training.

(b)Field personnel continuing to work with an appropriate level of supervision limited by safety considerations, statutory requirements, operating procedures, legality and the individual's competence.

(c)Commitment to assist in the implementation of:

Organisational structure for the new gas business;

Changes to the design of jobs and work processes;

Introduction of fixed term contracts for key personnel; and

Rationalisation of existing and establishment of new depots, offices, workshops and other work places associated with the creation of the new gas business, to improve the overall efficiency and utilisation of resources.

This will not prejudice any claim which may be made pursuant to subclauses (3) and (4) of Clause4.- Date and Period of Operation, of this Agreement.

(d)The Division and Branches will produce a report which must address the following matters as they are appropriate to each workplace.

Investigation, consideration and implementation following agreement of:

Acquisition of new competencies through training;

Flexible work patterns must meet customer, employee and operational needs in a cost effective, safe and efficient manner. Flexible work patterns can include, but are not limited to staggering of SDO's and varying start finish times for normal working hours;

More flexible arrangements for the clearance of annual leave and long service leave to meet operational and personal needs; and

A clearance and/or pay out system for days in lieu.

(e)Agreement of joint resources and timetable to complete Wages Work Competency Standards Project.

(f)Investigation of the feasibility of implementing continuous improvement programmes and quality system certification to AS3902 in gas business's operations on divisional or branch basis.

(g)Develop and agree by or before 1 August 1994, performance indicators that will be used in the future negotiation of this Agreement in accordance with subclause (3) of Clause 4. - Date and Period of Operation and Clause 12. - Renewal of Agreement, of this Agreement.

10.-ENTERPRISEBARGAININGPAYMENT

(1)The additional payments are payable on the basis that the employees covered by this Agreement continue to fully participate in and fully support the productivity improvement programme as outlined in Clause 8. - Productivity Improvement - Broad Agenda Items and Clause 9. - Specific Measures to Improve Productivity, of this Agreement.

(2)Subject to subclause (1) hereof, the following additional payments will be payable in addition to the weekly wages set out in subclause (1) Wage Rates of Clause 30. - Wages of the State Energy Commission of Western Australia Wages and Conditions Award 1988, No. A1 of 1989 to employees covered by this Agreement:

(a)An additional payment equal to 3 per cent of each employee's Classified Award Rate of Pay (refer to Enterprise Bargaining Payment - First 3 per cent increase in Appendix A) will be paid on a divisional basis from a common operative date after subclause (4) Stage 1 of Clause 9. - Specific Measures to Improve Productivity of this Agreement has been achieved.

(b) An additional payment equal to 3 per cent of employees' Enterprise Bargaining Rate of Pay (No. 1) (refer to Enterprise Bargaining Payment - Second 3 per cent increase in Appendix A) will be paid on a divisional basis after the General Manager has formally advised the Executive Committee that the specific measures detailed in subclause (5) Stage 2 of Clause 9. - Specific Measures to Improve Productivity of this Agreement have been implemented within SECWA-GAS.

(c)The additional payments will be paid for all purposes of the SECWA Award referred to in Clause5.- Relationship to Existing Award, of this Agreement.

(3)The additional payments resulting from the application of subclause (2) hereof, are prescribed in Appendix A of this Agreement.

11.-COMMITMENTS

(1)All parties undertake that the terms of this Agreement will not be used to progress or obtain similar arrangements or benefits in any other enterprise.

(2)This Agreement shall not operate to cause any employee to suffer a reduction in ordinary time earnings, or to depart from standards of the Western Australian Industrial Relations Commission in regard to hours of work, annual leave with pay or long service leave with pay.

12.-RENEWALOFAGREEMENT

(1)The parties will review the contents of this Agreement in six months from the date of operation including an assessment of the implementation of the initiatives outlined in Clause 8. - Productivity Improvement - Broad Agenda Items and Clause 9. - Specific Measures to Improve Productivity, of this Agreement and the extent to which their implementation has contributed to the achievement of performance targets.

Such review is expected to result in the renegotiation, renewal or replacement of this Agreement effective from or before 1 July 1995. In the event that this does not occur, then this Agreement will remain in force.

(2)It is acknowledged by the parties that continuous improvement is ongoing and may form the basis of future agreements as provided in this clause. Likewise, it is open to the parties to seek the ongoing application of the final Enterprise Bargaining Rate of Pay (No. 2), as prescribed in Appendix A through variation of the State Energy Commission of Western Australia Wages and Conditions Award 1988, No. A1 of 1989.

13.-CONSULTATION

(1)An agreed consultative mechanism to assist the decision making process will be established immediately, in order to implement and identify specific initiatives aimed at improving productivity.

(2)The Division/Branch will establish a Consultative Committee which will examine and determine specific initiatives relating to the improvement of productivity for the duration of this Agreement as set out in Clause 8. - Productivity Improvement - Broad Agenda Items and Clause 9. - Specific Measures to Improve Productivity, of this Agreement.

The objective of the Consultative Committee shall be to:

(a)Develop and co-ordinate proposals for improving the efficiency, effectiveness, career prospects, productivity, training opportunities and quality of working life of employees;