1

AMETEK ENTERPRISE AGREEMENT

1996 - 1998

(Trading as Rocla)

NO. AG 277 OF 1996

1.TITLE

This Agreement shall be known as the Amatek Ltd Enterprise Agreement 1996.

2.ARRANGEMENT

This Agreement is arranged as follows:

Clause No.Subject

1.Title

2.Arrangement

3.Application

4.Parties Bound

5.Single Bargaining Unit

6.Date & Period Of Operation

7.Relationship to Parent Award

8.National Standards

9.Commitment and Vision

10.Objectives

11.Continuous Improvement and Innovation Process

11a.Consultation and Participation

11b.Quality and Customer Satisfaction

11c.Flexible Work Organisation

11d.Skills Development and Training

11e.Performance Measures

12.Classification Structure

13.Wage Rates

14.Allowances

15.Redundancy

16.Avoidance of Industrial Disputes

17.Use of a Precedent Prohibited

18.Renewal of Agreement

3.APPLICATION

This Agreement shall apply to all employees (numbering four) of Amatek Ltd who are bound by the terms of Metal Trades (General) Award No. 13 of 1965 and employed in the following business units of the Pipe and Concrete Division:

*Rocla Pipeline Products, Kewdale

4.PARTIES BOUND

Parties to this Agreement are:

i)The Communications Electrical Electronic Energy Information Postal Plumbing and Allied Workers Union of Australia Engineering and Electrical Division WA Branch.

ii)Amatek Ltd

iii)All employees of Amatek Ltd engaged in any of the occupations, callings specified in the Metal Trades (General) Award, whether members of the organisation of employees listed in sub-clauses (i) hereof or not, employed in the Pipe and Concrete Division

5.SINGLE BARGAINING UNIT

Each relevant Bargaining Unit has operated a consultative committee since at least 1989. These committees were re-structured for the purpose of developing agreement on Enterprise Bargaining issues consistent with the terms of the decision in the January 1992 State Wage Case. The committee is composed of employee and management representatives, and includes a representative of the union at the Kewdale site.

6.DATE AND PERIOD OF OPERATION

This Agreement shall operate from the beginning of the first pay period to commence on or after 24th April, 1996 and shall remain in force until 21st May, 1998.

No Extra Claims

This Agreement shall not be varied and the Union undertakes not to pursue any extra claims, award or overaward, during the period of operation of this Agreement except where consistent with principles determined by the Western Australian Industrial Relations Commission.

7.RELATIONSHIP TO PARENT AWARD

  • This Agreement shall be read and interpreted wholly in conjunction with the relevant award listed in Clause 3, provided that where there is any inconsistency, this Agreement shall prevail to the extent of the inconsistency.

8.STATE STANDARDS

This Agreement shall not operate so as to cause a departure from WA Industrial Relations Commission standards.

9.COMMITMENT AND VISION

The parties to this Agreement are committed to making the Company more productive, effective and efficient, both operationally and financially within a satisfying and stable work environment. This Agreement builds on the Amatek Ltd Kewdale (Enterprise Bargaining) Agreement 1994 and enhances the commitment of the parties to build an organisation which attains international best practice in all areas. The Company is committed to the marketing of products derived from its shared core competencies being primarily concrete material and process technologies.

The parties are also committed to developing a shared vision through involvement and teamwork.

The parties are committed to improvement through the productivity improvement programmes at all sites which are not limited in their agendas and incorporate the Company’s short and long term objectives.

The parties are also committed to nil disruption and maximum productivity improvements and high levels of customer service.

10.OBJECTIVES

Consistent with the terms of the Amatek Ltd Kewdale (Enterprise Bargaining) Agreement 1994, the parties to this Agreement are committed to the following objectives all of which are vital to the Company’s business strategies and ongoing success:

  • The development of a common culture and shared vision of a customer focused organisation with leading competence in concrete technologies and products.
  • The introduction of modern and flexible forms of work organisation, technology and work patterns which optimise the benefit to the Company’s shareholders, employees and customers.
  • The establishment of work arrangements which ensure the involvement of all employees in continuous improvement.
  • The elimination of existing work practices which inhibit flexibility and improved efficiency.
  • The supply of products and services on a timely and cost effective basis.
  • The establishment of career paths within the Company which provide for ascending levels of skill and responsibilities which will result in increased job satisfaction, greater career opportunities and opportunities for self management.
  • The continued development of productivity performance measures including benchmarks internally and externally.
  • Commitment to the appropriate level of quality in all processes and procedures.
  • Commitment to high standards of occupational health and safety.

11.CONTINUOUS IMPROVEMENT & INNOVATION

The parties agree that continuous improvement and innovation is a cornerstone of this Agreement and the Amatek Ltd Kewdale (Enterprise Bargaining) Agreement, 1994. Only through commitment to continuous improvement and innovation will the objectives be achieved.

The elements critical to the achievement of continuous improvement and innovation are:

a)Involvement and Teamwork

b)Quality and Customer satisfaction

c)Flexible Work Organisation

d)Skills Development & Training

e)Performance Management and Measures

Each of these elements which are explained in detail below will be focused on over the life of the Agreement. Specific actions have been identified as necessary for the continuous improvement process to deliver the objectives of this Agreement.

11a.Involvement and Teamwork

An important part of the consultative process has been, and will continue to be, the development of a workplace culture focusing on international competitive standards.

The parties recognise the importance of the workplace change process, and the need to develop productive working relationships and to achieve a workplace mindset of commitment and co-operation as a foundation for ongoing change.

Factory Improvement Groups (F.I.G.S.) have been established to provide the mechanism for involvement in workplace improvement. The F.I.G.S. are comprised of appropriate management and employee representatives, who will also be used to communicate information on key directions of the Company. Their objectives include:

  • Examine and recommend means to improve the efficiency and productivity of the workplace making the most effective use of its total resources.
  • Assist the implementation of workplace improvement through involvement and teamwork.
  • Act as a forum for the communication of employee ideas to improve productivity.

The parties recognise the need to maintain the momentum established under the 1994 Agreement and to ensure that the F.I.G.S. meet their objectives over the life of this Agreement.

Actions:

  1. It is the aim of the parties to have in place early in the life of this Agreement properly operating F.I.G.S.
  2. Each F.I.G. will be involved in the development of an Operational Plan which will be used as a guide over the next 12 - 24 months. The existing terms of reference shall continue to apply and Operational Plans will detail actions in the following areas:

*training and development

*teams/work organisation

*communication

*customer relations

*key performance measures and achievements

* OH&S

  1. Training will continue to be provided to F.I.G.S. to ensure members are confident and capable of achieving their objectives.

11b.Quality and Customer Satisfaction

The parties are committed to the implementation and maintenance of the Company’s Quality Assurance System. F.I.G.S. will assist in implementation and adherence. To ensure quality improvements occur the following actions will be necessary:

Actions:

  1. The Company’s policy on quality is clearly communicated to employees in terms that are easily understood. This will include linking it to the requirements of the various internal and external customers of the Company.
  1. Recognition by all parties that satisfying the customer is the single most important factor in achieving quality and that in work there are a range of customers including work teams and their members.
  1. All employees take responsibility for the quality of the work they carry out.
  1. Employees will be involved in the development and adherence of procedures/instructions and training necessary for the achievement of the quality requirements

11c.Flexible Work Organisation

Building on the Amatek Ltd Kewdale (Enterprise Bargaining) 1994 Agreement the Company has commenced a process of multi-skilling employees to extend flexibility’s. This process will result in no demarcations that would otherwise inhibit the full interchangeability of tasks. The following key elements are identified as necessary:

I.Multi-Skilled Teams

Work teams based around production centres will be established and introduced at all sites as soon as practicable. The range of the team member’s skills will provide adequate overlap to allow interchangeability of individuals to stagger meal breaks and to cover any absence.

Functions which are currently considered as both direct and indirect work functions will be shared by team members.

Skill flexibility will extend to co-ordinators and maintenance trades people performing production tasks when necessary, and to promote the broadening of skills. It will not lead to the downgrading of employee skills.

II.Self Directed Teams

Multi-skilled teams will be encouraged and assisted, through training and consultation, to accept higher levels of responsibility and decision making in the operation of the production centre, and the achievement of quality standards.

III.Single Meal Break

Where staggered meal breaks cannot be operated, a single meal break will apply by combining the paid rest period of 15 minutes with the normal meal break, provided that other provisions of Clause 13 ‘Hours’ of the parent award shall apply, except that the parent award provision of two rest periods of 7.5 minutes shall not apply. The duration of the single meal break and the method by which the paid 15 minutes is treated, may be determined by mutual agreement between the Company and the majority of employees concerned.

IV.Flexible Working Hours

The methods of implementing the 38 hour week provided in the Award shall continue to apply, except that in circumstances where the present hours arrangements are limiting or constraining operational efficiency or effectiveness they may be replaced by some other method of working the 38 hour week, provided that the majority of employees concerned agree. Agreement to work the proposed shift/hours will not be unreasonably withheld.

Where the majority of employees concerned do not agree the Company shall refer the matter to the union at the State level, and the union shall not withhold agreement unreasonably. Should agreement fail to be reached, the matter shall be referred to the Western Australian Industrial Relations Commission for resolution.

Starting and finishing times, may vary for individuals and or sections in line with operational requirements. Additionally different shift patterns may apply to sections or individuals within the site.

Where agreed shift/hours patterns impact on award conditions of employment (e.g. overtime, sick leave, public holidays, annual leave and long service leave) agreement following the above procedures, will be reached as to the treatment of such conditions ensuring no extra cost to the Company and no disadvantage to the individual or sections concerned.

V.Flexibility with Truck Drivers

Provided licence, safety and competence requirements are satisfied, truck drivers, if requested by management may load trucks. Such operations are not intended, and will not be used as a general replacement of existing forklift personnel but as an assistance to operations. Site specific arrangements in the Amatek Ltd Kewdale (Enterprise Bargaining) Agreement, 1994 shall continue to apply.

11d.Skills Development and Training

It is an objective of the Company that employee skills will be developed across all levels to increase the flexibility’s and efficiency for the Company and opportunities for employees.

Employees may require competency development in one or all of four main areas: Operational Skills, Technical Skills, Administrative Skills and Interpersonal Skills.

Employee development will align with the competency-based standards for jobs where such standards are already in place. Employees will be assessed for skills and knowledge acquisition (competence) by accredited assessors, and any structured development activities will be competency based. The upskilling and multi-skilling of employees will provide career paths within the Company, and where competency standards are registered, employee competencies will be recognised across the industry.

It is intended that flexible forms of training and development will be introduced. The Company will encourage the use of different forms of learning including computer based training, and will continue to provide a range of learning resources.

Job specific training will normally be undertaken during working hours. It is envisaged that some job specific training activities may occur outside of normal hours.

Workplace trainers will be developed for the purposes of training other employees, and for developing the skills of more junior employees.

Specific actions to be undertaken include;

Actions

  1. Subject experts will be developed and accredited as Workplace Trainers Level 1 and Workplace Assessors.
  1. A skills audit will be conducted for all employees using the established competency standards.
  1. A skills gap analysis for each employee will be prepared using the data collected in the skills audit.
  1. The F.I.G.S. will be involved in:

a)development of training plans generated by Training Co-ordinators

b)encouraging employees to participate in training activities

c)providing feedback to the Training Co-ordinators regarding the success or otherwise of training initiatives

5.Employees will assist with the training of other employees who are developing their skills.

11e.Performance Management and Measures

The parties agree that operational performance will be monitored and problems identified and corrective action taken where necessary to ensure the objectives of this agreement will be obtained.

Appendix I sets out measures, targets and wage increases attributable to 6 key performance measures. In determining the extent of improvement it will be taken from a year to date figure ending December, 1995. The amount of the second and third wage increase under this Agreement shall be dependent on the achievement of the measures.

Information on the progress of achievement of performance will be made available via the F.I.G. so as to ensure all employees understand the site/divisional performance. F.I.G.S. are encouraged to measure other factors that can be used to assess and improve performance.

F.I.G.S. may be required to develop action plans to correct any performance deficiency to assist in the achievement of the targets.

Each of the following business groups will be treated as separate entities in assessing the value of the productivity gains achieved:

Rocla Pipeline Products

Rocla Concrete Poles

RoclaConcrete Sleepers

12.CLASSIFICATION STRUCTURE

Employees shall be classified in accordance with the Metal Trades (General) Award.

13.WAGES

(i)Wage rates for all classifications in the AWU-Amatek Ltd Award (Federal) are increased as follows:

  • First Increase

All existing award rates will be increased by $8.00 per week (21 cents per hour) plus 4.5% effective from the first pay period on or after the 24 April, 1996.

Incentive Scheme rates will be reduced by 21 cents per hour effective from the first pay period on or after the 24 April, 1996.

  • Second Increase

All wage rates will be increased by 2.5% effective from 24 January, 1997 and a further 1.5% on the achievement of agreed performance measures (see Appendix 1) also effective from 24 January, 1997

  • Final Increase

All wage rates will be increased by 2% effective from 24 October, 1997 and a further 1.5% on the achievement of agreed performance measures (see Appendix 1) also effective from 24 October, 1997

(ii)Wage rates for all classifications under the Metal Trades (General) Award will be increased as follows:

  • First Increase

All existing rates will be increased by 4.5% effective from the first pay period on or after the 24 April, 1996

  • Second Increase

All wage rates will be increased by 2.5% effective from 24 January, 1997 and a further 1.5% on the achievement of agreed performance measures (see Appendix 1) also effective from 24 January, 1997

  • Final Increase

All wage rates will be increased by 2% effective from 24 October, 1997 and a further 1.5% on the achievement of agreed performance measures (see Appendix 1) also effective from 24 October, 1997

Tradesmen who are eligible to receive incentive payments under the Company’s Incentive Scheme the amount of $8.00 per week referred to above shall be reduced in the same proportion to the percentage they receive under the Incentive Scheme.

14.ALLOWANCES

Allowances under the Metal Trades (General) Award shall be adjusted in accordance with Appendix III.

15.REDUNDANCY

The existing redundancy provisions under Clause 32(a) of the Metal Trades (General) Award shall apply except that:

i)where an employee is made redundant in terms of the Award, the employee shall be entitled to two weeks pay for each completed

year of service or the award whichever is the greater up to a maximum of 52 weeks.

Payment shall be calculated on the base weekly wage rate plus average weekly incentive earnings achieved during ordinary hours over the previous 13 weeks.

ii)there shall be no offsetting of any redundancy benefits by superannuation benefits.

16.AVOIDANCE OF INDUSTRIAL DISPUTES

Any difficulty, dispute, problem or question affecting one or more employees bound by this agreement, the parties to this Agreement undertake to observe the procedure for the avoidance of industrial disputes contained in the relevant parent awards, that is Clause 34 of the Metal Trades (General) Award.

In general the parties will attempt to resolve all disputes by internal negotiation, in keeping with the Commitment and Vision clause of this Enterprise Agreement.

17.USE OF A PRECEDENT PROHIBITED

This Agreement shall not be used in any manner whatsoever to obtain similar arrangements or benefits in any other plant or enterprise.

18.RENEWAL OF AGREEMENT

The parties shall continuously monitor the application of this Agreement to ensure the effective implementation of structural efficiency and enterprise bargaining principles. The parties will commence discussion on the renewal or replacement of this Agreement no later than 21st February 1998.