2002 WAIRC 04718

Nestlé Australia Ltd Kewdale Warehouse – SDA Agreement 2001

AG 262 OF 2001

1. - TITLE

This agreement shall be titled the Nestlé Australia Ltd Kewdale Warehouse – SDA Agreement 2001 and is made in substitution for the Nestlé Australia Ltd Kewdale Warehouses – SDA Agreement 1999.

2. - ARRANGEMENT

1. Title

2. Arrangement

3. Parties to the Agreement

4. Application and Operations

5. Aims and Objectives of the Agreement

6. Core Values

7. Agreed Improvements

8. Grievance Handling Procedure

9. Joint Consultative Committee

10. Performance Measurement

11. Training

12. Casual and Limited Tenure Employment

13. Classification Structure

14. Payment

15. Redundancy

16. Signature

3. - PARTIES TO THE AGREEMENT

The parties to this agreement are:

(a) Nestlé Australia Ltd A.C.N. 000 011 316, (“the Company”);

(b) The Shop, Distributive and Allied Employees’ Association of Western Australia, (“the Union”).

4. - APPLICATION AND OPERATIONS

(1) This agreement shall apply to all warehouse employees of Nestlé Australia Ltd A.C.N. 000 011 316, at 24 Glassford Road, Kewdale, Western Australia.

New employees will be required to sign a copy of this agreement in acknowledgment of reading and accepting the conditions of this agreement.

(2) This agreement is supplementary to and should be read and interpreted wholly in conjunction with The Shop and Warehouse (Wholesale and Retail Establishments) State Award 1977 (No. R32 of 1976) as varied from time to time, (“the award”).

(3) Where this agreement and the award deal with the same subject matter in different ways, this agreement shall override the conflicting provisions. Where the agreement is silent on any matter the award shall prevail.

(4) This agreement shall operate from the beginning of the first full pay period to commence on or after 1stNovember 2001 for a period of three years.

(5) The parties agree to commence negotiations for a new agreement at least one month prior to the expiry of this agreement. The considerations of this new agreement will focus on, amongst other considerations, the improvements, indicators and gains in productivity during the life of this agreement with a view to sharing these with the employees.

(6) The parties will oppose any applications by other parties to be joined to this agreement.

(7) Approximately seven employees will be bound by this agreement upon registration.

5. - AIMS AND OBJECTIVES OF THE AGREEMENT

The aim of the Company is to maintain an environment of mutual respect and trust between management and employees, so as to establish a platform on which future company development can be based.

The objective of this agreement is to achieve an increase in productivity, profitability and increased work flexibility. The agreement will benefit employees through the passing on of benefits in the form of improved remuneration, greater job satisfaction through training and the ability to personally influence workplace activity, product quality and levels of output.

Objectives will be achieved by way of:

(a) A team approach that allows the employees to have the greatest flexibility to improve the efficiency and productivity of the enterprise, by ensuring that labour practices are more closely attuned to the current and future needs and objectives of the enterprise. The only constraint will be the ability of employees to work and operate equipment in a safe manner in accordance with their skills and qualifications and any legal requirements.

(b) Creating a quality environment which is flexible and responsive to customers needs and well placed to meeting changing markets and technology.

(c) Establishing a working environment and consultative arrangement in which all employees will be committed to participating in an ongoing change process through individual contribution and teamwork. Changes will be discussed and evaluated by all members for genuine agreement to be reached. The Union will be involved wherever requested by the members or in accordance with Clause 44. - Introduction of Change of the Award.

(d) Achieving the resolution of conflict without loss to any party.

6. - CORE VALUES

The Company and their employees are jointly committed to making the Company a fully competitive manufacturer and marketer of quality food products for the Australian and export markets.

The core values that are fundamental to this commitment are as follows:

1. Products will be of consistent quality that meets the customer needs.

2. All employees individually and through teamwork will be involved in attaining Company's goals.

3. Focus will be on continuous improvement and customer service.

4. There will be trust, open and honest twoway communications.

5. High ethical standards will be maintained.

7. - AGREED IMPROVEMENTS

It is acknowledged that employees at this enterprise have shown a willingness to establish work practices which already contribute to the effective operation of the warehouse.

For the purpose of increasing productivity, agreement has been reached for employees to perform a wider range of tasks and participate in additional training.

(1) Employees will perform all work as is required of them by the Company to the level of their skills and competency and will accept instruction and direction from authorised personnel.

(2) Materials handling equipment and vehicles will be operated by any employee providing such employees are licensed and competent to use this equipment.

(3) All employees will participate in the inventory control and handling of merchandise material within the normal scope of duties.

(4) Employees will perform duties within the distribution operation to ensure a continuous performance of tasks.

(5) Employees will learn other functions to relieve in other positions when other employees may be absent.

8. - GRIEVANCE HANDLING PROCEDURE

(1) The following procedure shall be observed for handling grievances and settling disputes, questions or difficulties.

Step 1: In the first instance the employee and if they wish their Accredited Union representative shall explain and discuss the problem with their immediate supervisor.

Step 2: If the matter is not resolved, then the employee and if they wish their Accredited Union delegate and the leading hand shall discuss the problem with the Distribution Manager. These discussions should take place within 24 hours or such other period as is agreed with the Accredited Union Representative.

Step 3: If the matter has still not been resolved, then it should be referred to their District Union Organiser.

Step 4: If the matter has still not been settled it shall be submitted for a formal exchange between the Distribution Manager, the leading hand and authorised Union Official and the employee and if they wish their Accredited Union Delegate.

Step 5: Without prejudice to either party and except where a bonafide safety issue is involved, work shall continue in accordance with this agreement while matters in dispute are being negotiated. Nothing in this clause shall operate to the prejudice of an employee's safety.

Step 6: If the matter is still not settled, it may be referred to the Western Australian Industrial Relations Commission by either party provided that it is open to either party at any time to seek the assistance of the Western Australian Industrial Relations Commission in resolving any dispute, provided that persons involved in the question, dispute or difficulty will confer amongst themselves and make reasonable attempts to resolve the question, dispute or difficulty before taking those matters to the Commission.

(2) Where it is decided that an employee shall be dealt with under the disciplinary procedure the following steps shall be taken:

(a) The Company will counsel the employee before disciplinary action is taken.

(b) The usual process will include three warnings, one verbal followed by two written. This may be varied where the circumstances require it.

(c) These warnings will be valid for a reasonable period of time depending on the seriousness of the matter over which the warning is given.

(d) Where the employee requests it, he shall have a witness of his choice, who may be the official union representative.

(e) At each stage of the process the employee will be informed of the problem concerned and be given an opportunity to put his/her own position.

None of the above prevents the Company from summarily dismissing an employee for serious and wilful misconduct. Examples of this may include dishonesty in connection with their work, fighting, or refusal of a reasonable and lawful direction.

9. - JOINT CONSULTATIVE COMMITTEE

(1) Membership

A Joint Consultative Committee shall operate comprising an occupational safety health representative, an employee representative and the distribution manager.

The committee shall meet on a day to be determined within a month of relocation to the site at 24 Glassford Road.

Where a committee member is not able to attend a meeting, a substitute will, where possible, attend in that member's place.

The employee committee member will be elected to their position from amongst the employees.

(2) Objectives

The objective of the Joint Consultative Committee are the maintenance and expansion of the business and welfare of all employees. Key issues would include, but not be restricted to, the following:

A) Identification of inefficient work practices

B) Improvement in quality of service

C) Commitment to low absenteeism

D) Reduction in staff turnover

E) Job rotation

F) Job sharing

G) Work organisation

H) Maintaining a training and work system which provides support for all individuals, adds to their existing skills and develops a broader range of skills, thereby providing enhanced career prospects and higher rewards for employees within national competency standards.

I) Training requirements criteria and assessment

J) Company commitment to occupational safety, health environmental issues

K) Equal employment opportunity program

L) Work life and family Issues

M) Flexibility of hours and rostered days off.

(3) Decision Making

All decisions made by the Committee must take account of the following seven way test:

1. Will it improve efficiency and productivity?

2. Will it meet the current and future needs and objectives of the enterprise?

3. Will it support individuals to add to their skills and enhance career prospects and higher rewards?

4. Will it create a quality environment and meet customer needs?

5. Will it ensure that the Company becomes a world competitive enterprise?

6. Will it involve all employees in an ongoing change process through individual contribution and teamwork?

7. Will it achieve the resolution of conflict without loss to any party?

None of the above should be adversely affected. One or more must be positively affected.

The views of the employees and the deliberations of the Joint Consultative Committee will be taken into account before management makes final decisions.

The Joint Consultative Committee is not an industrial relations body and will not deal with the settlement of industrial relations grievances and/or issues and is not empowered to deal with matters which would require variations to the agreement.

(4) Quorum

A quorum will consist of at least one management representative and one employee representative.

(5) Agenda

Suggestions for the agenda can be made by any employee to any of the members of the Joint Consultative Committee. The Agenda will be distributed to the union and members prior to the next schedule meeting.

(6) Minutes

Minutes of the Joint Consultative Committee shall be drafted within 24 hours for verification by committee members and for all employees within 48 hours. A copy of the minutes will be forwarded to the Union Office at the same time as it is made available to the employees.

(7) Training and Preparation Time

It is agreed that the members of the Joint Consultative Committee will have access to appropriate union or other appropriate training courses in order to prepare them to work effectively within the Joint Consultative Committee. Members attending agreed courses will be paid for all ordinary time.

The employee members of the Joint Consultative Committee shall have adequate time for meeting prior to the Joint Consultative Committee meeting to prepare their reports and input based on the agenda.

10. - PERFORMANCE MEASUREMENT

The Joint Consultative Committee shall establish performance improvement indicators to measure gains in productivity, efficiency, flexibility and customer service.

These indicators will consist of, but not be restricted to, the following areas:

1. Warehouse productivity

2. Equipment utilisation.

3. Delivery service and truck utilisation

4. Stocktake accuracy

5. Stocktake cost variance

6. Damaged goods

7. Energy usage

8. lost and stolen goods

9. Absenteeism

10. Lost time hours and light duty hours

The management and employees agree to establish, monitor and chart these indicators. Performance against these measures will be reviewed on a regular basis with employees through the consultative arrangement and subsequent teams.

11. - TRAINING

Employees will be trained to achieve their potential and to meet the needs of the enterprise. This will be in accordance with standards and accreditation established by the National Training Council and the relevant Industry Training Council including on site training by the enterprise to provide a career path for employees.

A high priority of this agreement is the introduction of work teams that provides variety and skills for the individual to take full ownership of their assigned tasks.

The Joint Consultative Committee will identify training requirements that are specific to the enterprise and in accordance with the Company core values and objectives.

12. - CASUAL AND LIMITED TENURE EMPLOYMENT

(1) It is agreed by the parties that the concept of permanent employment opportunities should be pursued.

It is also recognised that temporary employment and casual employment are necessary to maintain flexibility and competitiveness during sales cycle peaks and troughs.

Casual employees may be appointed to fill short term vacancies.

(2) (a) Limited tenure employees are engaged for a fixed term and may also be hired. The fixed term nature of employment may be brought about by, but not limited to, the following factors:

§  replacing an employee absent on maternity leave;

§  long term illness;

§  accidents rendering an employee absent for an extended term;

§  covering seasonal delivery requirements.

(b) Periods of limited tenure employee’s employment shall:

(i) not less than one month provided that the minimum engagement may be 2 weeks where the sole purpose is the replacement of an employee on annual leave;

(ii) not more than 12 months' duration; and