C2001/3145, Transcript of Proceedings [2001] AIRCTrans 3031 (9 November 2001)

AUSCRIPT PTY LTD
ABN 76 082 664 220

Level 4, 179 Queen St MELBOURNE Vic 3000
(GPO Box 1114J MELBOURNE Vic 3001)
DX 305 Melbourne Tel:[phone] Fax:[phone]

TRANSCRIPT OF PROCEEDINGS


O/N 0918

AUSTRALIAN INDUSTRIAL

RELATIONS COMMISSION

COMMISSIONER FOGGO

C2001/3145

AUTOMOTIVE, FOOD, METALS,
ENGINEERING, PRINTING AND
KINDRED INDUSTRIES UNION

and

NATIONAL WINDSCREENS PTY
LIMITED

Notification pursuant to section 99 of the
Act of a dispute re the response to the
Union's letter of demand and log of claims

MELBOURNE

10.08 AM, THURSDAY, 25 OCTOBER 2001

Continued from 14.6.01 (Not Transcribed)

PN1

THE COMMISSIONER: Is there any changes in appearances?

PN2

MR D. NUNNS: I appear on behalf of the AMWU Federal Division.

PN3

THE COMMISSIONER: Who appeared in the last time?

PN4

MR NUNNS: I think it may have been Sue Salzenger from the National Office.

PN5

THE COMMISSIONER: Yes. Thank you, and Ms Yilmaz. Mr Nunns, where are we?

PN6

MR NUNNS: Yes, Commissioner, this is fairly - I suppose a short, sharp and sweet hearing this morning, in terms of the issue of award respondency. We are informed that the company has made an application to become a member of the VACC which would therefore resolve the issue of award respondency and the only thing that we would ask from the VACC would be to provide to the union a letter outlining - confirming that they are a member of that employer organisation and also specifying the Vehicle Industry Repair Services and Retail Award 1983 as the award that is being applied and that would resolve the issue of respondency, of course.

PN7

There is only one issue that we have raised with the employer and their representatives in relation to the implementation of the award and that is the issue of superannuation and the current situation is that the company have a private superannuation fund and we would be seeking that a process be put in place to effectively put that fund under the microscope, to look at the various fees, charges and administration costs, management expense ratios, the whole lot, but the process we envisage would be a joint process and it would be essentially three stages.

PN8

In the first stage that the current fund would be put under a comparison and an analysis and that would be prepared, as I understand it, by a representative from the MTAA fund through Industry Funds Services Pty Limited. Subject to that information being provided to the parties, we would then - part two would have a meeting between the employer organisation, the company, the union and a representative of the MTAA Superannuation Fund to discuss the results of that comparison and analysis and see where we are on that and subject to there being agreement on what is the most appropriate and suitable fund for employees at National Windscreens Pty Limited, that we would approach the issue, I suppose, as a bi-partisan matter and that there would be joint presentations between the parties across all sites and that, as I say, I preface that with, depending upon results of the results of the analysis and depending upon the consent view of the parties arising out of that.

PN9

So that is just a fairly simply straightforward three-step process to have a good look at superannuation but other than that there is nothing more I have got to add today, Commissioner, apart from - - -

PN10

THE COMMISSIONER: Yes, in relation to MTAA, that is the major fund in the industry?

PN11

MR NUNNS: Yes, particularly in the automotive retail trade, highly prevalent in that sector.

PN12

THE COMMISSIONER: And Industry Funds Services, that is - is that a normal function of their work, that they would look at two different funds?

PN13

MR NUNNS: As I understand it, Commissioner, all industry funds and quite a number of private funds employ the services of IFS on various issues, comparisons, analysis, working out average returns, comparing apples with oranges and so forth. We have had some experience with them in the past and their information is pretty dry, it is straightforward, it is not coloured, it is just the facts and it is good for people to see that in the cold hard light of day, I suppose.

PN14

THE COMMISSIONER: All right. Thank you. Ms Yilmaz.

PN15

MS YILMAZ: Thank you, Commissioner. If the Commission pleases, I wanted to confirm that as a result of - or in reply to our previous hearing, that the company, National Windscreens, had in fact joined VACC and I confirm that again for the record and as a result the Federal Vehicle Industry Repair Service Retail Award applies in that establishment. I want - with regards to the superannuation that was raised by the union, I want to put on the record that the company had initially created a fund when it first commenced the business back in 1989 and as a result of that it has the exempt fund status under the Federal Vehicle Industry Repair Services and Retail Award.

PN16

Furthermore the fund that they currently have in place is also an approved fund as per the Insurance and Superannuation Commission guidelines. However having that the union has raised the issue we have had those discussions with the company with regards to what the status would be if there was the option of changing fund and given that choice is not a issue at this present, the company has indicated that they are not concerned about staying with that particular fund or moving to another fund. Essentially it really does become an issue whether the employees chose to change the fund and I have indicated that to the union to date.

PN17

And as Mr Nunns has indicated, a comparison of the funds is probably a worthwhile thing to do. The Industry Fund Services Pty Limited is an independent body and we would agree with that independent body conducting that comparison. In fact we have already commenced that process by requesting that a comparison be made and we have provided the necessary details for that to occur. In order to resolve the concerns of the union and presumably on the basis of the beneficial provisions provide for the - by the MTAA fund over most other independent-type funds, the company is prepared to have a look at that and present that to their employees and we are not satisfied with having discussions with the union, in fact we welcome those discussions with the union to resolve those issues and we don't have any uncomfortable position with regards to the proposal put this morning. If the Commission pleases.

PN18

THE COMMISSIONER: Excellent. I have got a day from hell today so this is a very pleasant way to commence. Everyone is in furious agreement. You have commenced processes that the union want commenced. You are to be commended. All right, look, I - there is no - record of finding is on the file, the transcript will - I will order and that will show that respondency of National Windscreens is now firm to the RS&R Award. If there are any other issues, then they can either come back as a part of this file or as part of some other. Right. Anything further. Yes, Mr Nunns.

PN19

MR NUNNS: I would suggest that you just close the file, Commissioner. If there are any separate issues arising out of the super, we will raise them as a standard section 99, if that is a problem.

PN20

THE COMMISSIONER: Yes, that is fine. Okay. Thank you very much. These proceedings are now adjourned.

ADJOURNED INDEFINITELY [10.16am]