C2004/2002, Transcript of Proceedings [2004] AIRCTrans 1106 (24 March 2004)

AUSCRIPT PTY LTD
ABN 76 082 664 220

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

TRANSCRIPT OF PROCEEDINGS


O/N 6394
AUSTRALIAN INDUSTRIAL

RELATIONS COMMISSION

SENIOR DEPUTY PRESIDENT WATSON

C2004/2002

NATIONAL UNION OF WORKERS

and

SYNNEX AUSTRALIA PTY LIMITED

Notification pursuant to section 99 of the
Act of an industrial dispute re assembly
line employees allegedly not being paid in
accordance with award

MELBOURNE

10.01 AM, FRIDAY, 12 MARCH 2004

PN1

MS M. FOX: I appear for the National Union of Workers.

PN2

MR T. BOURKE: I appear from the Australian Industry Group. With me is MS K. ARVANITIS from Synnex.

PN3

THE SENIOR DEPUTY PRESIDENT: Thank you. Now how do you wish to proceed, Ms Fox?

PN4

MS FOX: I would like to make a short submission, if your Honour pleases.

PN5

THE SENIOR DEPUTY PRESIDENT: Very well.

PN6

MS FOX: Late last year one of our members at Synnex contacted the union from - those members were employed in what is called the Production section of Synnex. They phoned to enquire as to why they were not being remunerated according to the Storage Services Award, as were their co-workers in the warehouse. The company has been a respondent to the Storage Services Award since March 2003. At a meeting with the company's HR Manager, Kathy Arvanitis, on 19 December last year Ms Arvanitis confirmed that the staff in the production area were not being paid according to the provisions of the Storage Services Award and contended that the provisions of schedule 1A were appropriate.

PN7

The employees primarily in the Production area are engaged to pick stock, assemble, pack and check the PCs that are distributed by the warehouse workers. I am sure my friend will add to these comments but my understanding of what the company is that it distributes IT equipment - personal computers, printers, and the like. I would point to clause 4 of the Storage Services Award which states that its coverage includes:

PN8

An assembler, collector, or checker of goods in the course of receipt or dispatch and employees engaged in activities incidental to the reception, handling, storage, preparation and packing of goods.

PN9

We would say that that fairly clearly covers the members that we have in Production and would seek the immediate enforcement of the Storage Services Award to those workers. If your Honour pleases, we would be happy to further discuss the matter in conciliation. Thank you.

PN10

THE SENIOR DEPUTY PRESIDENT: Very well, thank you. Mr Bourke?

PN11

MR BOURKE: Thank you, your Honour. Your Honour, Synnex is an IT distribution company and as far as these proceedings are concerned I think the relevant employees within the business are - 40 to 50 employees in the warehouse and eight to 10 involved in the production area. In a physical sense it all takes place in a very large building, essentially, the warehouse but there is a separate area of that facility which houses the production area and the production staff. As you heard, the company was roped-in to the Storage Services Aware in March of last year and after a bit of a hiccup at the start the provisions of that award have been applied to the employees in the warehouse since then.

PN12

My understanding is that, in discussions with the union at and before, and perhaps even after the time of the roping-in, there has not been any reference to the production employees although that by itself really may not be of any relevance. And the company is of the firm view that the people involved in production are quite separate. They are assembling as the provision in clause 4 of the award talks about, quote:

PN13

In the course of receipt or despatch.

PN14

They are actually production employees themselves. Their activities, as I understand them, your Honour, essentially involve PC production. They are involved in a semi-automatic production line. They assemble components into the chassis - I think the technical term for that is, box, of the computer. They configure the PC, they put software images and operating systems into the PC and they test it and then pack it at the finish. Now, as far as the company is concerned that very clearly takes them out of the coverage of the Storage Services Award.

PN15

Essentially, the provisions of that award are applied in respect of things like overtime and so on - they are applied. There is no meal allowance provision as per the award or leave loading, as per the award. But in terms of the - probably the most significant financial entitlements under the award, my understanding is that they are paid. Your Honour, the company is happy to have a chat about it but we will have to be totally upfront and say that currently we just can't see there is any merit at all in the union's claim. If the Commission pleases.

PN16

THE SENIOR DEPUTY PRESIDENT: Very well. Anything further?

PN17

MS FOX: I don't have anything, thank you.

PN18

THE SENIOR DEPUTY PRESIDENT: No. I will adjourn into conference.

NO FURTHER PROCEEDINGS RECORDED