BP2006/3585, Transcript of Proceedings [2006] AIRCTrans 1202 (9 November 2006)

TRANSCRIPT OF PROCEEDINGS

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Workplace Relations Act 1996 15995-1

COMMISSIONER BLAIR

BP2006/3585

AUTOMOTIVE, FOOD, METALS, ENGINEERING, PRINTING AND KINDRED INDUSTRIES UNION
AND
RACV SERVICES PTY LTD
s.451(1) - Application for order for protected action ballot to be held
(BP2006/3585)

MELBOURNE

9.38AM, THURSDAY, 26 OCTOBER 2006

PN1

MS R DE PAZ: I appear for the AMWU, with me union organiser, Mr C PANDOLFO.

PN2

MR A TURNBULL: With me MS A LUMSDEN, we appear for RACV, we're employees.

PN3

THE COMMISSIONER: This matter is listed for mentioning. Where are the parties at in terms of their negotiations?

PN4

MS DE PAZ: I think we're almost - - -

PN5

MR PANDOLFO: Well, we've reached the situation, Commissioner, if I may, we've had a series of negotiations with the company on a collective agreement and we've got to the stage where we have, at this point in time, at least, have reached an impasse. The company has put forward an offer that the members have rejected now on a number of occasions.

PN6

THE COMMISSIONER: So is there one issue, two issues, half a dozen, log of claims?

PN7

MR PANDOLFO: The issue that we're in dispute over is one about the offer of the pay increases. The company has offered a three per cent per year agreement over three years and the other issue is the issue of how lunch breaks are organised and what happens if members - there is a part of the existing agreement is - which is another matter we're taking up with the company separate to this, is that the company are asking employees, or not rostering - sorry. Rostering employees to work during their lunch times on weekends and on night shift and they're not paying for it which is in conflict with the existing agreement.

PN8

We were hoping to get that fixed as part of this agreement, but that's another matter that we're in dispute about. If we're able to fix up those two matters, then we would have an agreement.

PN9

THE COMMISSIONER: Right, okay. Mr Turnbull?

PN10

MR TURNBULL: We certainly agree with Mr Pandolfo with respect to the wage increase. Three per cent is the offer that applies to all of our collective agreements on site. It's the offer that applies to all salaried staff from the Board down. The Board recently sought an increase of four per cent and that was denied by the management committee and the Board itself, and it was set at three per cent for Board increases, three per cent for the CEO down. It's an equity issue throughout the business.

PN11

With respect to the lunch breaks there is disagreement from the company's point of view as to how they are rostered. It's a 12 hour shift operation. It's work that's performed on the CityLink tunnel. On average the employees would do a half a dozen jobs a day which take about 10 to 15 minutes per job, so much of the time is idle, and at night and on weekends there has been an arrangement with the staff that they take the breaks to suit themselves rather than have the company roster them and I guess, whereas during the day, because of the nature of the day work and the different traffic loads, they are rostered and we have more staff on.

PN12

If we were to be prescriptive about it, it may remove some of that flexibility that is currently enjoyed by people. I guess that is the company position. Mr Pandolfo and I and others are attempting to work our way through that with respect to the way increase. I understand the union's position. I think the union understands the company position and it's a bit of a Mexican stand off.

PN13

THE COMMISSIONER: Considering we're in Australia, that's not bad, is it?

PN14

MR TURNBULL: It's probably not too bad.

PN15

THE COMMISSIONER: So I hear you say that the management committee have determined three per cent. How many enterprise agreements are up for negotiations?

PN16

MR TURNBULL: This year or have been?

PN17

THE COMMISSIONER: Yes.

PN18

MR TURNBULL: We have seven covering our site. All of those agreements have been renegotiated previously and the columns are three per cent. Per year over three years, so it's nine per cent over the three years. In some instances there's been an upfront payment of four per cent and two and a half and two and a half, and you know, the company is prepared to do that. Obviously we recognise the problem. We're not unrealistic, and that's the company's position.

PN19

THE COMMISSIONER: So the overall is nine per cent over three years?

PN20

MR TURNBULL: Yes.

PN21

THE COMMISSIONER: So it doesn't matter how it's broken down, it could be four per cent, you know, whatever?

PN22

MR TURNBULL: And also, and I think the company's view is that we recently, and this has been the practice for the last three years, that we've provided a bonus to all staff based on their part time pro rata of $1000 and we also provide everyone has club membership, RACV Club membership, and the management committee and Board recently provided $500 as credit for the club so they could use it there. We have discounts which apply for insurance products and products like that, so we see by the business as an overall package - however, the certified agreement, the wage movements, are three per cent on average.

PN23

THE COMMISSIONER: Thanks for that. What I will do is set down next Tuesday, 31 October, to hear argument on the issue of ballot, whether the Commission should grant the application that's being sought. In the meantime, of course, the necessary paperwork will go out. As you know, you can't start a war without the paperwork being right, and of course, in the meantime I would anticipate that the parties at least be trying to have another go or trying to settle. If, on Tuesday the 31st, the parties were happy to commence in conciliation to see whether or not we can strike an agreement with the assistance of the Commission, I'm happy to do that. If the parties believe that it's of no value, then we will go straight into hearing. Is that okay? Yes, okay. We will set down 9.30, Tuesday, 31 October for either conciliation or hearing on the merits of the application. Thank you very much.

PN24

MR TURNBULL: Commissioner, could I just pose a question, it's probably an off the record question. This is the first time that RACV has been involved in a process of this nature and I notice that it is necessary for us to post notice of hearing. Is that done prior to the hearing or post the - - -

PN25

THE COMMISSIONER: Yes. It's done prior to the hearing and the paperwork will go out to you setting out what your obligations are. You just follow that.

PN26

MR TURNBULL: Will that come from the Commission or - - -

PN27

THE COMMISSIONER: Yes, it comes from the Commission. It's once the order, if an order is issued, then you'll get communiqué from, in the sense, it's the Australian Electoral Commission as the ballot agent, then you'll get directions from the Australian Electoral Commission.

PN28

MR TURNBULL: I'm just concerned about who votes on it. I understand it's the union members only, but do we provide a list or do they use their own lists or - - -

PN29

THE COMMISSIONER: The directions are very clear on what the parties' obligations are about providing lists and you just follow those directions.

PN30

MR TURNBULL: Okay. So we don't have to go to our staff first on privacy issues or - - -

PN31

THE COMMISSIONER: No.

PN32

MR TURNBULL: Because we normally don't provide lists or telephone numbers even of our staff. I assume it's by legislation.

PN33

THE COMMISSIONER: No. You just follow the directions. All that's been accounted for, one hopes, by our superiors in Federal Parliament in accommodating the privacy issues and as good officers, we just follow the Act.

PN34

MR TURNBULL: Thank you, sir.

PN35

THE COMMISSIONER: All right. Now, on the day you'll either oppose the application on the grounds that the parties are genuinely trying to reach an agreement, on whatever other grounds you may see as necessary, or you just simply may say we're not going to oppose the application and we just take it from there.

PN36

MR TURNBULL: Thank you.

PN37

THE COMMISSIONER: The Commission will stand adjourned.

<ADJOURNED UNTIL TUESDAY 31 OCTOBER 2006 [9.47AM]