C2005/6087, Transcript of Proceedings [2006] AIRCTrans 587 (10 April 2006)

TRANSCRIPT OF PROCEEDINGS

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Workplace Relations Act 1996 14640-2

COMMISSIONER DANGERFIELD

C2005/6087

APPLICATION BY AUSTRALIAN MUNICIPAL, ADMINISTRATIVE, CLERICAL AND SERVICES UNION
s.113 - Application to vary an Award
(C2005/6087)

ADELAIDE

12.12PM, FRIDAY, 24 MARCH 2006

PN1

MS F DONAGHY: I appear for the Australian Services Union.

PN2

MR R COLLETT: I appear together with MR I FLETCHER on behalf of Mitsubishi Motors Australia Limited.

PN3

THE COMMISSIONER: Thanks Mr Collett. Ms Donaghy?

PN4

MS DONAGHY: Commissioner, today the ASU is seeking to amend the Mitsubishi Motors Australia Limited Clerks Award 1998 to incorporate the working family test case 6803 of 2005, and also to increase wages, salaries and allowances consistent with principle 3 of the Safety Net Review Wages 2005 PR002005 and to increase the allowances consistent with the Furnishing & Glass Industry Allowances Decision and the Statement of Principles.

PN5

Commissioner, this is a single employer award and the draft order provided to the Commission reflects the agreement reached from many discussions between the union and Mitsubishi on how best to incorporate, first the Family test case model clause, and also the previous safety net increases into the award. And the ASU certainly acknowledges the assistance given by Mitsubishi Motors both in calculating the entitlements and in reaching this consent position. In terms of the Family Leave provisions we have made changes to the various clauses such as including a provision for caring responsibilities for casual employees, an ability for annual leave to be held over two years or to be taken in 10 single days.

PN6

Changing the references from sick leave to personal leave and including household member in definitions, including a provision for access to unpaid bereavement leave and we have replaced the parental leave clause with the model. In terms of the rates of pay included in the draft order, they include the arbitrated safety net adjustments payable under the various safety net reviews up and to and including June 2005. And whilst the wage increases being sought incorporate some 10 years of safety net adjustments we submit that this does not offend the Statement of Principles.

PN7

It is in line with principle 8(c). The variation is by consent and the increase being applied for will not result in an increase to the actual wage rates of employees, or the wage costs for the employer as the employees are paid under the Mitsubishi Motors Australia Limited Enterprise Agreement 2005, where of course the pay rates are in excess of the award rates being applied for today. The ASU gives the commitment regarding absorption as required in 8(d) of the Statement of Principles and we ask that the variations take effect from the first pay period on and from today's date. If the Commission pleases.

PN8

THE COMMISSIONER: I just note in the draft order there is a reference consistently through there to the 1980 award. The 1998 award was obviously the simplified award. I am not sure whether that makes much difference there but in the draft order for example and the application itself refers to the Mitsubishi Motors Australia Limited (Clerks) Award 1980. Perhaps we had better make sure we are amending the 1998 award.

PN9

MS DONAGHY: That's quite interesting. I will just ….. Yes it is the 1998 award.

PN10

THE COMMISSIONER: It is definitely the 1998 award.

PN11

MS DONAGHY: Yes.

PN12

THE COMMISSIONER: Which is of course the simplified award.

PN13

MS DONAGHY: Yes.

PN14

THE COMMISSIONER: But when we are making these orders I wouldn't like to get anything wrong there in that regard. And your original application, does it, does talk about the 1998 award. Anyway I am just thinking - - -

PN15

MS DONAGHY: Look, yes it's very confusing because actually in the award at headings calls it the 1980 award but the title within the award calls it a 1998 award and I reckon that's where the confusion arose.

PN16

THE COMMISSIONER: And I reckon we are amending the 1998 award are we not?

PN17

MS DONAGHY: That's what we believe we are amending.

PN18

THE COMMISSIONER: I will get Mr Collett to confirm this. I would have thought the 1998 award was the simplified award approved by the Commission. That's what it sounded like to me.

PN19

MR COLLETT: Yes - - -

PN20

THE COMMISSIONER: It's just that in this draft order that I have got it does talk about, right at the top it talks about the 1980 award so perhaps we should amend that to 1998 but I will hear what Mr Collett has got to say. You see and then under – on the very first page there of the draft order, schedule B rates of pay, one rates of pay:

PN21

The following wage rates will apply to employees employed in the following classifications in the Mitsubishi Motors Australia Limited (Clerks) Award 1998.

PN22

So I think wherever the date of 1980 appears here in connection with the award it should be 1998 and I think that is only really in respect of the heading at the top on page 1. Of course the footer on each page of course is 1980.

PN23

MS DONAGHY: It says 1980 as well.

PN24

THE COMMISSIONER: I think probably the easiest thing to do, wherever 1980 appears we will make it 1998. It's probably the easiest thing.

PN25

MS DONAGHY: Thank you Commissioner.

PN26

THE COMMISSIONER: We will amend it accordingly. Thanks. Mr Collett?

PN27

MR COLLETT: Thank you Commissioner. Yes, certainly sir, we are amending the 1998 simplified version of the award. Now it's got me confused as well. And that is indeed the version of the award that we have used in consultation of variation with the union. Just a couple of matters that I should mention. One is of course our appreciation of the efforts that have been put in by the ASU in working in such a co-operative manner with us over this, and we have indeed worked collectively on this in achieving the outcome that is before the Commission today.

PN28

There are a couple of provisions in there that we have had some, shall we say debate around, that maybe are not provided in the other awards that cover some of our other groups of employees, but given the working relationship that we have with the ASU, we see no difficulties with any of that and certain matters such as the expense related allowances that have not been updated for many, many years are now included as part of our enterprise bargaining agreement process.

PN29

And we have also been introducing significant changes through the enterprise bargaining process in relation to family leave type issues, so bringing the award up to date in relation to the test case provisions and the inclusions is certainly the total and consistent approach that we have been taking as a company. Therefore, sir, we concur with the application on behalf of the ASU and support that application to the satisfaction of the Commission and the Commission's acceptance. If it pleases the Commission.

PN30

THE COMMISSIONER: Thanks Mr Collett. Perhaps just for ease of reference if I refer to the draft order submitted by the ASU in this matter and referred to by parties today, I will just mark that as ASU1.

EXHIBIT #ASU1 DRAFT ORDER

PN31

THE COMMISSIONER: And I can indicate that we will amend ASU1 in such a manner that wherever in that draft order ASU1 the date 1980 appears in connection with the title of the award, it should in fact read 1998 instead of 1980 and the draft order ASU1 will be amended accordingly. All right? It's seldom that these technicalities arise but I wouldn't like to stumble at the last hurdle in making an order on this matter since it has got to be finalised today.

PN32

All right then. I can indicate that the Commission has before it an application to vary the Mitsubishi Motors Australia Limited (Clerks) Award 1998 to insert into the award the Family Provisions test case standards recently determined by a Full Bench of this Commission in the Family Provisions case of November 2005 which is in print PR082005.

PN33

And also to increase wages and salaries by an amount of $17 per week as appropriate consistent with the Safety Net Review Wages Decision of June 2005 in print PR002005 and to increase allowances consistent with the Furnishing & Glass Industries Allowances Decision print M9675 and the current statement of wage principles of this Commission.

PN34

Having heard from the parties I am firstly, satisfied that the draft order, ASU1, presented today and as amended as I indicated earlier, reflects the principles and award variations adopted by the Full Bench of this Commission in the recent Family Provisions test case, and that the wage rate amounts contained in the draft order as presented by the ASU are consistent with the June 2005 Safety Net Review Wages Decision, and also, that the draft order accurately reflects adjustments to allowances that are consistent with and in accordance with the current wage principles of this Commission.

PN35

Having heard from the parties in relation to this application to vary the Mitsubishi Motors Australia Limited (Clerks) Award 1998 the Commission is satisfied that the grounds of the application have been made out. The terms of the application are justified and that having regard to the Commission's current statement of wage fixing principles it is appropriate that the variation be made. The Commission therefore order that the variation be made to the Mitsubishi Motors Australia Limited (Clerks) Award 1998 by consent in terms of the draft order ASU1 as amended today.

PN36

The award variation will operate from the beginning of the first pay period commencing on or after today's date, 24 March 2006 and will remain in force for a nominal period of six calendar months therefrom. Is there anything else that needs to be added for the record? No? That being the case I think that disposes of the hearing of the matter.

<ADJOURNED INDEFINITELY [12.23PM]

LIST OF WITNESSES, EXHIBITS AND MFIs

EXHIBIT #ASU1 DRAFT ORDER PN30