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ELDERS LIMITED (SPEARWOOD WOOL STORE)

ENTERPRISE AGREEMENT 1995

NO. AG 235 OF 1995


1. - TITLE

This Enterprise Agreement shall be known as the “Elders Limited (Spearwood Wool Store) Enterprise Agreement 1995, No. AG 235 of 1995.

2. - ARRANGEMENT

1. Title

2. Arrangement

3. Application of Agreement and Parties Bound

4. Term

5. Relationship to Parent Award

6. Single Bargaining Unit

7. Agreement Not to be Used as a Precedent

8. Objects

9. Implementation of 38 Hour Week

10. Wage Rates

11. Productivity Matrix

12. Allowances

13. Payment of Wages

14. Termination, Change and Redundancy

15. Signatories

Appendix - S.49A - Dispute Resolution Requirement

3. - APPLICATION OF AGREEMENT AND PARTIES BOUND

This Agreement shall bind all employees of Elders Limited (“the Company”) employed at the Spearwood Wool Store, Corner of Phoenix and Sudlow Roads, Spearwood, Western Australia who are bound by the terms of the Wool, Hide and Skin Store Employees' Award No. 8 of 1966, or any successor thereto, engaged in or in connection with the processing, handling and preparing for sale of wool (including classing, sorting, dumping, piece picking, receiving, despatching and general handling of wool) and wool dumping.

The parties to the Agreement are Elders Limited and The Shop, Distributive and Allied Employees’ Association of Western Australia (“the Union”).

4. - TERM

This Agreement shall take effect from the date of ratification by the Western Australian Industrial Relations Commission and shall remain in force until 15 September 1996. The parties agree that it is intended that this Agreement be replaced or re-negotiated prior to 15 September 1996.

During the term of this Agreement, the Union undertakes not to pursue any extra claims except in so far as they relate to:

(a) The proposed renegotiation of this Agreement.

(b) The development of the productivity matrix, provided that no claims shall be made with respect to the base rates of wage.

(c) Any failure to resolve the issue of “senior classer”.


5. - RELATIONSHIP TO PARENT AWARD

The terms and conditions of this Agreement shall be read and interpreted in conjunction with the Wool, Hide and Skin Store Employees' Award No. 8 of 1966 (the “Parent Award”). Where a provision of this Agreement is inconsistent with a provision of the Parent Award the former shall to the extent of any inconsistency override the latter.

6. - SINGLE BARGAINING UNIT

A single bargaining unit has been established as follows:

• The Wool Store Manager

• The State Wool Manager

• The Operations Manager

• The Shop Steward

• Three elected representatives from the wool store personnel

Provided that a representative of the relevant employee or employer organisation may attend and participate in any meeting of the Single Bargaining Unit.

7. - AGREEMENT NOT TO BE USED AS A PRECEDENT

This Agreement shall not be used in any manner whatsoever to obtain similar arrangements or benefits in any other plant or enterprise.

8. - OBJECTS

The objects of this Agreement are to improve communication between management and stores employees at all levels within the enterprise and to establish a co-operative environment with the common goal of providing an efficient service to customers.

To achieve these objectives, the parties will jointly cultivate a team environment and a commitment to the development of a multiskilled workforce supported by adequate training programs.

9. - IMPLEMENTATION OF 38 HOUR WEEK

The 38 hour week shall be worked as a four week cycle of 19 days of eight ordinary hours on the days Monday to Friday inclusive as provided by the Parent Award provided that on not more than five occasions during the term of this Agreement, employees may be required to “bank” their Rostered Days Off during periods of peak workload.

Days banked pursuant to this clause may be taken during the quieter times of the year on days mutually agreed between the company and the employee provided that:

a) An employee shall give the company at least two week’s notice of his or her intention to take a banked RDO.

b) The company may reject a request to take such a banked RDO if so many employees have elected the same day as an RDO as to adversely impact on the operational requirements of the business.

Banked RDO’s may be taken singly, as a week’s leave or in conjunction with an employee’s annual leave.


10. - WAGE RATES

The weekly ordinary time rate of wage for adult full time employees performing duties as set out in the classification structure detailed in Clause 13. - Wages and Classification Structure of the Parent Award shall be as follows:

From the first pay period From the first pay period

following 15 September 1995 following 15 March 1996

$ per week $ per week

Storeworker Level 1 410.80 414.91

Storeworker Level 2 421.50 425.72

Storeworker Level 3 430.90 435.21

Storeworker Level 4 442.10 446.52

Storeworker Level 5 455.50 460.06

Storeworker Level 6 477.70 482.44

These rates shall provide the basis for calculating all other rates of wage derived from the operation of the Parent Award including, but not limited to, casual and junior rates of wage.

11. - PRODUCTIVITY MATRIX

The parties have agreed that a productivity based bonus system recognises the positive contribution that a motivated work team can make towards the profitability, competitiveness, job security and safety of Elders Limited. The parties commit themselves to the development and implementation of a matrix based group productivity bonus system within six months from the date of ratification of this Agreement. Once implemented the productivity bonus system will be subject to trialing and review to ensure that it delivers outcomes acceptable to both parties.

The system is expected to measure the following key performance indicators:

(a) Bales received, lotted and marshalled per man hour.

(b) Bales cored and stored per man hour.

(c) Bales shipped per man hour.

(d) Bales rehandled per man hour.

(e) Sundry.

Agreed base levels will be determined by consultation through the Single Bargaining Unit.

The parties recognise that it is possible for factors beyond the employees’ control to influence key performance indicators, for example, a significant change(s) in the market or capital investment in new equipment.

Should such an event(s) take place, the parties undertake to review the indicators and productivity bonus levels to ensure an appropriate level of incentive is maintained.

Results are to be posted monthly with the average result for each review period determining the bonus to be paid in the next full pay period following the end of the review period.

The Performance Matrix used to determine bonus payments shall operate as follows:

• A performance index ranging from 0 to +15 shall equate to agreed levels of performance for each of the criteria specified. The initial level of productivity is identified at performance index 0.

• An agreed weighting will be determined for each of the criteria specified. At the end of the review period the level of performance in each area is to be identified on the Performance of Matrix (Measured Performance Index). For each of the specified criteria the Measured Performance Index shall be multiplied by the agreed weighting to determine a score. The total score shall be calculated by adding the individual scores. The incentive bonus pool shall be calculated by multiplying the agreed value per index point by the total score. The incentive bonus pool shall be distributed between all weekly employees equally. Casual employees shall be paid on a pro-rata basis for the period measured, the casual loading shall not apply to the bonus.

• The agreed value for monthly productivity improvement will be agreed prior to implementation.

• The Performance Matrix shall remain confidential to the parties.

12. - ALLOWANCES

All allowances expressed in dollar terms and set out in the Parent Award shall be increased by 6% from the date of ratification of this Agreement.

Without limiting the generality of the foregoing, the following allowances shall apply:

Dead Wool Allowance - 36 cents per hour

First Aid Allowance - 81 cents per day

Meal Money - $6.90

13. - PAYMENT OF WAGES

Wages shall be paid fortnightly by Electronic Funds Transfer provided that casuals employed as at the date of ratification of this Agreement shall be paid weekly for so long as they continue to be regularly employed each month.

14. - TERMINATION, CHANGE AND REDUNDANCY

(1) Termination of Employment

(a) Should the Company wish to terminate a permanent employee, the following period of notice shall be provided:

Period of Continuous Service Period of Notice

Less than 1 month 1 day

One month or more but less than 1 year 1 week

1 year or more but less than 3 years 2 weeks

3 years or more but less than 5 years 3 weeks

5 years and over 4 weeks

(b) Employees over 45 years of age with two or more years continuous service at the time of termination shall receive an additional week’s notice.

(c) Where the relevant period of notice is not provided, the employee shall be entitled to payment in lieu. Provided that employment may be terminated by part of the period of notice and part payment in lieu.

(d) Payment in lieu of notice shall be calculated using an employee’s weekly ordinary time earnings.

(e) The period of notice in this clause shall not apply in the case of dismissal for conduct that justifies instant dismissal, including malingering, dishonesty, inefficiency or neglect of duty or employees engaged for a specific period time and/or for a specific task or tasks (limited tenure).

(f) Notice Of Termination By Employee.

The notice of termination required to be given by an employee shall be the same as that required of the Company except that employees 45 years and over shall not provide an additional week’s notice.

If an employee fails to give notice, or to work out the full period of notice, the Company shall have the right to withhold monies due to the employee under this Agreement to a maximum amount equal to the ordinary time earnings for the period of notice required. At the employee’s request, and the Company’s discretion part or all of the period of notice required by an employee may be waived by the Company and the employee paid to the date of termination only.

Where an employee has given or been given notice as aforesaid or payment made in lieu of the prescribed notice unless otherwise agreed between the employer and the employee he/she shall continue in employment until the date of expiration of such notice. An employee having been given notice as aforesaid who absents themselves from work during such period without reasonable cause (proof whereof shall be upon him/her) shall be deemed to have abandoned his/her employment and shall not be entitled to payment for work done within such period of notice.

(g) Time Off During Notice Period

Where the Company has given notice to an employee of intended termination, the employee shall be allowed time off without loss of pay, for a cumulative period of eight hours for the purpose of seeking other employment. Such time off shall be taken at all times that are convenient to the employee after consultation with the manager.

(h) Statement Of Employment

The Company shall, when requested, provide to the employee a written statement specifying the period of their employment and the classification of or the type of work performed by the employee.

(i) Unfair Dismissals

Termination of employment by the Company shall not be harsh, unjust or unreasonable, whether notice has been given to the employee or not.

Without limiting the above, except where a distinction, exclusion or preference is based on the inherent requirements of a particular position, termination on the grounds of race, colour, sex, marital status, family responsibilities, pregnancy, religion, political opinion, national extraction and social origin shall constitute a harsh, unjust or unreasonable termination of employment.

(2) Introduction Of Change

(a) Company’s Duty to Notify

Where the Company has made a definite decision to introduce major changes in production, program, organisation, structure or technology that are likely to have significant effects on employees, the Company shall notify the employees who may be affected by the proposed changes and the Union.

“Significant effects” include termination of employment, major changes in the composition, operation or size of the workforce or in the skills required; the elimination or diminution of job opportunities, promotion opportunities or job tenure; the alteration of hours of work; the need for retraining or transfer of employees to other work or locations and the restructuring of jobs. Provided that where the Parent Award makes provision for alteration of any of the matters referred to herein an alteration shall be deemed not to have significant effect.

(b) Company’s Duty To Discuss Change

The Company shall discuss with the employees affected and their Union inter alia, the introduction of the changes referred to above, the effects the changes are likely to have on employees, measures to avert or mitigate the adverse effects of such changes on employees and shall give prompt consideration to matters raised by the employees and/or the union in relation to the changes.

The discussions shall commence as early as practicable after a definite decision has been made by the Company to make the changes referred to above.

For the purposes of such discussions, the Company shall provide in writing to the employees concerned and the Union, all relevant information about the changes including the nature of the changes proposed, the expected effects of the changes on employees and any other matters likely to affect employees provided that the Company shall not be required to disclose confidential information the disclosure of which would be inimical to the Company’s interests.

(3) Redundancy

(a) Discussions Before Terminations

(i) Where the Company has made a definite decision that the Company no longer wishes the job the employee has been doing to be done by anyone and this is not due to the ordinary and customary turnover of labour and that decision may lead to termination of employment, the Company shall hold discussions with the employees directly affected and with the Union.

(ii) The discussions shall take place as soon as is practicable and shall cover, amongst other matters the reasons the proposed terminations are required, measures to avoid or minimise the terminations and measures to mitigate any adverse effects of any terminations on the employees concerned.

(iii) For the purposes of the discussion the Company shall, as soon as practicable, provide in writing to the employees concerned and the Union, all relevant information about the proposed terminations including the reasons for the proposed terminations, the number and categories of employees likely to be affected, and the number of employees normally employed and the period over which the terminations are likely to be carried out.