10

SWAN PORTLAND CEMENT LTD

CLINKER GRINDING PLANT - KWINANA PROJECT

AGREEMENT 1996

NO. AG 208 OF 1996

SWAN PORTLAND CEMENT LTD
CLINKER GRINDING PLANT - KWINANA
PROJECT AGREEMENT

SCHEDULE

1. TITLE

This Agreement shall be known as the Swan Portland Cement Ltd Clinker Grinding Plant - Kwinana Project Agreement 1996.

2. ARRANGEMENT

1. Title

2. Arrangement

3. Area and Scope

4. General Conditions of Employment

5. Intent

6. Safety Footwear/Clothing

7. Site Allowance

8. Special Productivity Payment

9. Improvement Measures

10. Project Entry Requirements

11. Workforce Meetings

12. Superannuation

13. Resolution of Disputes

14. Wage Rates

15. No Extra Claims

16. Term

17. Signatories to Agreement

3. AREA AND SCOPE

This Agreement shall apply to United Construction Pty Ltd and to approximately 110 employees who are employed on the construction of the Swan Portland Cement Ltd Clinker Grinding Plant at Kwinana and bound by the following Awards and to the Unions listed hereunder -

Awards

Metal Trades (General) Award 1966 Part II No. 13 of 1965

Engine Drivers (Building and Steel) Construction Award No. 20 of 1973

Building Trades (Construction) Award

Electrical Contracting Industry Award R22 of 1978

Unions

Automotive, Food, Metals, Engineering, Printing & Kindred Industries Union of Workers - WA Branch.

Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Workers Union of Australia, Western Australian Branch.

WA Builders, Labourers, Painters and Plasterers Union of Workers.

4. GENERAL CONDITIONS OF EMPLOYMENT

Except as provided in this Agreement, the terms and conditions of each employee covered by this Agreement shall be as prescribed in the Award by which the employee would be bound if not for this Agreement and where the provisions of such Award are inconsistent with the provisions of this Agreement, the provisions of this Agreement shall prevail.

5. INTENT

This Agreement is designed to enable employers, employees and their union(s) to co-operate with the objective of ensuring a successful and timely completion of the project.

All parties are committed to:

- providing high standards of occupational health and safety on the site;

- promoting the concept of adaptable, committed, versatile, highly skilled employees;

- increasing job satisfaction for all project personnel;

- eliminating industrial relations lost time by the resolution of conflicts in accordance with agreed procedures;

- achieving a productive and efficient working environment on the project;

- facilitating a co-operative approach to employment relationships;

- taking steps to improve and enhance communication between employees and management/supervisors.

6. SAFETY FOOTWEAR/CLOTHING

(1) Each employee upon commencement of employment with the named signatories to the Agreement shall be provided with one pair of safety boots free of charge which shall be replaced on a fair wear and tear basis.

(2) All new employees on the project shall be supplied with 2 sets of clothing as soon as is practicable after their commencement on the project, unless the employer has previously issued such clothing and that clothing is in good condition.

(3) Each employee on the project who has been employed for a continuous period of two weeks between the period 1 May and 1 October shall be supplied with one bluey jacket.

7. SITE ALLOWANCE

A site allowance of $2.40 per hour for each hour worked shall be paid in recognition of the disabilities associated in carrying out construction on commissioning work on the site and such payment shall be in lieu of all prescribed disability allowances in the named Awards.

8. SPECIAL PRODUCTIVITY PAYMENT

In keeping with the intent of this Agreement, each employee shall accrue a payment of $50.00 per week. This payment shall not accrue in any week in which the employee is involved in or engages in industrial action, bans or limitations.

The accrual of the payment shall not be affected where the employee attends a meeting authorised in advance by the project management.

9. IMPROVEMENT MEASURES

In order to achieve the main aims of improved productivity, efficiency and flexibility, the following measures will be implemented.

(1) Occupational Health & Safety - Improved safety procedures and the monitoring of methods will reduce durations of time lost through injury. With the co-operation of all concerned and a determined commitment from management gains will be made in this area.

(2) Self-supervision - In keeping with the overall aims and objectives of this Agreement, and as a reflection of the company's faith in the ability and dedication of its employees, it is a further aim of this Agreement to promote the concept of self-supervision within its workforce on the project.

Employees are to be encouraged to use their initiative and self-discipline to ensure that their work is completed without excessive supervision. Employees shall also be encouraged to contribute ideas for productivity and efficiency enhancements.

Employees should at all times share with management a sense of responsibility for safety and quality of work at the workplace. A culture of dual commitment and responsibility is essential for the success of this project and for optimal job satisfaction and personal development.

(3) The company reserves the right to determine the selection of employees when there is a requirement to reduce the workforce. The primary consideration for retention will be skill and competence. However, should the skill and competence of individuals within the various classifications be of equal standing, length of service will be used to determine the priority for termination.

10. PROJECT ENTRY REQUIREMENTS

(1) To reinforce a safe site policy, access to the project will be restricted.

(2) Any official of a union party to this Agreement shall where practicable give site management appropriate notice of their intention to visit the project. On arrival at the project work site the visiting official(s) shall first call at the site office and introduce themselves to site management prior to pursuing any bona fide union duties on site.

(3) Union official(s) shall produce their union accreditation in accordance with the relevant award and observe the safety provisions for entry to the site.


11. WORKFORCE MEETINGS

Where practicable twenty-four (24) hours notice of union workforce meetings shall be given to the employer by the relevant full-time union official. Where such meetings are convened to discuss union matters or other issues they shall occur at the most convenient time for programming of work, i.e. prior to commencement of work, shift breaks, lunch time or smoko, etc.

12. SUPERANNUATION

The superannuation provisions contained herein operate subject to the requirements of the hereinafter prescribed provision titled - Compliance, Nomination and Transition.

The respondents to this Agreement undertake to make contributions to an appropriate occupational superannuation fund which meets the approved standards at the prevailing rate for the engineering construction industry.

Compliance, Nomination and Transition

Notwithstanding anything contained elsewhere herein which requires that contribution be made to a superannuation fund or scheme in respect of an employee, on and from 30 June 1998 -

(a) Any such fund or scheme shall no longer be a complying superannuation fund or scheme for the purposes of this clause unless -

(i) the fund or scheme is a complying fund or scheme within the meaning of the Superannuation Guarantee (Administration) Act 1992 of the Commonwealth; and

(ii) under the governing rules of the fund or scheme, contributions may be made by or in respect of the employee permitted to nominate a fund or scheme;

(b) The employee shall be entitled to nominate the complying superannuation fund or scheme to which contributions are to be made by or in respect of the employee;

(c) The employer shall notify the employee of the entitlement to nominate a complying superannuation fund or scheme as soon as practicable;

(d) A nomination or notification of the type referred to in paragraphs (b) and (c) of this subclause shall, subject to the requirements of regulations made pursuant to the Industrial Relations Legislation Amendment and Repeal Act 1995, be given in writing to the employer or the employee to whom such is directed;

(e) The employee and employer shall be bound by the nomination of the employee unless the employee and employer agree to change the complying superannuation fund or scheme to which contributions are to be made;

(f) The employer shall not unreasonably refuse to agree to a change of complying superannuation fund or scheme requested by a employee;

Provided that on and from 30 June 1998, and until an employee thereafter nominates a complying superannuation fund or scheme -

(g) if one or more complying superannuation funds or schemes to which contributions may be made be specified herein, the employer is required to make contributions to that fund or scheme, or one of those funds or schemes nominated by the employer;

or

(h) if no complying superannuation fund or scheme to which contributions may be made be specified herein, the employer is required to make contributions to a complying fund or scheme nominated by the employer.

13. RESOLUTION OF DISPUTES

The parties to this Agreement undertake to eliminate industrial disputation by strict adherence to the following procedure:

(1) Where a question, dispute or difficulty arises, the employee concerned or his/her Shop Steward shall initially discuss the matter with their immediate Supervisor.

(2) If the question, dispute or difficulty is still unresolved by the discussion referred to in subclause (1) hereof, the employee together with his/her Shop Steward and their Supervisor shall discuss and attempt to resolve the dispute with the Project Manager.

(3) Where the foregoing discussions fail to resolve the matter of concern, it shall be referred to a Senior Management representative and the relevant Union organiser, at which stage the parties shall then initiate steps to resolve the grievance as soon as possible.

Provided that with effect from 22 November, 1997 it is required that persons involved in the question, dispute or difficulty shall confer among themselves and make reasonable attempts to resolve questions, disputes or difficulties before taking those matters to the Commission.

(4) While the steps in subclauses (1), (2) and (3) hereof are being followed, industrial action shall not be taken.

(5) If the question, dispute or difficulty remains unresolved, either party may refer the matter to the Western Australian Industrial Relations Commission, provided that any party reserves the right to refer an issue to the Commission at any time.

(6) The parties will give each other the earliest possible advice of any problem which may give rise to a grievance or dispute.

(7) The employer will ensure that all practices applied during the operation of the procedure are in accordance with safe working principles and consistent with established project custom and practices.

(8) At all stages of this process, the emphasis shall be on a negotiated settlement at the project level.

14. WAGE RATES

In accordance with the successful operation of this Enterprise Agreement and a continued commitment from all parties, wage increases as set out herein shall be payable from the beginning of the first pay periods, to commence on or after the dates specified in the schedule.

These wage increases are dependent on an ongoing commitment to and implementation of, the efficiencies detailed herein. Any additional/supplementary Safety Net Adjustment(s) arising from a decision of the Western Australian Industrial Commission that may apply during the currency of this Agreement is deemed to be absorbed within the wage rates specified herein.

(1) Wage Rates for Classifications - Metal Trades (General) Award 1966 - Part II Construction Work.

Classification Rate Per Rate Rate Rate

Week From Per Week Per Week Per Week

Commencement of From From From

Project 1.8.96 1.1.97 1.5.97

$ $ $ $

Welder - Special Class 576.40 590.81 605.58 629.80

Welder 566.54 580.70 595.22 619.03

Boilermaker 566.54 580.70 595.22 619.03

Pipe Fitter 566.54 580.70 595.22 619.03

Certificated Rigger or Scaffolder 539.22 552.14 565.44 587.10

Rigger or Scaffolder - Other 519.45 532.44 545.75 567.58

Tradesperson's Assistant 487.08 499.26 511.74 532.21

Tradesperson's Assistant - who from

time to time uses a grinding machine 490.56 502.82 515.39 536.00

Crane Attendant and Dogperson 519.45 532.44 545.75 567.58

Labourer 462.96 474.53 486.39 505.85

Note 1: The above “EBA Rate Per Week” excludes Award provisions relating to tool and leading hand allowances.

(2) Wage Rates for Classifications - Engine Drivers (Building and Steel Construction) Award.

Classification Rate Per Rate Rate Rate

Week From Per Week Per Week Per Week

Commencement of From From From

Project 1.8.96 1.1.97 1.5.97

$ $ $ $

Mobile Crane Operators

- up to 8 tonnes 534.86 547.62 560.70 582.15

- 8 to 15 tonnes 546.83 559.89 573.28 595.23

- 15 to 40 tonnes 557.00 570.32 583.96 606.34

- 40 to 80 tonnes 565.02 578.53 592.39 615.11

- 80 to 100 tonnes 571.12 584.79 598.80 621.78

- 100 to 140 tonnes 580.22 594.11 608.36 631.41

- 140 to 180 tonnes 592.19 606.38 620.93 644.79

- 180 to 220 tonnes 608.23 622.82 637.78 662.32

- Over 220 tonnes 629.05 644.17 659.66 685.07

Note: The above “EBA Rate Per Week” contains all relevant Award provisions.

(3) Wage Rates for Classifications - Building Trades Construction.

Classification Rate Per Rate Rate Rate

Week From Per Week Per Week Per Week

Commencement of From From From

Project 1.8.96 1.1.97 1.5.97

$ $ $ $

Carpenter Joiner Stonemason

Stoneworker 14.78 15.12 15.47 16.04

Bricklayer 14.64 14.98 15.33 15.90

Labourers

Group 1 14.19 14.53 14.88 15.45

Group 2` 13.71 14.03 14.37 14.92

Group 3 13.34 13.65 13.98 14.52

Group 4 12.44 12.74 13.04 13.54

(4) Wage Rates for Classifications - Electrical Contracting Industry Award.

Classification Rate Per Rate Rate Rate

Week From Per Week Per Week Per Week

Commencement of From From From

Project 1.8.96 1.1.97 1.5.97

$ $ $ $

Level 1

Electronics Tradesman 690.55 707.81 725.51 754.53

Level 2

Electrician - Special Class 622.80 638.37 654.33 680.51

Instrument Fitter/Electrical Grade 2 631.74 647.53 663.72 690.27

Level 3

Electrical Installer 594.73 609.60 624.84 649.83

Electrical Fitter 594.73 609.60 624.84 649.83

Level 5

Electrical Assistant 510.52 523.28 536.36 557.82

15. NO EXTRA CLAIMS

A condition of this Agreement is that the Unions on the project will make no further claims on the employers respondent to this Agreement over conditions set out in this Agreement for the life of the construction phase of the project.