“Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers' Union (AMWU) v ABB Australia Pty Ltd Fosters Site

[2013] FWC 7724

[2013] FWC 7724

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.739—Dispute resolution

“Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU)
v
ABB Australia Pty Ltd - Fosters Site
(C2013/1022)

DEPUTY PRESIDENT KOVACIC MELBOURNE, 3 OCTOBER 2013

Dispute in relation to shift arrangements.

[1] The following is an edited version of the text of the ex tempore decision delivered at the conclusion of proceedings on 27 September 2013.

[2] Clause 25 of the AMWU, ABB Australia Pty Ltd Fosters Site Collective Agreement 2011 (the Agreement) in respect of shift work provides that the shift arrangements established for the current production scheduling are subject to change following any significant change to production scheduling. The matter that I am required to determine is whether or not a significant change to production scheduling has occurred at the Foster’s site.

[3] The evidence of Mr Sam Garro, an AMWU shop steward, who has worked at the site for around 30 years (initially for CUB and for the last four and a half years for ABB) was that:

• the shift rosters worked by production workers at the site had not varied throughout the period he had worked at the site;



• production volumes and product mix changed regularly due to seasonal factors and consumer demand; and



• the shift management provisions of clause 25 of the Agreement were similar to the predecessor agreement and had not been the subject of any substantive discussion in the context of negotiations for the Agreement.

[4] The evidence of Ms Fiona Bycroft, Site Manager of ABB at the Fosters site, was that:

• she had not been involved in the negotiations for the current Agreement; and



• as set out in paragraphs 13 and 14 of her witness statement 1, changes such as the shut down of production lines each shift and an increase in planned maintenance as a result of the introduction of the SAB Miller Manufacturing Way constitute significant change to production scheduling.

[5] In short, Mr Vroland’s submission on behalf of the AMWU was that no evidence had been presented of any real change to production scheduling at the site and that as such the prerequisite required by clause 25 to enable ABB to unilaterally alter the fixed shift arrangements set out in the Agreement did not exist.

[6] Conversely, the essence of Mr Murphy’s submissions on behalf of ABB was that production scheduling was “the use of resources and processes required by a business to produce goods or provide services” and that the introduction of the SAB Miller Manufacturing Way constituted a significant change to production scheduling.

[7] Mr Murphy succinctly captured the issue I needed to decide when he said that I need to decide if the SAB Miller Manufacturing Way is a significant change to production scheduling.

[8] Based on the evidence before me, I would describe the SAB Miller Manufacturing Way as an approach which emphasises team work and problem solving at the team level. In terms of maintenance activities at the Fosters site, it would require a greater integration of production and maintenance workers. I would describe the SAB Miller Manufacturing Way as a way of working as opposed to an approach that goes to production scheduling.

[9] As to the term “production scheduling”, I consider the ordinary meaning to be pretty much what the words say - that is how production is scheduled. Looking at the production arrangements at the site through that lens, the evidence shows that production workers are working the same roster as they have for many years and that production levels and the product mix will continue to vary as they also have for many years based on seasonal factors and consumer demand. In other words, nothing has changed other than SAB Miller’s decision to implement its Manufacturing Way.

[10] For all these reasons, I find that there has not been a significant change to production scheduling at the Fosters site. Accordingly, the grounds for ABB to implement rotating rosters under clause 25 of the Agreement do not exist.

[11] Having said that this is an issue that will not go away. The maintenance contract will be retendered by SAB Miller, in fact I understand that process may already be in train, and one would imagine that implementation of the Manufacturing Way would be an important criteria in selecting the maintenance provider. I would encourage the parties to work through the issue if ABB is to be competitive in that tender process.

DEPUTY PRESIDENT

Appearances:

D. Vroland with D. Roach for the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU).

J. Murphy for ABB Australia Pty Ltd.

Hearing details:

2013.

Melbourne:

August 27.

 1   Exhibit M1

Printed by authority of the Commonwealth Government Printer

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