Enermech Pty Ltd

Case

[2015] FWCA 706

29 JANUARY 2015

No judgment structure available for this case.

[2015] FWCA 706
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.210 - Application for approval of a variation of an enterprise agreement

Enermech Pty Ltd
(AG2015/2)

ENERMECH PTY LTD (QLD) CURTIS ISLAND UNION AGREEMENT

Building, metal and civil construction industries

SENIOR DEPUTY PRESIDENT RICHARDS

BRISBANE, 29 JANUARY 2015

Application for variation of the EnerMech Pty Ltd (Qld) Curtis Island Union Agreement.

[1] An application pursuant to s.210 of the Fair Work Act 2009 has been made by Enermech Pty Ltd for the approval of a variation to the agreement formerly known as the Vicon Services (Qld) Curtis Island Agreement (“the Agreement). The variation includes renaming the Agreement to be the EnerMech Pty Ltd (Qld) Curtis Island Union Agreement.

[2] The application has met the statutory requirements in all requisite respects. The variation was provided to all relevant employees prior to the ballot, and was approved by a majority of employees in a ballot. The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union has filed a declaration in support of the variation.

[3] The Agreement is varied as follows:

(a) On the cover page, by deleting the previous Agreement name (Vicon Services (Qld) Curtis Island Agreement) and replacing it with the new Agreement name - EnerMech Pty Ltd (Qld) Curtis Island Union Agreement.

(b) By deleing clause 2 - Title - and replacing it as follows:

    (a) This Agreement will be known as the EnerMech Pty Ltd (Qld) Curtis Island Union Agreement (Agreement).

    This Agreement has been made in accordance with section 172 of the Fair Work Act 2009 (Cth) (Act).

(c) By deleting clause 3 - Parties - and replacing it as follows:

    (a) The Employer party to this Agreement is EnerMech Pty Ltd ABN 32 136 435 062 (Employer).

    (b) Employees of the Employer as defined in subclause 4(a) (Employees).

    (c) The Union parties to this Agreement are:

    (1) the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, ‘known as the Australian Manufacturing Workers’ Union (AMWU); in respect of all sheet metal, mechanical and fabrication tradespersons, non-destructive testing employees and industrial painters;

    (2) the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union (CEPU); in respect of all sprinkler fitting, plumbing, electrical and instrumentation tradespersons, roofing/siding, electrical storepersons and electrical trades assistants; and

    (3) the Australian Workers’ Union (AWU); in respect of all classifications except those occupations and roles listed in subclauses 3(c)(1) and 3(c)(2) above.

    (together Unions and each a Union).

    (d) The Employer, the Employees and the Union parties are collectively the Parties.

(d) By deleting clause 4(a) and replacing it as follows:

    (a) This Agreement binds and will apply to the Employer, the Unions, and the Employees of the Employer party:

    (1) performing on site construction work within the Employer’s scope of work on construction of LNG projects in Queensland (collectively the Projects or individually a Project),

    (2) in any of the work classifications identified in Clause 11.3 in this Agreement.

(e) By adding a new clause 4(b)(2) and amending clause 4(b)(3) as follows:

    (2) “scope of work” is limited to scope of work for the QCLNG Project, the APLNG Project and the GLNG Project, which includes PJET activities and functions, and does not include any other projects or expansions; and

    (3) “Project” includes associated commissioning and pre-commissioning activities within the Employer’s scope of work on a Project.

(f) By deleing clause 4(c)(1), with subsequent renumbering.

(g) In renumbered 4(c)(12), by deleting “Classification Groups” from the end of the subclause.

(h) By adding a new clause 4(e):

    (e) Whilst the Employer may contract work to independent contractors for a variety of reasons, the Employer acknowledges that it is not its intention to use contracting to undermine the terms and conditions of employees under this Agreement.

(i) In clause 6 - Duration of the Agreement, by amending the expiry date to 15 August 2017.

(j) In clause 8.3, by replacing subclauses (c)-(e) with subclauses (c)-(g), as below:

    (c) An employee (other than a casual employee) is required to give their Employer one (1) weeks’ notice if he/she intends to terminate their employment. Subject to the wage guarantee in the Act, Where less than one (1) weeks’ notice is given by the employee, the Employer is entitled to deduct, on a pro rata basis, an amount equivalent to one (1) week’s pay from the employee’s termination payment.

    (d) For a casual employee, either the employee or the Employer will have the right to terminate employment by giving the other party one (1) days’ notice.

    (e) The Employer is entitled to choose to pay notice in lieu. Employment may be terminated by part of the period of notice and part payment in lieu (on a pro rata basis).

    (f) Neither the Employer, nor employee shall provide notice which extends into an R&R week.

    (g) Nothing in this clause will affect the Employer’s rights to summarily dismiss their employee for conduct that justifies summary dismissal.

(k) By deleting clause 8.5 and replacing it as follows:

    (a) The Employer will pay $90.00 per week (pro-rata for part time employees) for each employee (other than a casual employee) engaged under this Agreement for each week of service on the Project(s) into one of the following:

    (1) for electrical and all sprinkler fitting, plumbing, electrical and instrumentation tradespersons, roofing/siding, electrical storepersons and electrical trades assistants - a combination of CIRTQ and Jetco, the CIRTQ related benefits fund (comprising $10 per week to Jetco and the balance to CIRTQ);

    (2) for sheet metal, mechanical and fabrication tradespersons, non-destructive testing employees and industrial painters - ACIRT;

    (3) in the case of crane drives, mobile crane drivers, excavator drivers, forklift drivers, carpenters and painters – ACIRT or a combination of BERT and BEWT, the BERT related benefits fund; and

    (4) in respect of all occupations and roles within the scope of the classification structure, except those listed in subclauses 8.5(a)(1), 8.5(a)(2) and 8.5(a)(3) – ACIRT.

    (b) Where an employee takes an unauthorised absence, the employee will not accrue redundancy entitlements under subclause 8.5(a) above for that day. An employee will accrue at the daily rate of $18.00 for each day worked during the week (limited to Monday - Friday) of the unauthorised absence. The daily rate of accruals will apply to part time employees.

    (c) The weekly amount in subclause 8.5(a) above will be increased to $92.00 on 1 May 2015, and then by $2.00 per year each 1 May, for the duration of the Agreement. The corresponding pro rata amount set out in subclause 8.5(b) above will be increased accordingly.

    (d) The payments under this clause are inclusive of any statutory entitlements an employee may have to severance or redundancy payments.

(l) At clause 9.1(b)(6), by adding the following:

    The Employer shall make clear what are reasonable times to pack-up and/or depart the workface prior to a work break and/or finishing time. Five minutes shall be allowed for wash-up prior to a break and/or finishing time.

(m) By deleting clause 9.2 and replacing it as follows:

    (a) The parties agree that hours of work provisions will be implemented in a suitable and flexible manner. The following measures will be available to achieve the required objectives:

    (1) Unless otherwise provided, the ordinary hours of work for Monday to Friday employees will be an average of 36 hours per week averaged over a 52 week period, and will be worked between the hours of 6:00am and 6:00pm Monday to Friday inclusive.

    (2) Generally, employees (other than shift workers) will work within the above start and finish times. The above start and finish times may be moved by up to one (1) hour either way without penalty, by agreement between the Employer and the directly affected employees, or failing agreement, by the Employer giving one (1) weeks’ notice to the directly affected employees.

    (3) Application of an average of a thirty-six (36) hour ordinary working week may vary from employee to employee or section or sections of employees, from time to time to suit programming requirements of the Project. Provided that no more than eight (8) hours ordinary time per day shall be worked.

    (4) Where the weekend or part of the weekend is included in a shift roster, the time worked shall be counted towards the ordinary hours where so rostered.

    (5) An employee who works so much overtime between the completion of the ordinary hours worked on one day and the commencement of the ordinary hours on the next day that the employee has not had at least ten (10) consecutive hours off duty between those times shall, subject to this subclause, be released after completion of such overtime until the employee has had ten (10) consecutive hours off duty without loss of pay for ordinary working time occurring during such absence.

(n) By renaming clause 9.3 as “Night Shift Work” and replacing it as follows:

    (a) Night shift means any shift commencing after 2:00pm and finishing at or before 7:00am.

    (b) The ordinary hours of night shift work will be an average of thirty-six (36) hours per week, averaged over a fifty-two (52) week period from Monday to Friday inclusive.

    (c) Employee(s) shall be engaged on night shift by agreement with their Employer. Such agreement shall not be unreasonably withheld.

    (d) No rotational night shift work will be undertaken. Once an employee is engaged on night shift work, they will continue to work the regular night shift roster until they return to day work.

    (e) The arrangements for night shift work will be:

    (1) Shift cycles must run for at least five (5) days duration. Where less than five (5) consecutive shifts are worked, the employee is still considered a shift worker, but shall not, for those shifts, be paid the night shift loading in subclause 9.3(f) below and instead shall be paid for each shift, one half time extra for the first two (2) hours and time extra for the remaining hours in addition to the Base Hourly Rate. The consecutive nature of a shift will not be deemed to be broken by any authorised or unauthorised absence or if work is not performed on a Saturday, Sunday, Public Holiday or any RDO.

    (2) Forty-eight (48) hours notice of the commencement of shift work must be provided to affected employee(s), other than in emergencies, or unless otherwise agreed. In the absence of forty-eight (48) hours notice, the Employer shall treat the hours worked as a normal work day and pay for all hours worked at appropriate penalty rates, until such time the forty eight (48) hours since the request to commence shift work has lapsed.

    (3) If an employee works less than five (5) consecutive shifts, they will not be entitled to the higher rates of pay under clause 9.3(e)(1) if they are also entitled to overtime under clause 12.4(e).

    (f) Night Shift Penalties

    (1) All night shifts worked between Monday and Friday shall attract a flat shift loading of 30% of the employee’s Base Hourly Rate, for all hours that the employee is engaged on those
    shifts.

    (2) All night shifts worked between midnight Friday and midnight on Saturday shall attract a flat shift loading of 50% of the employee’s Base Hourly Rate, for all hours that the employee is engaged on those shifts.

    (3) All night shifts worked between midnight Saturday and midnight on Sunday shall attract a flat shift loading of 100% of the employee’s Base Hourly Rate, for all hours that the employee is engaged on those shifts.

    (4) The flat night shift loading is calculated as a percentage of the employee’s Base Hourly Rate and is not compounded by any overtime rates or other allowances.

    (g) Majority Hours

    (1) For the purpose of clarifying subclause 9.3(f), where the majority of ordinary hours of the shift fall on a particular day, this determines the shift penalty payment that applies to that particular shift. By way of example, a ten (10) hour nightshift, commencing at 6:00pm on Friday and finishing at 4:00am on Saturday would be deemed to be a ‘Friday shift’.

    (2) If a shift has exactly the same amount of ordinary hours across two days, then the shift penalty payment that applies to the first of the two days will apply to that particular shift. By way of example, an eight (8) hour night shift commencing at 8:00pm on Friday and finishing at 4:00am on a Saturday would be deemed to be a “Friday shift”.

(o) By adding a new clause 9.4 (with subsequent renumbering):

9.4 Examples of Operation of Hours of Work

(a) Ordinary Work Day

Monday

Tuesday

Wednesday

Thursday

Friday

Saturday

Sunday

Ordinary

8

8

8

8

8

-

-

Time + ½

2

2

2

2

2

2

-

2 x Time

-

-

-

-

-

8

10

(b) Night Shift Work

Monday

Tuesday

Wednesday

Thursday

Friday

Saturday

Sunday

Ordinary

8

8

8

8

8

-

-

Night Shift Penalty

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

-

-

2 X Time

2

2

2

2

2

10

10

Night Shift Penalty

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+30% of Ord T rate for each hour worked

+50% of Ord T rate for each hour worked

+100% of Ord T rate for each hour worked

(p) In (renumbered) clause 9.5, by adding a new subclause (d):

    (d) In recognition of Union concerns about work cycles, the Employer commits to move to a 3-1 work cycle for non-local employees in the second half of the fourth year of the term of this Agreement. The Employer also commits to meeting with the Unions in the first half of the fourth year of the term of this Agreement to discuss appropriate work cycles for local employees and to establish mechanisms to convert to a 3-1 work cycle for non-local employees.

(q) At renumbered clause 9.6 - Rostered Day Off (RDO), at the end of (a)(1), by adding the below:

    in accordance with the four (4) week roster cycle in which the employee is assigned; or

(r) At clause 9.6, by adding the below at the end of subclause (b):

    Subject to a minimum of one (1) weeks’ prior approval by the Employer, and subject to operational requirements, a non-local employee may take a singular RDO within the four (4) week roster cycle for private business. This provision is intended to be used for the ‘one off’ requirements of the employee as opposed to enabling regular absences from the project.

(s) At clause 10.2, by adding a new subclause (b):

    (b) Where the Project staffing levels and the circumstances of the individual Project can accommodate the cessation of motelling (also known as “book in book out”) on a sustainable basis, the practice will cease. Each Project is expected to reach this cessation point at a different time, specifically the APLNG Project during first quarter 2015, the GLNG Project during first quarter 2015 and the QCLNG Project during fourth quarter 2014.

(t) At the end of clause 10.4, by adding the below:

    Where applicable, the terms set out in subclauses 10.5(g) and 10.5(h) will apply.

(u) At clause 10.5, by replacing (e)-(h) with (e)-(k) as below:

    (e) Travel for R&R shall commence on the last working day of the employee’s work roster (or the day preceding the actual R&R leave period), with normal work on site continuing for four hours. Payment for four hours at the employee’s base hourly rate as defined in sub-clause 11.1(a) will apply in addition to the time worked in order to compensate employees for readying themselves for their R&R travel.
    To avoid confusion, such payment will be paid and counted as time worked and paid as ordinary time should the last working day or shift of the employee’s work roster be a day or shift that falls (or is deemed to fall) between Monday to Friday. The payment will not be counted as time worked and shall be paid at ordinary time should the last working day or shift of an employees work roster be a weekend day or shift.

    (f) As clarification, the default position is that all non-local employees will work four (4) hours on the last working day of the employee’s work roster, and will travel on Project supplied charter flights where they are provided.

    (g) In the event that an employee using the charter flight reaches their final interstate High Capacity Airport (or an airport midway through their journey), at or after 10pm (Queensland time) on the last day after working four (4) hours, they will have the option of being provided with overnight accommodation. Also, on a case by case basis (and as approved by the Site Manager for the Project) accommodation may be provided where there is a significant journey for the employee to drive after reaching the final High Capacity Airport.

    (h) Notwithstanding subclause 10.5(g) above, an employee using the charter flight who would reach their final interstate High Capacity Airport (or an airport midway through their journey), at or after 9pm and in the normal course of events would not arrive at their usual place of residence until after 10pm (Queensland time) on the last working day, after they have worked the four (4) hour, will be able to either utilise subclause 10.5(g) above, or alternatively will have the option of:

      (1) Reporting to work on the last day, but leaving before the full four (4) hours work have been completed;
      (2) Catching an earlier commercial flight; and
      (3) Taking authorised leave without pay for those hours not worked.

    (i) Air travel returning the employee to the Project will be taken to return the employee no later than the last day of the employee’s R&R leave to ensure the employee is able to recommence work activities at their normal start time on the first day of their roster cycle.

    (j) Employees on an R&R roster cycle will be entitled to the following travel payments in lieu of any compensation for travelling time or associated costs related to R&R travel:

      (1) For employees engaged from locations in Queensland - 4 hours (paid at the employee’s Base Hourly Rate as per sub-clause 12.1(a) for return trip).
      (2) For employees engaged from interstate - 8 hours (paid at the employee’s Base Hourly Rate as per sub-clause 12.1 (a) for return trip).

    (k) The employee’s entitlement to R&R travel payments shall be subject to the employee being available to commence work on the first working day immediately following the period of R&R and making themselves available to work on each day of the previous cycle, other than approved leave. Subject to this provision payment shall be made in the first pay period after the employee returns from R&R.

(v) At clause 11.3(a) - Classification Groups - Apprentices, by adding an additional row and note to the table as below:

5*

95

95

95

    *Where a 5th year dual tradesperson apprentice has completed their 4th year apprenticeship, and holds a current electrical license, the employee will be paid 100% of Group A.

(w) At clause 11.3(b) - Classification Groups - Adult Apprentices, by replacing the text as below:

    An adult apprentice is defined as a person who is 21 years of age or older at the time of entering an apprenticeship.

    (1) Existing Employees
    Existing employees of the Employer who are offered an adult apprenticeship will maintain their current base hourly rate of pay (not inclusive of allowances) in accordance with their existing classification or will be paid in accordance with the adult apprenticeship table below as per their designated equivalent year of apprenticeship whichever is the greater.

    (2) New Employees
    New employees of the Employer who are employed as adult apprentices will be paid in accordance with the adult apprentice payment table below as per their designated equivalent year of apprenticeship.

    Adult Apprentice Payment Table

    Equivalent Year

    Percentage of Group A

    1

    80%

    2

    85%

    3

    90%

    4

    95%

(x) In clause 11.3(c) - Classification Groups - Classification Groups, in Group C, by adding “chainperson (more than 6 months experience)” and amending “pipe and conduit laying” to “pipe laying”.

(y) In clause 12.1, by amending (a) as follows:

    (a) The Weekly All Purpose Wages and Base Hourly Wage Rates are set out in the table below (as of 1 November 2014):

    Group

    Weekly All Purpose Wage
    (36 hours x Base Hourly Rate)

    Base Hourly Rate

    $ per week

    $ per hour

    A

    $1,685.79

    $46.83

    B

    $1,652.93

    $45.91

    C

    $1,620.10

    $45.00

    D

    $1,587.90

    $44.11

    E

    $1,517.21

    $42.14

(z) By replacing clause 12.2 as follows:

    (a) The following allowances are paid, in addition to the Base Hourly Rate set out in sub-clause 12.1(a) above, where applicable. For the purposes of this clause the following applies:

      (1) Flat Allowance: An allowance that is paid as a separate stand alone payment to the Base Hourly Rate and does not form part of either of these rates for the purposes of calculating overtime penalties or paid leave.
      (2) All Purpose Allowance: An allowance that is added to the Base Hourly Rate and applies for the purposes ofcalculating overtime or paid leave (including Rostered Days Off, Public Holidays, Annual Leave, Personal Leave and Compassionate Leave).

    (b) All Purpose Allowances do not apply to calculation of Shift Penalties, Mobilisation / Demobilisation and R&R travel payments.

    (c) The weekly and/or hourly all purpose allowances are set out in the table below (as of 1 November 2014):

    All Purpose Allowances

    Weekly

    Hourly

    (36 x hourly allowance)

    Leading Hand (as defined)

    (i) 1-9 employees

    $76.88

    $2.14

    (ii) 10-19 employees

    $114.80

    $3.19

    (iii) 20 or more employees

    $153.75

    $4.27

    Rigger, Dogger, Scaffolders holding and using licenses issued pursuant to the relevant Act and I or Regulations

    $38.93

    $1.08

    Tradesperson tool allowance

    $44.00

    $1.22

    Tradesperson allowance*

    $89.91

    $2.50

    Plumbing and / or Electrical licence

    $58.36

    $1.62

    Crane Operation - Lofty or Tower Crane

    $87.51

    $2.43

    Mobile Crane

    ii) up to 80t

    $19.44

    $0.54

    iii) over 80t and up to 120t

    $68.13

    $1.89

    iii) over 120t and up to 300t

    $77.80

    $2.16

    iv) over 300t and up to 500t

    $87.54

    $2.43

    v) over 500t

    $94.89

    $2.64

    Qualification payments (Refer to Appendix 1 - Definitions)

    i) Welder Tested**

    $38.93

    $1.08

    ii) Welder - Special Class**

    $68.13

    $1.89

    iii) Welder - Special Class Exotic Materials**

    $119.24

    $3.31

    iv) Instrumentation Tradesperson

    $38.93

    $1.08

    v) Instrumentation Tradesperson - Complex Systems

    $68.13

    $1.89

    vi) Electrical / Mechanical Tradesperson Special Class

    $68.13

    $1.89

    vii) Control Systems Tradesperson ***

    $68.13

    $1.89

    viii) Instrumentation and Control Tradesperson****

    $175.09

    $4.86

    ix) Electronics Tradesperson ****

    $175.09

    $4.86

    * All licensed tradespeople are required to maintain tradesperson licenses / certificates applicable to their trade. The employee is required to provide a copy of applicable licenses / certificates to the Employer upon renewal.
    ** Welding allowances are not cumulative
    *** The Control Systems Tradesperson Allowance will be paid to all Licensed Electricians
    **** The Instrumentation and Control Tradesperson and the Electronic Tradesperson allowances are in lieu of all other electrical allowances except for the electrical licence allowance

    (d) The weekly and/or daily flat allowances are set out in the table below:

    Flat Allowances

    Daily

    Travel:

    $50.00 per day

    * Increases to $55.00 per day as of 1 November 2016

    A flat daily travel allowance will be paid to each employee, for each day the employee reports for work and works as directed by their Employer.

    The Travel Allowance includes reimbursement for all costs, expense and inconvenience incurred with any travel to and from the Project, and to and from the workplace for the crew pre-start meeting.

    Ferry Allowance:

    $35.00 per day

    A flat daily ferry allowance will be paid to each employee for inconvenience incurred (including unforeseen delays) associated with ferry travel for each day the employees reports for work and works as directed by the Employer.

    In the event of road access to the Project replacing the need for ferry travel, such payment will cease and all travel will be compensated as per the travel allowance as stated above.

    The above allowance is only payable to employees requiring daily travel, by ferry, to and from the Project site. It is not payable to employees such as non-local employees who may utilise the ferry service for R&R, mobilisation/demobilisation and other related purposes.

    Curtis Island “Island Living” Allowance

    A flat daily allowance will be paid to each employee required to reside in one of the Curtis Island construction camps on the island. (Not applicable to those employees who reside in mainland camps who are in receipt of the ferry allowance).

    This will be paid for each day the employee resides in the construction camp and reports to work as rostered and works as directed. It is not payable for non work days.

    This allowance is paid in recognition of the uniqueness of the Curtis Island Project.

    $10.00 per day

    Curtis Island LNG Project Productivity Payment

    A flat daily allowance will be paid to each employee (local or non-local) who reports to work and works as directed. It is not payable for non work days.

    This payment does not apply for periods of authorised or unauthorised leave including, but not limited to, R&R, annual, long service, personal leave, workers’ compensations and any form of industrial action.

    The payment is made for the commitment of the employee to the achievement of optimum productivity, continuous work, complying with timekeeping requirements and performing duties within the employee’s assigned classification group as per clause 10 on the Curtis Island Projects.

    $30.00 per day

    Meal Allowance:

    $10.20

    An employee shall receive a $10.20 meal allowance where the employee works two (2) hours or more overtime after the ordinary ceasing time, Monday to Friday.

    In the circumstances where an employee is required to work more than 8 hours overtime on either a Saturday or Sunday, a meal will be provided or a payment of $10.20 meal allowance in lieu will be made.

    This provision shall not apply to employees who are in receipt of board and lodging or to employees who are supplied with meals.

    Flat Allowances

    Weekly

    First Aid:

    $19.30

    An employee appointed by the Employer to be a first aid attendant will be paid a flat First Aid payment per week

(aa) In clause 12.4, by adding a new subclause (g):

    (g) The Employer may withdraw overtime on a Project due to operational reasons. To effect this cancellation, the Employer shall post a signed notice on a designated notice board (or boards) no later than 1.30pm the day prior to the impacted overtime shift.

(ab) At clause 13 - Superannuation, by deleting the text and replacing as follows:

    (a) The Employer will make the appropriate contributions as required by the Superannuation Guarantee Act 1991 (Cth) (as amended or replaced from time to time) (SG Act) into a complying superannuation fund. Australian Super, Energy Super, BUSQ and CBUS state that they are complying superannuation funds.

    (b) The Employers contributions will be as per the relevant superannuation guarantee percentage at the time under the SG Act, of ordinary time earnings (currently 9.50% of Ordinary Time Earnings) or $180.00 per week (to weekly employees) whichever is greater.

    (c) The level of minimum Employer contribution, as detailed in subclause 13(b) on behalf of each employee shall only be adjusted as follows:
    $185.00 per week – from 1 May 2016

    (d) Superannuation contributions will be made to a default fund determined by the Employer.

(ac) At clause 14.3, by adding a new subclause (b):

    (b) Where clause 14.3 applies, clause 14.1 will not apply.

(ad) At clause 15.1(b), by replacing the table with the below:

Date

% increase

1 May 2015

2.5%

1 November 2015

2.5%

1 May 2016

2.5%

1 November 2016

2.5%

1 May 2017

2.5%

(ae) By amending clause 16.1(a) as follows:

    (a) Employees (other than casual employees or part time employees) will be entitled to paid annual leave at the rate of 144 hours per annum, (which is equivalent to 20 days at 7.2 nominal hours or four (4) ordinary weeks per annum) at the employee’s Base Hourly Rate.

(af) At clause 16.2, by replacing (h) with (h)-(i), with subsequent renumbering:

    (h) Where an employee has taken two (2) or more consecutive days personal leave in any one calendar year, the employee must provide a medical certificate from a registered health practitioner, or if that is not reasonably practical, a statutory declaration on each occasion of an absence for any duration thereafter for that year.

    (i) An employee may take up to two (2) single days per calendar year as personal leave without a requirement to provide a medical certificate from a registered health practitioner, or if that is not reasonably practical, a statutory declaration. Thereafter, such an employee must provide a medical certificate or a declaration in respect of each absence on personal leave for the remainder of that year.
    In either circumstance, the certificate or the declaration must state the likely duration of the employee’s absence and the reason for the absence.

(ag) At subclause 16.4(a), by deleting “May day” and adding “Labour day”.

(ah) At subclause 16.4(c), by adding the following:

    If a public holiday falls during an employee’s R&R, and the employee would be normally rostered to work hours on that day, then the employee will be paid their Base Hourly Rate for the ordinary hours they would normally have worked on that day.

(ai) By adding a new clause 17 as below:

    17. Equitable Treatment Process

    17.1 Objective of the Equitable Treatment Process
    The Equitable Treatment Process is an interactive process to deal with concerns in respect of an employee’s performance, and/or behaviour. The supervisor is responsible to initiate any action under this process. All formal counselling shall be documented.

    17.2 Steps in the Equitable Treatment Process
    (a) The employee concerned shall receive formal counselling from the supervisor.
    (b) If the concern continues, the employee shall be counselled by a more senior manager. The employee shall be formally warned, in writing, of the impact of continuing with the unsatisfactory performance and/or behaviour and this may include an indication that the employee’s job is at risk.
    (c) If the concern continues and the employee does not respond to a formal warning of possible dismissal, employment may be terminated.
    (d) At levels 17.2(a) to 17.2(c) inclusive of the above, the employee may choose to have their appointed union delegate under the terms of this Agreement in attendance.
    (e) In counselling set out in levels 17.2(a) to 17.2(c) inclusive, the employee shall be advised of:

      (1) The performance and/or behaviour deemed to be unsatisfactory;
      (2) The action to take to correct the problem;
      (3) The consequences of the unsatisfactory performance and/or behaviour continuing.

    (f) The above steps do not need to be progressed separately for each separate performance and/or behaviour concerned, but may be progresses based on distinct and/or cumulative performance and/or behaviour concerns.
    (g) In circumstances involving serious misconduct, immediate termination of employment may occur without the above steps.
    (h) Similarly, where more serious cases of unsatisfactory performance and/or behaviour warrant, the above steps may be condensed and the Employer may progress directly to formal counselling by a more senior manager and/or formal warning.
    (i) The Parties acknowledge that nothing within this clause 17.2 shall prevent and/or limit the Employer from having informal discussions about performance and/or conduct of an employee, with that employee.

(aj) By renumbering clause 17 (Dispute Resolution Process) as clause 18, and replacing the text as follows:

    18.1 Objective of the Dispute Resolution Process
    (a) The objective of this procedure is to:
    (1) Avoid disputes or grievances; and
    (2) Provide prompt resolution of issues of concern.

    18.2 Steps in the Dispute Resolution Process

    (a) Any disagreement or dispute about the application or operation of this Agreement or the National Employment Standards (in accordance with the Act) will be dealt with as follows:

      (1) The employee concerned shall raise the matter with the appropriate supervisor for resolution.
      (2) If not resolved, the employee will raise the matter with the superintendent of the Employer for resolution.
      (3) If the matter remains unresolved, either the employee or their superintendent is entitled to request a formal meeting with the Employer’s Project Superintendent (as nominated by the Employer for this purpose).
      (4) If the matter still remains unresolved, the matter may be raised by either party with the next level of management nominated by the Employer.
      (5) If still not resolved, the dispute may be referred to the Fair Work Commission for conciliation by the Employer, one or more employee covered by the Agreement, or one or more of the Unions named in subclause 3(c).
      (6) If still not resolved, the Assistant State/District Secretary of each Union involved in the dispute which has representational rights in respect of the relevant employee(s), and the Employer counterpart nominated by the Employer may review the dispute, and subject to that review the dispute may be referred to the Fair Work Commission (FWC) for arbitration by either party to the dispute.
      (7) Any employee shall be entitled to invoke the Dispute Resolution Procedure to resolve a dispute between the Employer and the employee on a Project. Once the Dispute Resolution Procedure has been invoked by the employee, both the employee and the Employer shall attempt in good faith to resolve the issue by utilising the above steps, as required until resolution is reached. In the event that the issue is not resolved, it will be referred to the FWC for resolution, as set out in 18.2(a)(5).
      (8) While the above process is being pursued, work shall continue as normal. Failure to work within the process described in this subclause and/or failure of any employee to continue work as normal shall constitute a breach of this Agreement by the employee(s) involved.
      (9) It is the intention of the Parties that at levels 18.2(a)(1) and (2), each step in the process will be completed within two (2) days.
      (10) Furthermore it is the intention of the Parties that at levels subclause 18.2(a)(3) and (4), each step in the process be completed within three (3) days.

    (b) At levels 18.2(a)(1) and 18.2(a)(4) inclusive of the above, the employee may have their appointed union delegate who is entitled to represent the industrial interests of the employee under the terms of this Agreement in attendance.

    (c) At all levels of the dispute resolution process, an employee or employees covered by this Agreement involved in the dispute may nominate a representative of their choosing.

(ak) By deleting clauses 18 - Flexibility and 19 - Consultation.

(al) By inserting new clause 19 - Income Protection, as follows:

    (a) The Employer will take out income protection insurance for any period of absence on leave without pay for illness, accident or injury of an employee covered by this Agreement, while it remains available, with an approved insurer such as:
    (1) ESP or Australian Income Protection Pty Ltd - for sprinkler fitting, plumbing, electrical and instrumentation tradesperson, roofing/siding, electrical storepersons and electrical trade assistants who are members of Energy Super.
    (2) Wage Guard – for sheet metal, mechanical and fabrication tradespersons, non-destructive testing employees and industrial painters; or
    (3) Chifley, or Construction Income Protection Queensland - in respect of all classifications within the scope of the classification structure except those occupations and roles listed above in subclauses 19(a)(1) and 19(a)(2).
    provided the cost of each such policy is no more than 1.6% (inclusive of GST and stamp duty) of an employee’s gross earnings, increasing to 1.8% (inclusive of GST and stamp duty) of an employee’s gross earnings on 1 May 2015.

(am) By inserting new clause 20 - Personal Protective Equipment, as follows:

    (a) The Employer will issue, the following to their employees engaged on a Project:
    (1) four (4) pairs of standard work issue denim jeans or cotton drill pants and six (6) standard issue long sleeved shirts or, six (6) pairs of overalls in lieu of shirts and jeans
    (2) one (1) pair of standard approved issue safety footwear
    (3) one (1) hard hat approved issue
    (4) one (1) pair of approved issue safety glasses or if required, prescription safety glasses (transitional lenses)
    (5) Employees (other than casuals) who are engaged on the Site between 1 May and 31 August in any year shall be entitled to a one-off issue of a good quality cotton work jacket.

    (b) It is a requirement that personal protective equipment issue be worn at all times where required on site.

    (c) It may be a requirement to wear mono-goggles in areas affected by operational activities (these will be clearly sign marked). This will be a Project condition of employment.

    (d) Re-issue will be on the basis of fair wear and tear provided the item is produced for replacement.

    (e) An employee who resigns or is dismissed for misconduct within three (3) months of receiving the issue may have the cost withheld from their final pay.

(an) By inserting new clause 21 - Stand Down, as follows:

    The Employer is entitled to deduct payment for any day the employee cannot be usefully employed because of any industrial action (including a strike) or any breakdown in machinery or any stoppage of work by any cause which ceases operation for which the Employer cannot be reasonably held responsible, as long as the Employer has no alternative work available.

(ao) By inserting new clause 22 - Consultation, as follows:

    (a) The Employer shall consult with the affected employees about major workplace changes that are likely to have a significant effect on the employees, or a change to their regular roster or ordinary hours of work.

    (b) An employee may be represented for the process set out in this Clause 22, if they choose.

    (c) Normal and customary incidences associated with the construction industry and construction projects are not considered major workplace changes. Such incidences include:
    (1) the downsizing of labour resources due to program requirements; or
    (2) the completion, or partial completion, of any construction work covered by this Agreement.

    (d) If a term in this Agreement provides for a major change to production, program, organisation, structure or technology, the requirements set out in this Clause 22 shall not apply.

    (e) For a change to the employees’ regular roster or ordinary hours of work, the Employer must:
    (1) provide information to the employees about the change, subject to the Employer not being required to disclose confidential or commercially sensitive information; and
    (2) invite the employees to give their views about the impact of the change (including any impact in relation to their family or caring responsibilities); and
    (3) consider any views given by the employees about the impact of the change.

(ap) By inserting new clause 23 - Flexibility, as follows:

    (a) The provisions of the Agreement that the Employer and employee may agree to vary under an Individual Flexibility Arrangement (IFA) are limited to those matters concerning arrangements for:
    (1) long service leave; and
    (2) parental leave.

    (b) All other requirements for an IFA are as per Regulation 2.08 and Schedule 2.2 of the Fair Work Regulations 2009, and must be complied with.

(aq) By inserting new clause 24 - Temporary Foreign Labour, as follows:

    (a) The Parties to the Agreement recognise that there may be a requirement to engage Temporary Foreign Labour to supplement the Australian workforce after extensive sourcing and recruitment efforts demonstrates that there still remains insufficient suitable Australian workers available to do the work.

    (b) For the purposes of this clause “Temporary Foreign Labour” shall mean any person who requires a temporary visa to live and work within Australia whilst engaged in the classifications listed in this Agreement.

    (c) Where the Employer is required to engage such labour, the Employer shall ensure:

      (1) that all temporary foreign labour employed will continue to be employed in accordance with the work entitlements of their visas;
      (2) the employee receives the same wages as per this Agreement;
      (3) wages will be direct credited to the employee’s Australian bank account;
      (4) recruitment is undertaken pursuant to the Project Recruitment Process, inclusive of:

        (i) medical examinations (both for employment and immigration) at no cost to the employee;
        (ii) detailed letter of offer;
        (iii) pre-employment verification of qualification, English competency and competency testing to verify skill and capability is to Australian standard; and

      (5) the employee incurs no upfront costs or costs on an ongoing basis as a result of recruitment.

(ar) By inserting a new clause 25 - Delegates - as follows:

    25.1 Appointed Union Delegates
    (a) The Employer will recognise duly elected employee representative(s) (delegates) of the Unions named in subclause 3(c), as advised in writing by the relevant union, that verifies the Union is satisfied that a proper election has been conducted by the employees of the Employer whom the Union can represent, and that the delegate is a person who can represent the industrial interest of the employees of the Employer.
    (b) The delegate will only be recognised for the purpose of representing employees of the Employer within that Union’s coverage.
    (c) The Employer will, where requested, provide delegates with reasonable access to facilities including phone, facsimile, computer / printer, photocopier.

    24.2 Delegates Training
    (a) The Parties to this Agreement recognise the value of enabling recognised delegates to attend formal courses that promote the practice of sound industrial relations and which will assist the delegate to resolve issues in accordance with the Disputes Resolution Process set out in clause 17 of this Agreement.
    (b) Application to the Employer to release the employee must be in writing and be provided with no less than 14 days’ notice of the proposed training.
    (c) The granting of leave pursuant to this clause will be subject to the Employer being able to make adequate staffing arrangements during the period of leave.
    (d) Employees on leave approved in accordance with this clause, will be paid without loss of earnings (excluding shift penalties) for rostered time hours.
    (e) All expenses (such as travel, accommodation and meals) associated with or incurred by the employee attending the training course as provided will be the responsibility of the employee.

(as) In Appendix 3 - Inclement Weather, by replacing (b)(1)(i) as follows:

    (i) When work (including wet weather activities) ceases or cannot commence because of inclement weather, employees shall continue to be paid in accordance with this Agreement but must remain at their Project site until released. After four ordinary hours, if information indicates the inclement weather will continue, the Employer may release employees for the remainder of the day. In this situation, employees shall be paid for the eight (8) ordinary hours normally worked for the day.

(at) In Appendix 3 - Inclement Weather, by replacing (b)(2)(i) as follows:

    (i) When work ceases or cannot commence because of inclement weather, employees shall continue to be paid in accordance with this Agreement. Employees shall be paid at the appropriate rate for the hours they are required to remain at the Project with a minimum payment of four (4) hours.

(au) In Appendix 3 - Inclement Weather, by replacing (b)(3)(iii) as follows:

    (iii) To effect this cancellation the Employer shall post a signed notice on a designated notice board (or boards) no later than 1.30pm the afternoon prior. It is the employee’s responsibility to check this board (or boards) for such a notice.

(av) By replacing Appendix 4 - Rates and allowances, as follows:

    (a) Weekly All Purpose Wage

    Level

    From

    01/05/14

    From

    01/11/14

    From

    01/05/15

    From

    01/11/15

    From

    01/05/16

    From

    01/11/16

    From

    01/05/17

    A

    $1,644.67

    $1,685.79

    $1,727.93

    $1,771.13

    $1,815.41

    $1,860.79

    $1,907.31

    B

    $1,612.61

    $1,652.93

    $1,694.25

    $1,736.60

    $1,780.02

    $1,824.52

    $1,870.13

    C

    $1,580.59

    $1,620.10

    $1,660.61

    $1,702.12

    $1,744.68

    $1,788.29

    $1,833.00

    D

    $1,549.17

    $1,587.90

    $1,627.60

    $1,668.29

    $1,709.99

    $1,752.74

    $1,796.56

    E

    $1,480.20

    $1,517.21

    $1,555.14

    $1,594.01

    $1,633.86

    $1,674.71

    $1,716.58

    (b) Weekly All Purpose Allowances

    Allowance

    From 01/05/14
    $ per
    week

    From 01/11/14
    $ per
    week

    From 01/05/15
    $ per
    week

    From 01/11/15
    $ per
    week

    From 01/05/16
    $ per
    week

    From 01/11/16
    $ per
    week

    From 01/05/17
    $ per
    week

    Leading Hand

    (i) 1 to 9 employees

    $47.49

    $76.88

    $78.80

    $80.77

    $82.79

    $84.86

    $86.98

    (ii) 10 to 19 employees

    $71.20

    $114.80

    $117.67

    $120.61

    $123.63

    $126.72

    $129.89

    (iii) 20 or more employees

    $94.91

    $153.75

    $157.59

    $161.53

    $165.57

    $169.71

    $173.95

    Licensed Riggers, Dogmen and
    Scaffolders

    $37.98

    $38.93

    $39.90

    $40.90

    $41.92

    $42.97

    $44.05

    Tradespersons Tool Allowance

    $42.93

    $44.00

    $45.10

    $46.23

    $47.39

    $48.57

    $49.79

    Tradespersons Allowance

    $87.72

    $89.91

    $92.16

    $94.46

    $96.83

    $99.25

    $101.73

    Plumbing and/or Electrical Licence

    $56.94

    $58.36

    $59.82

    $61.32

    $62.85

    $64.42

    $66.03

    Loft or Tower Crane

    $85.38

    $87.51

    $89.70

    $91.94

    $94.24

    $96.60

    $99.01

Mobile Crane

(i) Up to 80t

$18.97

$19.44

$19.93

$20.43

$20.94

$21.46

$22.00

(ii) Over 80 and up to 120t

$66.47

$68.13

$69.84

$71.58

$73.37

$75.20

$77.08

(iii) Over 120 and up to 300t

$75.90

$77.80

$79.74

$81.74

$8378

$85.87

$88.02

(iv) Over 300t

$85.40

$87.54

$89.72

$91.97

$94.27

$96.62

$99.04

(v) Over 500t

$92.58

$94.89

$97.27

$99.70

$102.19

$104.75

$107.36

(i) Welder—Tested

$37.98

$38.93

$39.90

$40.90

$41.92

$42.97

$44.05

(ii) Welder — Special Class

$66.47

$68.13

$69.84

$71.58

$73.37

$75.20

$77.08

(iii) Welder—Special Class Exotic Materials

$116.33

$119.24

$122.22

$125.27

$128.41

$131.62

$134.91

(iv) Instrumentation Tradesperson

$37.98

$38.93

$39.90

$40.90

$41.92

$42.97

$44.05

(v) Instrumentation
Tradesperson—Complex
Systems

$66.47

$68.13

$69.84

$71.58

$73.37

$75.20

$77.08

(vi) Electrical/Mechanical
Tradesperson Special
Class

$66.47

$68.13

$69.84

$71.58

$73.37

$75.20

$77.08

(vii) Control Systems Tradesperson

$66.47

$68.13

$69.84

$71.58

$73.37

$75.20

$77.08

(viii) Instrumentation and Control Tradesperson

$170.82

$175.09

$179.47

$183.95

$188.55

$193.27

$198.10

(ix) Electronics Tradesperson

$170.82

$175.09

$179.47

$183.95

$188.55

$193.27

$198.10

    (c) Weekly Flat Allowances

    Allowance

    From 01/05/14
    $ per
    week

    From 01/11/14
    $ per
    week

    From 01/05/15
    $ per
    week

    From 01/11/15
    $ per
    week

    From 01/05/16
    $ per
    week

    From 01/11/16
    $ per
    week

    From 01/05/17
    $ per
    week

    First Aid Attendant

    $19.30

    $19.78

    $20.28

    $20.78

    $21.30

    $21.84

    $22.38

[4] The variation is approved and will come into operation on 29 January 2015.

[5] A consolidated copy of the Agreement is attached to this decision.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<Price code G, AE402943  PR560530>

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