The Australian Workers' Union v Alcoa of Australia Limited T/A Alcoa World Alumina Australia

[2014] FWC 2662

[2014] FWC 2662

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.739—Dispute resolution

The Australian Workers’ Union
v
Alcoa of Australia Limited T/A Alcoa World Alumina Australia
(C2013/1213)

Aluminium industry
COMMISSIONER WILLIAMS	PERTH, 9 MAY 2014

Alleged dispute about any matters arising under the enterprise agreement and the NES.

[1] This decision concerns an application made by The Australian Workers’ Union (the AWU) under s.739 of the Fair Work Act 2009. The respondent is Alcoa of Australia Limited trading as Alcoa World Alumina Australia (Alcoa).

[2] The application made is in regard to a dispute raised by the AWU under clause 18 Dispute Resolution Procedure of The Alcoa World Alumina Australia Pinjarra Refinery AWU Enterprise Agreement 2011 1 (the Agreement).

[3] There is no dispute between the parties that the Fair Work Commission (the Commission) does have jurisdiction to determine this matter and I am satisfied that this is the case.

[4] The dispute between the parties is whether Alcoa is able to require particular employees to carry out a particular disputed task.

Background

[5] The relevant employees (Residue Process Employees) are engaged in production activities within the Residue Area at Alcoa’s Pinjarra Alumina Refinery.

[6] The AWU asserts that this dispute relates only to employees within Residue Area (OC10) engaged under Job Description 4 – Process Controller (Residue) of Appendix 4 – Job Descriptions of the Agreement. However Alcoa asserts that this dispute also relates to employees within Residue Area (OC10) engaged under Job Description 5 – Process Operator of Appendix 4 – Job Descriptions of the Agreement.

[7] For the sake of certainty I will determine whether Residue Process Employees engaged under either Job Description 4 – Process Controller (Residue) or Job Description 5 – Process Operator can be required to carry out the disputed task of updating the first of four Daily Visual Management Boards (DVM Boards).

[8] In doing so I note the submissions of the AWU 2 regarding which job description they argue applies to the work in the residue disposal area and employees doing that work and note that I am not making any determination on that matter.

The relevant facts

[9] Residue Process Employees work without direct supervision by a Group Leader and must be capable of undertaking each of the tasks to be performed in the three operational areas that exist within Residue. Those areas are the:

a. Sand Plant,

b. Super Thickener, and

c. Lakes.

[10] Three Residue Process Employees are rostered to work each shift. Each of the three Residue Process Employees are allocated to an area as listed above.

[11] One Residue Process Employee is allocated to the Sand Plant which is a control room controlling the initial processing of the refineries waste product after it arrives at Residue. That employee operates a computerised control room and also undertakes various manual tasks and completes an electronic log of the days’ activities in an INFOLINK Spreadsheet.

[12] One Residue Process Employee is allocated to the Super Thickener which is a control room controlling the secondary processing of the waste, ready for distribution into the pans. That employee operates a computerised control room and also undertakes various manual tasks and completes an electronic log of the days’ activities in an INFOLINK Spreadsheet.

[13] The final Residue Process Employee on the team is allocated to the Lakes. Whilst many of the duties of this employee involve various required tasks outside, the employee will often be based at the Sand Plant in order to monitor and record various readings which they are responsible for. This employee also completes an electronic log of the days’ activities in an INFOLINK Spreadsheet and an Environmental Checklist.

[14] Residue Process Employees in each role complete a Daily Routines Check Sheet and complete the Routines Board to record tasks undertaken and tasks outstanding for each shift. The Residue Process Employees were completing Daily Routines Check Sheets and the Daily Routines Board prior to the implementation of the Daily Visual Management System (DVM System).

[15] Following the implementation of the DVM System, in or about 2008 or 2009, the Daily Routines Check Sheets and Daily Routines Board became part of the broader DVM System. The DVM System involves the recording of information on four DVM Boards located in the Residue Administration Building.

The requirement to undertake the disputed task

[16] Alcoa recently instructed that a Residue Process Employee must update the first of four DVM Boards with particular process readings information from the ABS Worksheet prior to the end of each shift. Immediately prior to the issuance of the instruction, Management were printing out an update and updating the first DVM Board. However, the Residue Process Employees updated the first DVM Board on an ad hoc basis when requested by Management.

[17] Where the process readings information on the first DVM Board indicates an issue requiring attention, group leaders, engineers and/or maintenance employees may be required to remedy those issues.

[18] Residue Process Employees, as part of their daily work, access INFOLINK, which is a spreadsheet containing links to all of the computer programs which the operators access to perform their job plus other links and information which are not relevant to the role of Residue Process Employees.

What is involved in undertaking the disputed task?

[19] The parties agree that undertaking the disputed task, which is the updating ofthe first DVM Board, requires the employee involved to take the following steps:

a. An employee is required to click on the following link within INFOLINK U:\Residue\RESIDUE INFOLINK\INFOLINK\infolink documents and files\daily management.

b. When the employee clicks on the above link, they are taken to another spreadsheet, which is the Residue Morning Update.

c. The Residue Morning Update spreadsheet contains five worksheets being ABS, Daily Review, Graphs, Mimic Panel and Raw Data.

d. The Residue Morning Update is a spreadsheet which accesses data from other Alcoa systems.

e. When opening the Residue Morning Update, the employee needs to ensure the macros are enabled. On some computers this requires no action. On other computers the employees must answer YES to the question about enabling the macros when prompted.

f. Once the spreadsheet is open the employee needs to select the Raw Data Worksheet, and press the F9 Key, three times.

g. Pressing the F9 Key three times updates the Residue Morning Update spreadsheet with all of the latest available data.

h. The employee then needs to select the ABS Worksheet and print out a hard copy.

i. The layout of information on an ABS Worksheet is the same as the layout of information on the first DVM Board.

j. The employee must then update the first DVM Board (using the data from Columns G and H) so that the first DVM Board reflects the ABS Worksheet.

Other evidence regarding the disputed task

[20] The evidence is that the disputed task, updating the first DVM Board, takes a Residue Process Employee no more than five minutes per day to complete. The disputed task is far from the most difficult task the Residue Process Employees otherwise do during their normal work day. The evidence is clear that the disputed task is within the skill, knowledge and training and competence of Residue Process Employees.

[21] The DVM System is predominately about process control as well as problem identification and resolution 3. The DVM Boards show information visually to identify and manage process targets. This information is used to work out whether improvements are needed in the process. Generally Residue Process Employees cannot fix the problems and this is left to others.4

[22] The DVM Boards, as part of Alcoa's DVM System, are part of a process by which business performance expectations are deployed to the shop floor which enables performance targets to be displayed for employees on the shop floor to manage. This DVM System allows employees to see where there are problems with what is happening and to address those problems as they occur. 5

The job descriptions

[23] Relevant parts of the respective job descriptions are set out below.

“4. PROCESS CONTROLLER (RESIDUE)

(a) Accountability Objective

The Process Controller (Residue) is engaged in the Residue Disposal area. He or she is accountable for ensuring that the on-going operation and control of the process is carried out in a safe and cost-effective manner. It is a requirement that he or she work autonomously without direct supervision.

(b) Critical Achievement Areas

(i) Controls the process to meet specific pre-determined parameters by utilising technical process knowledge, human resources, and computerized control equipment

(ii) Ensures that the operating area's interaction with other operating areas and support services is maximised by taking a lead role in the communication process.

(iii) Contributes to optimum equipment availability by communicating maintenance requirements to appropriate service groups.

(iv) Ensures that operators are trained to meet organisation standards by providing on-the-job training and contributing to the development and improvement of operator training programmes.

(v) Contributes to continual improvement of the process using TQM techniques by collecting and analysing data, determining and implementing necessary change and monitoring results.

(vi) Contributes to the achievement of Departmental safety and environmental objectives by providing leadership in the areas of safe working practices, housekeeping and dust suppression.

(vii) Ensures that the process is functioning in a safe, efficient and cost effective manner by closely monitoring and troubleshooting the process and equipment under his or her control.

(viii) Contributes to the continual control of the process by collecting and analysing samples and other data. The incumbent is responsible for taking collective action as well as communicating and recording the results and actions taken.

(ix) Ensures that process equipment availability is maximised by isolating and tagging out equipment under the incumbents control for her/himself or others to service.

...

(e) Explanatory Statement

The incumbent's work commitment is divided into the following areas:

(i) Co-ordination of the Process

On a daily basis the Process Controller (Residue) will co-ordinate and control the process output of his or her shift. The operation of the process will be in accordance with Standard Operating Practices which have been developed with input from these Process Controllers. It will be the responsibility of these Process Controllers to communicate and co-ordinate with other Departments which have an impact on the process under their control.

The incumbent will co-ordinate the activities of the maintenance resources as they affect the process on her or his shift

(ii) Operation of Equipment

These Process Controllers will operate process equipment on their shift. The operation of the process will be in accordance with Standard Operating Practices which have been developed with input from the crew.

(iii) Co-ordination of Resources

It will be the responsibility of the incumbent to communicate and co-ordinate with other relevant employees, i.e. Production and Technical co-ordinators, other Process Controllers and team members as well as other areas or shifts that have an impact on the -process within his or her team's area of responsibility. The incumbent will facilitate the activities of the maintenance resources, e.g. writing Maintenance Work Requests, performing basic maintenance tasks, assisting on the job, taking equipment offline, and carrying out the appropriate tagging to her or his level of authorisation.

(iv) Training

The incumbent shares responsibility for the planning, implementing and monitoring of the Department's operator training programme. The incumbent identifies training needs and helps write curricula and update Departmental training manuals.

The incumbent is directly responsible for the training of new Process Controllers (Residue).

(v) Problem Solving

The incumbent will take prime responsibility for diagnosing and initiating corrective action on process deviations in his or her area of responsibility. These areas will include process instrumentation and equipment, fault finding, as were as detecting adverse process irregularities.

The incumbent will participate in specially formed task forces to problem-solve and make recommendations for operational improvements. These can be either mixed specialist teams or natural crew teams.

(vi) Management of the Process

The incumbent is responsible for the day-to-day operation of the process and is expected to make timely decisions on required corrective actions if any adverse factors impact on the process. He is she is then required to advise personnel in other parts of the process which are likely to be affected by these decisions.

(vii) Engineering Safely Reviews

The incumbent participates in engineering design reviews, both for soundness of intent and to ensure that safety requirements will be met.

(viii) Mobile Equipment

The incumbent will be required to operate various mobile equipment on a needs basis, e.g. Amphirols, front end loaders, and forklifts.

...

5. PROCESS OPERATOR

(a) Accountability Objective

The Process Operator is accountable for ensuring that the day to day operation and control of the areas under her or his control is carried out in a safe, efficient, and cost effective manner. The incumbent is accountable for the training of production operators and facilitating the team's activities, and is a relief resource for the Process Controller.

(b) Critical Achievement Areas

(i) Ensures that the process is functioning in a safe, efficient, and cost-effective manner by closely monitoring and troubleshooting the process and equipment under his or her control.

(ii) Contributes to the continual control of the process by collecting and analysing samples and other data. The incumbent is responsible for taking corrective action as well as communicating and recording the results and actions taken.

(iii) Contributes to the achievement of shift safety and environmental objectives by providing leadership, in the areas of safe working practices and housekeeping.

(iv) Ensures that Production Operators are trained to meet organisation standards by providing on-the-job training and contributing to the development and improvement of operator training programmes.

(v) Contributes to the achievement of Departmental key result issues and areas by assisting in the development of an action-specific plan and provides a facilitating resource for the team.

(vi) Contributes to the overall performance of the team by being an effective team member.

(vii) Ensures that the shift's interaction with other operating areas, Departments and support services is optimised by taking an appropriate role in the communication process.

(viii) Provides a relief role for the Process Controller.

(ix) Ensures that process equipment availability is maximised by isolating and tagging out equipment under the incumbent's control for her/himself or others to service.

(x) Upon the fulfilment and maintenance of the criteria referred to in Clause 9.6(g) of the Agreement and appointment by the Company, the incumbent may accept the responsibility to tag to 2A for other workgroups and/or personnel, in which case the incumbent shall be entitled to the additional remuneration prescribed by clause 9.6(g) .

...

(e) Explanatory Statement

The incumbent's work commitment is divided into the following areas,

(i) Operation of Equipment

The Process Operator will monitor and operate process equipment on his or her shift. The operation of the process will be in accordance with standard operating practices which have been developed with input from the crew.

(ii) Co-ordination of Resources

It will be the responsibility of the Process Operator to communicate and coordinate with other relevant employees, i.e. forepersons, Process Controllers, other crew members and other areas or shifts that have an impact on the process within his or her team's area of responsibility.

The incumbent will facilitate the activities of the maintenance resources e.g. writing Maintenance Work Requests, assisting on the job, taking equipment offline, and carrying out the appropriate tagging to her or his level of authorisation as it affects the process.

(iii) Training of Production Operators

The incumbent is responsible for the process training of Production Operators on his or her team and contributes to the upkeep of Departmental training materials and programmes.

(iv) Troubleshooting

The incumbent will take responsibility for diagnosing, problem-solving, correcting, recording and reporting process deviations in her or his area of responsibility, and will be a resource for other team members.

The incumbent will participate in specially formed task forces to problem solve and make recommendations for operational improvements. These can be either mixed specialist teams or natural crew teams.

The incumbent will brief and assist maintenance staff where necessary.

(v) Process Controller Relief

It is envisaged that the incumbent will be capable of managing all the shift resources for complete shift(s) in the absence of the Process Controller, and may be required to perform other duties, e.g. other process technician-type roles.

(vi) Facilitator

The incumbent is responsible for the assigned facilitation of team projects.

(vii) Engineering Safety Reviews

The incumbent participates in engineering design reviews, both for soundness of intent and to ensure that safety requirements will be met.”

Other applicable provisions of the Agreement

“4. OBLIGATIONS UNDER THE AGREEMENT

4.1 The parties have made this Agreement due to the need:

(a) For all workplace arrangements to contribute toward the long-term viability of the Pinjarra refinery Operations, which operates in a highly competitive international market place.

(b) To organise work in a fully flexible manner across the Pinjarra Refinery and for:

(i) Employees to undertake any jobs or duties for which they are confident they can safely perform, and for which they posses the level of skill, knowledge and competence as well as licensing requirements and in accordance with the relevant job descriptions; and

(ii) There to be no demarcation of work between members of the A.W.U. and other Alcoa work groups. It is recognised that there are barriers between unions which must be addressed on a consultative basis involving all relevant parties prior to the introduction of any change. Staff will communicate with AWU work groups regarding the use of staff resources. Staff resources will not be used in a manner that undermines employee job security and long term earning capacity.

4.2 This Agreement reflects the commitment of the parties and the workforce to maximise:

(a) The productivity and efficiency of each part of the business;

(b) The benefits to each part of the business through problem solving at the lowest appropriate level and to root cause, through true teamwork; and

(c) Continuity of production and supply to our customers.

4.3 The parties undertake:

(a) That consistent with the philosophy of team work and consultation, to accept and co-operate with the introduction of new plant and equipment as an essential requirement for the long term viability of the WA Operations and the achievement of the intent of this Agreement. This may involve manning adjustments and relocation(s) within the Site Operation(s) which may occur as a result of the introduction of new plant and equipment;

(b) To remove all restrictive work practices to ensure total flexibility in the movement of employees across the Site, flexibility in the number of people doing particular jobs and in the arrangement of work between employees in a particular work team or operating area. This will be managed in accordance with Clause 20 - Consultation.

...

6. EMPLOYMENTCONDITIONS

...

6.7 Subject to licensing requirements and job descriptions contained within this Agreement, employees are to utilise all the skills they have acquired.

...

7. SCOPE OF WORK

7.1 Employees will perform work as defined in their relevant Job Description in any area of the Site as the Company may, from time to time, reasonably require. Consistent with this, employees will competently and safely undertake any work and utilise any tools or equipment for which they have the necessary skill, knowledge and training, provided that any licensing and other statutory requirements are met.

7.2 Subject to the limits of their skill and competence, employees must undertake their whole job (as defined in the relevant Job Description), there may be occasions where this requires working additional hours before or after a rostered shift. However, the intention of the parties is that, except where supplementary shifts are worked or URO cover is provided, the overall planned workload will be achieved by all employees working, a standard, thirty-six (36) hour week. Where, through the 'whole of job' requirements, employees are regularly - required to on average work in excess of 36 hours per week (excepting where supplementary shifts are worked or URO cover is provided), the parties will jointly ensure an equitable distribution of additional hours across the workforce and will continually work to eliminate the requirement for the working of additional hours.”

Consideration

[24] It is obvious given the evidence that the disputed task, updating the first DVM Board, is a job or duty the Residue Process Employees can safely perform and is one for which they do possess the level of skill, knowledge and competence to carry out. There is no suggestion that there are any licensing requirements that constrain the Residue Process Employees doing this task.

[25] The AWU's position is that Alcoa cannot require the employees to update the first DVM Board because undertaking this is not in accordance with the relevant job descriptions.

[26] It is notable that the job descriptions do not list tasks employees are required to do but rather describes areas of critical achievement and areas where the employees are to focus their efforts.

[27] Consequently the disputed task is not expressly mentioned in these job descriptions. However the AWU point out that a task they submit is similar is identified in Job Description 1 – Process Controller (Major Control Room). This job description is set out below with the words upon which the AWU rely underlined.

“1. PROCESS CONTROLLER (MAJOR CONTROL ROOM)

(a) Accountability Objective

These Process Controllers are engaged in the major control rooms located in Departments 56, 57, 58 and 59. They are accountable for ensuring that the ongoing control of the process is carried out in a safe, efficient, and cost-effective manner. It is a requirement that they be able to work with minimal supervision and autonomously in some Departments.

(b) Critical Achievement Areas

(i) Controls the process, which includes varied and often complex technical and chemical sub-processes, to meet specific pre-determined parameters. This requires making decisions based on their own technical process knowledge, utilising area human resources and computerised control equipment.

(ii) Ensures that the operating areas interaction with other operating areas and support services is optimised by taking a lead role in the communication process.

(iii) Contributes to optimum equipment availability by planning and coordinating process cleaning activities, and communicating maintenance requirements to appropriate service groups.

(iv) Maximises process performance by ensuring efficient utilisation of crew members and by prioritising and assigning tasks.

(v) Contributes to the development of team members' process knowledge by identifying training needs, developing structured training programmes, coordinating team training activities, evaluating achievement of performance objectives, and carrying out training for process control.

(vi) Contributes to continual improvement of the process using TQM techniques by collecting and analysing data, determining and implementing necessary change and monitoring results.

(vii) Contributes to the achievement of shift safety and environmental objectives by providing leadership in the areas of safe working practices and housekeeping.

Important Note: Process Controllers - Major Control Room Employees covered by this Agreement will be eligible to an increased base salary (equivalent to a half a job grade increase) where they elect to undertake the following additional duties and are subsequently appointed to a JG 12.5 role by the Company:

(i) Ensuring that they are fully competent and up-to-date with all LMS folders (or equivalent) relating to control room operations in their respective Operating Centre;

(ii) Demonstrated and ongoing leadership in utilising and applying crew management system(s), as implemented or modified from time to time by the Company, including but not limited to daily management and problem solving systems;

(iii) Provide relief cover for the Group Leader for periods up to 3 shifts.

....

(e) Explanatory Statement

The incumbents work commitment is divided into the following areas:

(i) Co-ordination of the Process

On a daily basis the Process Controller will co-ordinate and control the process output of his or her shift. The operation of the process will be in accordance with Standard Operating Procedures which have been developed with input from the Process Controller. It will be the responsibility of the Process Controller to communicate and co-ordinate with other Departments which have an impact on the process under his or her control.

The incumbent will co-ordinate the activities of the maintenance resources as they affect the process.

(ii) Training

The incumbent shares responsibility for the planning, implementing and monitoring of the Department's operator training programme. The incumbent identifies training needs, writes curricula, and updates Departmental training manuals. The incumbent is directly responsible for conducting the training of new Process Controllers.

(iii) Problem Solving

The incumbent will take prime responsibility for diagnosing and initiating corrective action on process deviations in his or her area of responsibility. These areas will include process instrumentation and equipment, fault finding as well as detecting adverse process irregularities.

A number of the problems encountered are complex and involve a number of interactive sub-processes. These problems can have a major impact on the process within other Departments as well as that of the incumbent.

(iv) Engineering Safety Reviews

The incumbent will also participate in engineering design reviews, both for soundness of intent and to ensure that safety requirements will be met.

(v) Management of the Process

The incumbent is responsible for the day-to-day operation of the process and is expected to make timely decisions on required corrective actions if any adverse factors impact on the process. The Process Controller is then required to advise personnel in other parts of the process which are likely to be affected by these decisions.

(vi) Foreperson Relief

The incumbent, when called upon, will manage all the shift resources for complete shift or shifts in the absence of the area Foreperson.

(vii) Team leader

The incumbent is responsible for the hourly co-ordination of the team and leads the team under the broad direction of the shift Foreperson in the effective operation of the process. To complement this role, the incumbent is actively involved in the development of team members' process knowledge and skill. The incumbent is also used as a reference resource by team members on process management.” [Underlining added]

[28] The AWU submits that because the task is identified in this job description but not in the relevant job descriptions applicable to the Residue Process Employees the Commission should infer that the task is not covered by the Residue Process Employee’s job description and so they cannot be required to do it. It was also pointed out by the AWU that undertaking the task included in Job Description 1 – Process Controller (Major Control Room) is recognised by an additional payment as explained within that job description.

[29] Considering this point firstly it is clear that the job of a Process Controller (Major Control Room) is a position involving greater complexity, responsibility and skill than is the job of a Residue Process Employee. Further the words the AWU rely upon in this job description:

“Demonstrated and ongoing leadership in utilising and applying crew management system(s), as implemented or modified from time to time by the Company, including but not limited to daily management and problem solving systems”

self-evidently describe tasks much more complex and with greater responsibility than the disputed task the Residue Process Employees have been asked to do. The disputed task involves a simple process of accessing and printing off a sheet of data and then manually copying this data onto a board. Doing this is not a demonstration of ongoing leadership in applying the daily management and problem solving system.

[30] The reference to daily management and problem solving systems in the job description of Process Controller (Major Control Room) does not support the AWU's argument in this matter.

[31] The evidence is that the disputed task is related to process control. Copying the Residue Morning Update data contained in the printed ABS Worksheet onto the visual display board is a mechanism to communicate that information to other employees. Making that information known to others, where it identifies some process problem, I accept is the first step in low-level problem solving.

[32] In Job Description 4 – Process Controller (Residue) the critical achievement areas in summary include:

● Controlling the process using technical knowledge and human resources.

● Taking a lead role in communication with other operating areas and support services.

● Communicating maintenance requirements to service groups.

● Communicating and recording results and actions taken from collecting and analysing samples and data.

[33] In addition the explanatory statement in the job description in summary includes:

● Communicating with other departments which have an impact on the process under their control.

● Communicate and coordinate with other relevant employees.

● Diagnose and initiate corrective action on process deviations.

[34] In Job Description 5 – Process Operator the critical achievement areas in summary include:

● Communicating and recording corrective action taken and the results.

● Ensuring interaction with other areas is optimised by appropriate communication.

[35] In addition the explanatory statement in the job description in summary includes:

● Communicating with other employees that have an impact on the process .

● Taking responsibility for recording and reporting process deviations.

[36] My conclusion is that these descriptors of critical achievement areas and explanatory statements in each of these job descriptions more than adequately cover, amongst other work, the task of updating the first DVM Board.

[37] My determination is that updating the first DVM Board is a task that employees employed in Job Description 4 – Process Controller (Residue) and in Job Description 5 – Process Operator of Appendix 4 – Job Descriptions of the Agreement can be required to perform.

COMMISSIONER

Appearances:

E. Douglas appearing for The Australian Workers’ Union.

W. Milward appearing for the Respondent.

Hearing details:

2014.

Perth:

March 24.

 1   AE884264 PR506934.

 2   AWU written submissions paragraph 10 to 14.

 3   Witness statement of Mr Muir paragraph 12.

 4   Witness statement of Mr Enright paragraphs 22 to 24

 5   Witness statement of Mr Hodgs paragraph is 10 - 12.

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<Price code C, AE884264  PR549899>