The Griffin Coal Mining Company Pty Ltd and Construction, Forestry, Mining and Energy Union

[2017] FWC 3727

[2017] FWC 3727

FAIR WORK COMMISSION

STATEMENT

Fair Work Act 2009
s.576(2)(aa) - Promoting cooperative and productive workplace relations and preventing disputes

The Griffin Coal Mining Company Pty Ltd
and
Construction, Forestry, Mining and Energy Union
(NA2016/13)

DEPUTY PRESIDENT BOOTH SYDNEY, 20 JULY 2017

Enterprise Bargaining Finalisation.

[1] On 30 January 2017 Griffin Coal and the CFMEU commenced a process of Fair Work Commission facilitated negotiations for an enterprise agreement to replace the Griffin Coal (Production) Collective Agreement 2012.

[2] Prior to the Commission’s involvement Griffin and the CFMEU held direct negotiations during 2016 but did not reach agreement.

[3] In December 2016 the parties jointly applied to the Fair Work Commission for facilitation in the Commission’s New Approaches jurisdiction using an interest-based approach to the negotiations.

[4] Between 30 January 2017 and 9 May 2017 I facilitated 6 negotiating sessions over 21 days.

[5] Griffin Coal was represented in the negotiations by Terry Gray, JP Fernandes, Allissa Fellows and Phil Willox. CFMEU was represented by Alister Kentish, Gary Wood, Chris Davidson and Greg Busson.

[6] From the last facilitated session in May 2017 to mid-July 2017 the parties continued to meet directly to continue their efforts to reach agreement.

[7] This week they have reported to me that a proposed enterprise agreement has been finalised that will be put to a vote of production employees.

[8] Negotiating using an interest-based approach is different to using a claims based or positional approach.

[9] In an interest-based negotiation the parties openly and honestly share information that is relevant to the negotiation. In a claims-based negotiation the parties often play their cards close to their chests and only share information that supports their own claims. In this negotiation the parties received a confidential financial briefing from CFO James Riordan and discussed the challenging financial circumstances facing Griffin Coal.

[10] In an interest-based negotiation the parties identify their respective needs and concerns (interests) and work together to come up with a range of alternatives or options that could address these interests. In a claims-based negotiation the parties often only advance their claims (positions).

[11] The parties recognise that many of their interests are competing or conflicting interests. It is difficult, sometimes even impossible, to find options that satisfy all competing interest but the parties work together in a problem solving way to find the outcomes that come closest to addressing all the interests.

[12] Griffin and the CFMEU created a large agenda to work through:

• Amenities and PPE



• Salaries and Super



• Working Hours Arrangements including Rosters



• Coverage of the Agreement



• Leave



• Redundancy



• Consultation and Change



• Dispute Resolution



• Individual Flexibility



• Duration of Agreement



• Types and Levels of Labour



• Obligations of Employees



• Workforce Representation



• Skills Development



• Income Security



• Machinery Provisions

[13] Over the 6 negotiating sessions each of these issues was thoroughly discussed starting with the identification of the interests of both Griffin and the production workforce followed by the generation of a range of alternatives to address these interests.

[14] Some of the interests identified included:

• Have a core permanent workforce



• For the company to be financially sustainable without the need for external financial support



• Employees to have decent living standards and be able to meet financial commitments



• Employees to have consistency and reliability of income



• Enable Collie community to continue to survive



• Support local suppliers



• Safe and healthy workplace



• Employees need to manage their out of work activities



• Positive employee morale and pride in Griffin shirt



• Reduce unplanned absence



• Ability to flexibly respond to changed circumstances



• Increase gender diversity of the workforce

[15] Once an array of options had been identified to address the interests the implications of each option were extensively examined and the alternatives were narrowed down for presentation to the parties’ governing constituencies.

[16] The CFMEU met with their members frequently throughout this process and returned to the negotiating table with feedback that guided the continuing negotiations.

[17] After the initial interests and options stage a draft document was developed and the parties worked together on screen to debate and amend clauses in the proposed enterprise agreement.

[18] Since the parties have been meeting directly I understand that the proposed enterprise agreement has been refined to the point that Griffin and the CFMEU agree that the production employees who will be covered by it should determine it. Accordingly it will be the subject of a voting process to open just after midnight on Friday 21 July.

[19] Griffin and the CFMEU have jointly invited me to speak to the production employees about the negotiation process at a meeting to be held at 3.30pm on Friday 21 July in Collie. I will speak and take questions about the use of the interest-based process and the negotiation process in general. I will not address the substance of the proposed agreement.

[20] These negotiations were complex and challenging and I congratulate the parties on the progress they have made.

DEPUTY PRESIDENT

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