WESPINE Industries Pty Ltd (Enterprise Bargaining) Agreement 1994

WESPINE INDUSTRIES PTY LTD (ENTERPRISE BARGAINING) AGREEMENT 1994

No. AG 172 of 1995 2 3

1. - TITLE

2. - ARRANGEMENT

1. Title 2. Arrangement 3. Application 4. Parties Bound 5. Date and Period of Operation 6. No extra claims 7. Relationship to Parent Awards 8. Single Bargaining Unit 9. Objectives 10. Remuneration 11. Dispute Resolution 12. Review of Agreement 13. Implementation of Quality System 14. Implementation of Continuous Improvement methodologies 15. Training 16. Hours of work 17. Annual Leave 18. Business Units 19. Smoke Free Site 20. Signatories

3. - APPLICATION

This Agreement shall apply for WESPINE Industries Pty Ltd at Dardanup, and to all employees engaged there under the terms and conditions of the following awards:

Timber Workers Award Metal Trades (General) Award

4. - PARTIES BOUND

(a) This Agreement shall be binding on:

(a) WESPINE Industries Pty Ltd (“the Company”) and its employees; 4

(b) The Forests Products, Furnishing and Allied Industries Industrial Union of Workers W.A. and its members;

(c) Australian Electrical, Electronics, Foundry and Engineering Union (West Australian Branch) and its members;

(d) All employees who are engaged in any of the occupations specified in the award referred in Clause 3.

(b) The parties will oppose any applications by other parties to be joined to this Agreement.

5. - DATE AND PERIOD OF OPERATION

This Agreement shall come into effect from the first pay period commencing on or after the date this Agreement is ratified by the Western Australian Industrial Relations Commission and shall remain in operation until 30th September 1995.

6. - NO EXTRA CLAIMS

It is a term of agreement that the various parties to this Agreement will not pursue any extra claims, award or over award, during the currency of this Agreement, except when consistent with State Wage Case Principles.

7. - RELATIONSHIP TO PARENT AWARD

This Agreement shall be read and interpreted wholly in conjunction with those awards specified in Clause 3. - Application, provided that where there is any inconsistency, this Agreement shall take precedence.

8. - SINGLE BARGAINING UNIT

For the purpose of negotiating this Agreement consistent with the Principles enunciated in the State Wage Decision of January 1992, a single bargaining unit has been established.

9. - VISION & OBJECTIVES

VISION

To be valued by our customers as the leading and most respected manufacturer and supplier of pine timber products.

To fulfil this vision all parties commit to: 5

(a) develop and maintain AS/NZ/ISO 9002 1994 quality management systems;

(b) effectively apply with vigour the Continuous Improvement methodology and concepts congruent with the Company's vision and strategic plan;

(c) facilitate and undertake training focused on achieving the Company's vision and strategic plan;

(d) continue to develop and operate the concept of business units.

In general it is understood by all parties that the outcome from this Agreement is remuneration increases for employees based upon commitment to the training in, and application of Continuous Improvement techniques and the development of a Strategic Plan .

OBJECTIVES

The objectives of this Agreement are to facilitate and commit the parties to:

(a) Creating a culture on the site that is outwardly focused to providing excellence in meeting customer requirements, and inwardly focused to provide a consultative, rewarding and productive environment within the sawmill operations;

(b) Ensuring the timber production, drying and finishing operations become more productive and efficient, thereby maintaining the Company’s position as a viable and co-operative organisation that is striving to be a centre for excellence;

(c) Enhancing employee’s skills and providing the employees with more varied and fulfilling jobs;

(d) Ensuring the green mill, drying and timber finishing operate to world's best standards in:-

· Safety · Quality · Production.

10. - REMUNERATION

The parties agree that the following increases will be paid.

(a) Wage increase of 3 % payable from the first pay period following ratification of the Agreement by the West Australian Industrial Relations Commission.

This payment is in recognition of a commitment by all parties to the processes as outlined in this Agreement. 6

A further:-

1 % is payable when the continuous improvement training plan is set and agreed between the parties.

The wage increases specified in the above Clauses shall be applied to the award rate for the relevant classifications defined in the Application Clause plus any over award all purpose payment.

11. - DISPUTE RESOLUTION

The parties to this Agreement have agreed that any disputes or grievances shall be resolved by following the procedures as provided in the parent awards.

12. - REVIEW OF AGREEMENT

The parties agree to review this Agreement no later than six (6) weeks prior to the date of expiry of the order giving effect to this Agreement.

13. - QUALITY ASSURANCE

WESPINE Industries is committed to a successful system of Quality Assurance procedures. WESPINE Industries believes, and the parties agree, that the continuing maintenance of the AS/NZ/ISO 9002 1994 quality management system is fundamental to the capacity of the enterprise to maintain sale of its products.

The parties commit to further developing, supporting and promoting the AS/NZ/ISO 9002 1994 systems that are in place.

14. - CONTINUOUS IMPROVEMENT

A fundamental element of the proposed strategic plan is Continuous Improvement. WESPINE Industries and the parties agree that the Continuous Improvement technique is a fundamental concept to achieve and maintain greater competitiveness and thereby ensure that the plant operates to world’s best standards.

The Continuous Improvement process is to be further developed from this Agreement and WESPINE Industries will commit additional resources to this area.

This agreement commits all employees of WESPINE to undergo training in Continuous Improvement techniques. This will be followed by the development of teams to undertake 7 continuous improvement projects which focus on increasing efficiency within the enterprise, the main objective being to improve WESPINE's competitive position.

It is agreed that not less than 50 people will formally commit to training in Continuous Improvement techniques throughout the duration of this agreement. It is the intention of the Company, and the parties agree, that all remaining employees will be trained within two years of the completion of this agreement.

It is the intention of all parties to develop a Strategic Plan and goals for the enterprise during the period of this agreement, and to use the Strategic Plan and Goal Setting for future agreements and remuneration increases.

Further it is the intention that the next enterprise agreement remain in operation for not less than two years to ensure complete implementation of the Strategic Plan.

15. - TRAINING

It is WESPINE Industries' intention to increase the focus on training that is directed towards improving the competitive advantage of the Company and the skills and career path options for its employees.

The parties commit to full support of the training program.

The parties will commit, through the Consultative Committee, to continue to review and develop the training programme for the facility.

It is also understood by the parties that training of personnel will assist in maintaining a safe work environment and is of critical importance to the success of the operation.

Further it is agreed that the cost of delivering training to individuals as part of their skills formation and career path progression must be kept to a minimum. This is to ensure that the availability of training is sufficient to satisfy both the Company needs and individual expectations of career path progressions.

Therefore it is agreed that the implementation and planning of training must be such so as not to adversely affect the plant operation or financial performance. It is agreed that the following be adopted:

(a) Training of employees in current tasks. It is agreed that any person on site may be required to undertake training in this category as necessary. Payment will be at single time.

(b) Training to increase skills and career path advancement where this is considered necessary for the business. Payment will be at single time.

(c) Training to increase skills and career path advancement where this is not considered necessary for the business. It is agreed that this training is elective and will be facilitated by the Company where possible. There will be no payment in this instance by the Company. 8

The Company will endeavour to schedule training during the ordinary hours of work but may require personnel to attend training sessions at other times. As above this training time will be paid at the single time rate.

TAFE or other external courses attended by employees will generally fall into category (c) above and time for these courses will not be paid by the Company.

16. - HOURS OF WORK

The parties to this Agreement agree to the following with respect to scheduling of hours of work:

(a) Normal hours of work will be scheduled to allow manning to maximum advantage of the business and to suit market conditions, whilst not compromising the quality of life of employees;

(b) The provision of meal breaks, leave and leisure time will be managed to meet the employee's needs and ensure the ongoing efficient operation of the enterprise.

Normal hours of work are based on 7.6 hours per day (38 hours per week), or other such rosters as agreed between the parties. Normal minimum award conditions will apply, such as an average of 38 ordinary hours per week.

17. - ANNUAL LEAVE

The parties to this Agreement agree to the following with respect to annual leave:-

(a) Annual leave and annual maintenance shutdowns may vary in length and in timing to suit the market conditions. This may include splitting annual leave as considered appropriate by the Company to meet market conditions. Notwithstanding this, the Company will endeavour to meet the individual employee's needs and requirements, and undertake to provide not less than eight weeks notice of proposed shutdowns.

(b) Annual leave entitlements under the award are retained with respect to the accrual of annual leave, leave loadings and other such minimum conditions available under the award.

(c) It is agreed by both parties that annual leave taken may be varied in length.

18. - BUSINESS UNITS

The Company is undertaking structural change in its management systems and is replacing the existing system with business units. 9

The business units are to be semi autonomous and have supplier - customer relationships within the site.

The aim of this change is to allow the creation and operation of a team based work culture focused on achievement.

The operation of the business units is intended to add value to the enterprise and the parties are committed to the concepts successful operation and implementation of the business units programme. 10

19. - SMOKE FREE SITE

WESPINE agrees to provide a smoking facility at the Dardanup site. The conditions of use were agreed to in consultation with employees prior to the preparation of this agreement.

The entire WESPINE site, other than the allocated facility, remains a smoke free zone. However, WESPINE retains the commitment to be totally smoke free in the future.

20. - SIGNATORIES TO AGREEMENT

______/ ___/ ___ On behalf of WESPINE Industries Pty Ltd

______/ ___/ ___ On behalf of the Site Consultative Committee employee representatives

______/ ___/ ___ On behalf of The Forests Products, Furnishing and Allied Industries Industrial Union of Workers W.A.

______/ ___/ ___ On behalf of Australian Electrical, Electronics, Foundry and Engineering Union (West Australian Branch). 11

V A R I A T I O N R E C O R D

NO. AG 172 OF 1995

Delivered 24/10/95 at 75 WAIG 3270 Consolidated at

CLAUSE EXTENT OF ORDER OPERATIVE GAZETTE NO. VARIATION NO. DATE REFERENCE

1. Title

2. Arrangement

3. Application

4. Parties Bound

5. Date and Period of Operation

6. No extra claims

7. Relationship to Parent Awards

8. Single Bargaining Unit

9. Objectives

10. Remuneration

11. Dispute Resolution

12. Review of Agreement

13. Implementation of Quality System

14. Implementation of Continuous Improvement methodologies

15. Training

16. Hours of work

17. Annual Leave 12

18. Business Units

19. Smoke Free Site

20. Signatories