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PRIME MINIStER---
FOR MEDIA -26 APRIL 1991
The Government, the Unions and Employers are each party to
the Waterfront Industry Reform Package.
The Reform Package involves agreement by the parties to:
Finalise enterprise based agreements.
Implement a new skills based award classification
structur7e at an enterprise level.
Where appropriate develop productivity based wage
schemes at the enterprise level.
The Government has supported these developments on the
understanding that substantial increases in productivity are
achieved in which the community is a significant
beneficiary. The Government is not prepared to see Unions, Employers or
the IRC stand in the way in implementing these objectives.
The issues involved in this matter, while of course being of
great importa~ nce to the parties immediately involved, have a
profound significance for the whole Australian community.
Out of discussions that have been held with the parties and
taking into account their various legitimate concerns the
Government is: therefore indicating that this issue should be
resolved by the unions and employers acting in the following
manner: To implement a two year contract from 16 May 1991. The
agreement to be closed except for any national
adjustments supported in Accord Mark VII and employer
initiated productivity based enterprise arrangements.
The first adjustment shall be $ 12.00 per week from the
first pay period on or after 16 May.
The $ 12.00 is to be paid only after agreement on the
classification structure which must be finalised prior
to 16 May.
The second adjustment shall be the reclassification
increase of 4.0% from 1 July.
The 4% increase would become available on an enterprise
by enterprise basis from 1 July 1991, but only when:
an enterprise agreement has been finalised and
approved by WIRA; and
employees have been reclassified under the new
structure.
Employees accepting the WIRA package are not eligible
for reclassification as they will have left the
industry once the enterprise agreement has been
implemented. The 4% increase represents an aggregate wage cost
outcome. There will be different percentage increases
for different classifications in accordance with the
new classification structure.
There shall be a further adjustment arising from a
valuation of the new classifications. This shall be
phased in two parts the first not to be payable
before 1 January 1992, the second not before 1 July
1992. If the parties cannot reach agreement on this valuation
of the classifications within the new structure they
agree to accept the outcome of an independent
assessment referred to in para
If the IRC is not available to make such assessments
the WIRA shall employ a person or persons agreed
between the parties for this purpose or in the absence
of such agreement nominated by the Minister.
WIRA will be asked to report on the further training
requirements necessary to implement these arrangements.
The Government will ensure the maintenance of the award
system within this industry.
This process of resolution must be implemented immediately.
I and Minister Collins will be available during next week to
assist in this matter if required.
I