A Negotiation Exercise In Trying to Reach An Enterprise Agreement In A Workplace Negotiations - Accounting Assignment Help

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The relativities between the various classifications have been established but it is still necessary to agree upon the basis for increases in wages during the life of the agreement including: 

• needing an amount to cover past inflation (3.6%), and past contributions towards productivity (increasing by about 2.4% pa over the last year);  

• need the payment to be made from the commencement of the agreement, not conditional on anything; and 

• you would be willing to consider any productivity bonuses in addition to this increase, provided that: 

i)   workers/union agreed to the productivity measures;

ii)  those measures actually reflected worker effort (to put it simply, the workers are not going to miss out on the bonus just because someone else messes up); and

iii) bonus is to be paid equally across the entire hourly paid workforce covered by the agreement, i.e. a group bonus not an individual one.

ii) The skill requirements for each classification and the related training modules have all been agreed, but it is still necessary to agree upon the workplace arrangements, such as the process by which employees will be identified for, and can nominate for training, including the following considerations:

• workers should have the right to go on paid training when they feel they want to progress, not wait to go on training when the company has a vacancy; 

• once trained, if work at the higher level (and higher pay) cannot be found for the workers, then she/he is to be paid a ‘trained allowance’ which would be half the difference between the grade they are now on and the grade for  which they have been trained; and

• those trained are to be the first promoted to any vacancy at the higher level, before any other company selection or outside advertisement.

iii) It has been agreed that the nominal weekly hours is to be 38 hours averaged over a number of weeks, but it will be necessary to agree upon an hours’ roster, including implications for shifts and for overtime. The options are one of the following shift patterns:

•  an employee works 76 hours across two weeks; 

•  the employee works 152 hours across four weeks cycle & an arrangement which provides for 1976 hours to be worked across the whole year.

In line with the Modern Award, the following has been discussed

• Employees who work overtime have to get a minimum break of 10 hours between finishing work on one day and starting work the next day. 

• An employer and employee can agree to reduce the break to between 8 and 10 hours. 

For shift workers, the minimum break between shifts is 8 hours instead of 10 hours when overtime is worked because of:

• changing shift rosters; 

• another employee replacing a shift worker who doesn't work their shift, or 

• employees agreeing to swap shifts. 

Average overtime is around eight hours per week during the summer and down to around two hours during the winter months, but within cycle, it is noted that some workers rarely work overtime while others regularly work far more than average.

Things to consider include:

• the actual roster (start, finish times, rotation of days off, etc) will need to be negotiated at the workplace, with majority support in any section where it will apply needed prior to any change; 

• current worker support is for a 152-hour four-week cycle - gives predictability to worker’s hours so they can organize their family routines, social life, etc.

• maximum of 10 hours to be worked at normal time on any one day and a maximum of 50 hours worked in any 6 days at a normal time: any additional hours to be at a time and a half for the next two hours and double time thereafter; 

• no worker is to be financially disadvantaged as a result of any changes in the roster; and 

• 5 week’s notice before any changes to the roster can be introduced (i.e. will allow at least one cycle to be worked through under the existing arrangements)

iv) The duration of the agreement:

• 12 months (a fear of increasing inflation, first agreement, the union does not really trust management too much). 

v) The establishment of a joint workplace committee: most of the practical arrangements (size, facilities etc) have been agreed and only two issues remain:

• whether the committee should be a negotiating body or a consultative one 

(Committee is to be a negotiation body, i.e. any plans which may affect the workers, including marketing, finance and production issues, are to be agreed in the committee before implementation); and

• whether any company information can be kept confidential from the committee(All company documentation is to be available to committee members, who will be bound by confidentiality obligations).

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