Enterprise Agreement 2021 Simplot Australia Pty Limited and AMWU and CEPU Echuca - Draft: Echuca Enterprise Agreement 2021

 
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Enterprise Agreement
                                          2021

                      Simplot Australia Pty Limited and
                                  AMWU and CEPU
                                          Echuca

Draft: Echuca Enterprise Agreement 2021                   1
TABLE OF CONTENTS

   PART A – APPLICATION AND OPERATION ...................................................................................... 5
   1      Title ........................................................................................................................................ 5
   2      Parties Bound ........................................................................................................................ 5
   3      Area of Operation .................................................................................................................. 5
   4      Period of Operation of Agreement ....................................................................................... 5
   5      Relationship to Awards and Employment Conditions .......................................................... 5
   6      Renegotiation ........................................................................................................................ 6
   7      No Extra Claims ..................................................................................................................... 6
   PART B – OBJECTIVES OF THE AGREEMENT ................................................................................... 7
   8      Objectives of the Agreement ................................................................................................ 7
   PART C – CONSULTATION, WORKPLACE FLEXIBILITY AND DISPUTE RESOLUTION ........................ 8
   9      Communication and Consultation......................................................................................... 8
   10     Introduction of Workplace Change ....................................................................................... 8
   11     Restrictive Work Practices and Demarcations .................................................................... 10
   12     Workplace Flexibility ........................................................................................................... 11
   13     General Workplace Flexibility ............................................................................................. 12
   14     Dispute Settlement Procedure ............................................................................................ 13
   PART D – TYPES OF EMPLOYMENT .............................................................................................. 15
   15     Probationary Employment .................................................................................................. 15
   16     Casual Employees ................................................................................................................ 15
   17     Casual and fixed term maintenance employees ................................................................. 15
   18     Labour Hire .......................................................................................................................... 15
   19     Contractor Agreement ........................................................................................................ 15
   20     Re-employment of Seasonal Employees ............................................................................. 16
   21     Apprentices ......................................................................................................................... 16
   22     Job Sharing .......................................................................................................................... 16
   23     Recruitment and Internal Movement ................................................................................. 17
   PART E – WAGES, ALLOWANCES AND RELATED MATTERS.......................................................... 19
   24     Wage Increase ..................................................................................................................... 19
   25     Classification Percentages ................................................................................................... 19
   26     Production Team Leader Rate ............................................................................................. 19
   27     Apprentice Wages ............................................................................................................... 19
   28     Allowance Increases ............................................................................................................ 20

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29     Meal Allowance ................................................................................................................... 20
   30     Personal Protective Equipment, Protective Clothing, Overalls and Footwear/Boots ........ 20
   31     Electricians Licences & Permits ........................................................................................... 20
   32     Excess Travelling and Board ................................................................................................ 21
   33     Superannuation ................................................................................................................... 21
   34     Salary Sacrifice ..................................................................................................................... 21
   35     Income Protection ............................................................................................................... 22
   36     Journey Accidents and Accident Pay ................................................................................... 23
   37     Echuca Payroll System ......................................................................................................... 24
   PART F – HOURS OF WORK AND RELATED MATTERS .................................................................. 25
   38     Hours of work ...................................................................................................................... 25
   39     Shift loadings and Overtime ................................................................................................ 26
   40     Starting and Finishing Times ............................................................................................... 28
   41     Maintenance Meals Breaks and Coverage Arrangements .................................................. 28
   42     Production Team Leader Meal Breaks ................................................................................ 29
   43     Tea Breaks ........................................................................................................................... 30
   44     RDO Flexibility ..................................................................................................................... 30
   45     Call Backs ............................................................................................................................. 30
   46     Saturday Call In .................................................................................................................... 30
   47     Simplot Echuca Electricians Availability Agreement ........................................................... 31
   48     Stand Down ......................................................................................................................... 32
   PART G – LEAVE AND PUBLIC HOLIDAYS ...................................................................................... 33
   49     Annual Leave ....................................................................................................................... 33
   50     Personal Leave..................................................................................................................... 33
   51     Family and Domestic Violence Leave .................................................................................. 34
   52     Compassionate Leave .......................................................................................................... 35
   53     Long Service Leave .............................................................................................................. 36
   54     Parental Leave ..................................................................................................................... 37
   55     Jury Service .......................................................................................................................... 37
   56     Unpaid Leave ....................................................................................................................... 38
   57     Shutdowns ........................................................................................................................... 38
   58     Public Holidays .................................................................................................................... 39
   PART H – TRAINING AND RELATED MATTERS.............................................................................. 41
   59     Training and Skill Development........................................................................................... 41
   PART I – REDUNDANCY ................................................................................................................ 42

Draft: Echuca Enterprise Agreement 2021                                                                                                         3
60     Redundancy ......................................................................................................................... 42
   61     Plant Closure........................................................................................................................ 42
   PART J – UNION RELATED MATTERS ............................................................................................ 43
   62     Union Officials and Shop Stewards ..................................................................................... 43
   63     Facilities and Rights for Shop Stewards .............................................................................. 43
   64     Union Meetings ................................................................................................................... 43
   65     Operating Procedure for 10 Minute Departmental Meetings ............................................ 43
   66     Union Fees ........................................................................................................................... 44
   67     Picnic Day ............................................................................................................................ 44
   68     OHS Representatives ........................................................................................................... 44
   PART K – OTHER MATTERS ........................................................................................................... 45
   69     Sick and Injured Workers .................................................................................................... 45
   70     Time book ............................................................................................................................ 46
   PART L – SIMPLOT ECHUCA FITNESS FOR WORK DRUG AND ALCOHOL PROCEDURE ................ 47
   71     Purpose and application ...................................................................................................... 47
   PART M – SIGNATURES ................................................................................................................ 57
   SCHEDULE 1: ROSTERED DAYS OFF AND RDO FLEXIBILITY .......................................................... 58
   SCHEDULE 2: SIMPLOT REDUNDANCY AGREEMENT ................................................................... 60
   SCHEDULE 3: ECHUCA PAYROLL SYSTEM ..................................................................................... 63
   SCHEDULE 4: TABLE OF BENEFITS ................................................................................................ 64
   SCHEDULE 5: PAST AGREED ARRANGEMENTS AT THE ECHUCA SITE .......................................... 65
   SCHEDULE 6: ARRANGEMENT FOR A THREE-SHIFT OPERATION ................................................. 67
   SCHEDULE 7: WAGE RATES .......................................................................................................... 68

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PART A – APPLICATION AND OPERATION

1   Title
    This Agreement will be known as the Simplot Australia Pty Limited and AMWU and CEPU
    Echuca Enterprise Agreement 2021.

2   Parties Bound
    This Agreement shall apply at Simplot Australia Pty Limited premises, located at Denmark
    Road, Echuca, Victoria, 3564 and is binding on:
    a. Simplot Australia Pty Limited (‘Simplot’, ‘the Company’, ‘the Employer’);

    b. The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union
       (‘AMWU’);

    c. The Communication, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied
       Services Union of Australia (‘CEPU’);

    All employees of Simplot, employed at the site referred to above, who are members of the
    above named unions or eligible to be members employed in a classification set out in the
    Food, Beverage and Tobacco Manufacturing Award 2020 and Manufacturing and Associated
    Industries and Occupations Award 2020.

3   Area of Operation
    This Agreement applies to the Simplot plant at Denmark Road, Echuca, only.

4   Period of Operation of Agreement
    The Agreement will commence seven days after Fair Work Commission approval and will
    nominally expire on 31 March 2024.

5   Relationship to Awards and Employment Conditions
    5.1     This Agreement shall incorporate the terms of the Food, Beverage and Tobacco
            Manufacturing Award 2020 and Manufacturing and Associated Industries and
            Occupations Award 2020.
    5.2     Where there is any inconsistency between the incorporated award terms and the
            other terms of this Agreement, the other terms of this Agreement shall take
            precedence to the extent of the inconsistency.
    5.3     Simplot will not introduce any new facilitative provision contained in clause 7 of the
            Manufacturing and Associated Industries Award 2020 or in the Food, Beverage and
            Tobacco Manufacturing Award 2020 clause 7.

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5.4     Simplot will not reduce existing pay and employment conditions and will continue to
            abide by existing agreements and arrangements and will only be varied by agreement
            through the collective bargaining process. The agreed existing agreements and
            arrangements at the Echuca site are contained in Schedule 5 to this Agreement.
    5.5     Neither party shall be disadvantaged by the introduction of the Manufacturing and
            Associated Industries Award 2020 or the Food, Beverage and Tobacco Manufacturing
            Award 2020.

6   Renegotiation
    It is agreed by the parties that negotiations for a new Enterprise Agreement will begin no later
    than 3 months prior to the expiration of this Agreement.

7   No Extra Claims
    The parties agree that they will not, for the duration of this Agreement, pursue any extra
    claims for wages and conditions except as specifically provided for by this Agreement.

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PART B – OBJECTIVES OF THE AGREEMENT

8   Objectives of the Agreement
    All parties acknowledge that increased volume at the Echuca plant is a high priority. Growth in
    the site's product range is fundamental in achieving increased competitiveness and the job
    security of all employees. The improved working relationships and the rebuilding of trust in
    recent times provides an excellent base to build on.
    However new opportunities through brand development and contract packing, supported by
    capital investment will only be realised through continued focus and innovation.
    All parties are supportive of this challenge and clearly understand that the future prosperity of
    the Echuca plant depends on how the customer measures the performance, service and the
    reliability of supply.
    8.1       More succinctly, the objectives of this Agreement are:
          a. To improve the efficiency and productivity of the enterprise by ensuring that
             management and labour practices are closely aligned with the current and future needs
             and objectives of the business;
          b. To ensure the future of the site by embracing continuous improvement principles
             utilising the skill and expertise of all employees on the site to improve productivity;
          c. To create an environment, which facilitates the consistent, production of high quality
             value added products and recognises the importance of customer service;
          d. To support future investment and development of the site;
          e. To continue to rebuild trust between the parties as this is seen as the key to the success
             of the site.

    8.2       The parties are committed to complying with the requirements of this Agreement and
              in the event of any dispute, to following the Dispute Resolution procedures.

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PART C – CONSULTATION, WORKPLACE FLEXIBILITY AND DISPUTE RESOLUTION

9   Communication and Consultation
    9.1         Plant meetings shall be held once a month at which time the plant manager will
                discuss issues of interest with employees. Subject to operational needs the meetings
                shall be held during working hours. If it is not practicable, then meetings will be held
                after normal working hours, and employees who attend will be paid at overtime rates.
    9.2         Regular presentations by marketing, sales and other management staff will be made to
                keep employees up to date with issues affecting the Leggo's business as well as the
                wider Simplot business.
    9.3         Team based decisions on issues affecting specific teams shall be made in consultation
                with the individual teams concerned, as and when required. Regular team meetings
                will be held with line management.
    9.4         Management will publicise throughout the plant both line specific and wider plant
                KPls.
    9.5         The plant manager and the shop stewards will communicate on a regular basis to
                discuss matters of mutual interest.
    9.6         In circumstances of extreme temperatures in the work environment the consultative
                approach will apply in determining the appropriate response.

10 Introduction of Workplace Change
    10.1        This term applies if the Company:
                a. has made a definite decision to introduce major changes in production, program,
                   organisation, structure or technology in relation to its enterprise that is likely to
                   have a significant effect on employees; or
                b. proposes to introduce a change to the regular roster or ordinary hours of work of
                   employees.

    Major Change
    10.2        For a major change referred to in paragraph 10.1a
           a.         the Company must notify the relevant employees of the decision to introduce the
                      major change; and
           b.         Sub-clauses 10.3 to 10.9 apply.
    10.3        The relevant employees may appoint a representative for the purposes of the
                procedures in this clause.
    10.4        If:
                a. a relevant employee appoints, or relevant employees appoint, a representative for
                   the purposes of consultation; and
                b. the employee or employees advise the Company of the identity of the
                   representative, the Company must recognise the representative.

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10.5        As soon as practicable after making its decision, the Company must:
               a. discuss with the relevant employees;
                     i. the introduction of change; and
                     ii. the effect of the change is likely to have on the employees; and
                     iii. measures the Company is taking to avert or mitigate the adverse effect of the
                          change on the employees; and
               b. for the purposes of the discussion - provide, in writing, to the relevant employees;
                     i. all relevant information about the change including, the nature of the change
                        proposed; and
                     ii. information about the expected effects of the change on the employees; and
                     iii. any other matters likely to affect the employees.
   10.6        However, the Company is not required to disclose confidential or commercially
               sensitive information to the relevant employees.
   10.7        The Company must give prompt and genuine consideration to matters raised about
               the major change by relevant employees.
   10.8        If a term in this Agreement provides for a major change to production, program,
               organisation, structure or technology in relation to the enterprise of the Company, the
               requirements set out in paragraph 10.2a and sub-clauses 10.3 to 10.5 are taken not to
               apply.
   10.9        In this term, a major change is likely to have a significant effect on employees if it
               results in:
               a. the termination of the employment of employees; or
               b. major change to the composition, operation or size of the Employer’s workforce or
                  to the skills required of employees; or
               c. the elimination or diminution of job opportunities (including opportunities for
                  promotion or tenure); or
          a.        the alteration of hours of work; or
               d. the need to retrain employees; or
               e. the need to relocate employees to another workplace; or
               f.    the restructuring of jobs.

   Change to regular roster or ordinary hours of work
   10.10 For a change referred to in paragraph 10.1b:
               a. the Company must notify the relevant employees of the proposed changes; and
               b. sub-clauses 10.11 to 10.15 apply.
   10.11 The relevant employees may appoint a representative for the purposes of the
         procedures in this term.
   10.12 If:

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a. relevant employee appoints, or relevant employees appoint, a representative for
             the purposes of consultation; and
          b. the employee or employees advise the Employer of the identity of the
             representative
   the Company must recognise the representative.
   10.13 As soon as practicable after proposing to introduce the change, the Company must:
          a. discuss with the relevant employees the introduction of the change; and
          b. for the purposes of the discussion—provide to the relevant employees:
              i. all relevant information about the change, including the nature of the change;
                 and
              ii. information about what the Employer reasonably believes will be the effects of
                  the change on the employees; and
              iii. information about any other matters that the Employer reasonably believes are
                   likely to affect the employees; and
          c. invite the relevant employees to give their views about the impact of the change
             (including any impact in relation to their family or caring responsibilities).
   10.14 However, the Company is not required to disclose confidential or commercially
         sensitive information to the relevant employees.
   10.15 The Company must give prompt and genuine consideration to matters raised about
         the change by the relevant employees.
   10.16 In this term;
          Relevant employees means the employees who may be affected by a change referred
          to in sub-clause 10.1.

11 Restrictive Work Practices and Demarcations
   11.1   The parties are committed to eliminating unnecessary demarcations and restrictive
          work practices at the Echuca plant. The following provisions concerning labour
          utilisation will therefore apply:
          a. Simplot may direct an employee to carry out such duties as are within the limits of
             the employee's skills, competence and training consistent with the classification
             structure of his/her award provided that such duties are not designed to promote
             de-skilling;
          b. The parties further recognise that production employees may undertake the
             following maintenance work:
              i. Assisting maintenance employees with line changes;
              ii. Line adjustments.
   11.2   The parties further accept that production employees can carry appropriate tools to
          undertake such tasks. Production employees will be deemed competent by an
          accredited trainer before they undertake any such tasks. Additionally, production

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employees will receive recognition for such skills under their classification and skills
          recognition provisions.
   11.3   Simplot gives a commitment that the implementation of this Agreement will not
          undermine the job security or position of maintenance employees. This provision
          should enable maintenance employees to undertake more preventative maintenance
          and project work. This will increase the scope, challenge and satisfaction maintenance
          staff enjoy from their roles.
   11.4   Staff members will not be restricted from assisting with tasks on the shop floor in the
          following circumstances:
          a. Where a potentially unsafe working condition exists and requires action;
          b. In training situations where no other suitably skilled person is available and the
             staff person is suitably skilled;
          c. On isolated occasions, until an on-site employee can be found or a casual
             employee brought in to perform the work;
          d. Staff trades persons will be able to assist on-site trades persons in situations,
             which may lead to plant down time.
   11.5   This sub-clause will not be implemented in any way to deny employees opportunities
          to undertake overtime or call-backs. Any staff members' efforts to assist the 'plant
          team' will not impact on crewing levels or earnings.
   11.6   The parties recognise that on isolated occasions trades people may be required to
          assist with production tasks. This sub-clause will operate in a similar manner to sub-
          clause 11.4 above.
   11.7   In principle, the parties recognise that membership of a particular union or division of
          a union will not unnecessarily create restrictions on the opening up of job
          opportunities to all employees. The parties accept that any such move is not intended
          to diminish career path opportunities for production or maintenance employees. This
          provision will not be used to change existing award classification and competency
          arrangements that apply on the Echuca site.
   11.8   The parties therefore agree to consult on the issue of appointing Food, Beverage and
          Tobacco Manufacturing Award 2020 or Manufacturing and Associated Industries and
          Occupations Award 2020 employees into positions governed by the other award.
   11.9   The terms of this clause will be implemented with full consultation with employees in
          both production and trades teams. If disputes arise, they will be dealt with under the
          dispute resolution provision of this Agreement.

12 Workplace Flexibility
   Individual Flexibility Arrangements
   The terms in sub-clause 12.8 of the Agreement may be varied by an Individual Flexibility
   Arrangement (‘IFA’).
   12.1   The Employer will not make an IFA, unless the following conditions are satisfied:
          a. The IFA must be about matters that would be permitted matters if the
             arrangement were an enterprise agreement;

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b. The IFA must not include a term that would be an unlawful term if the
             arrangement were an enterprise agreement;
          c. The IFA must be genuinely agreed to by the Employer and the employee;
          d. The IFA must result in the employee being better off overall than the employee
             would have been if no individual flexibility arrangement were agreed to.
   12.2   The IFA must be able to be terminated:
          a. by either the employee, or the Employer, giving written notice of not more than 28
             days; or
          b. by the employee and the Employer at any time if they agree, in writing, to the
             termination.
   12.3   The IFA must be in writing and signed:
          a. in all cases- by the employee and the Employer; and
          b. if the employee is under 18, by a parent or guardian of the employee; and
          c. the IFA must be given to the employee within 14 days after it is agreed to.
   12.4   Where the Employer intends to reach any individual flexibility arrangement under this
          Agreement, the Employer must inform in writing, any union(s) covered by this
          agreement of the Employer's intent to enter such an arrangement, at least seven days
          prior to entering that arrangement.
   12.5   When informing the union(s) under this sub-clause, the Employer must:
          a. include details of the term(s) of the agreement and/or incorporated award(s), and
             which classification of employees are proposed to be subject to such an
             arrangement.
          b. not disclose the name of any employee who the Employer proposes to be subject
             to the individual flexibility arrangement, without the consent of that employee.
   12.6   For the avoidance of doubt, informing union(s) under this sub-clause does not mean
          that those union(s) must approve or consent to the individual flexibility arrangement.
   12.7   It is a very serious breach of this Agreement if the Employer enters into an IFA and the
          above conditions are not satisfied.
   12.8   The terms that may be subject to an IFA are:
          a. Clause 49.2 - Annual Leave single day absences.

13 General Workplace Flexibility
   13.1   The terms of this clause will apply in relation to the implementation of workplace
          flexibility arrangements for employees covered by this Agreement.
   13.2   Changes to work hours or work arrangements for employees covered by this
          Agreement, may be made by the Company following consultation, in accordance with
          clause 10 of the Agreement with the employees and the Unions, and agreement with
          the majority of the employees in the relevant ‘Group of Employees’ covered by the
          Agreement.

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13.3   For the purpose of this clause, there will be the following three groups of employees
          (the ‘Groups of Employees’):
          a. employees who undertake work within the scope of coverage of the Food,
             Beverage and Tobacco Manufacturing Award 2020;
          b. electrical trades employees, including electrical trades apprentices and Team
             Leaders;
          c. subject to point (b) above, employees who undertake work within the scope of
             coverage of the Manufacturing and Associated Industries and Occupations Award
             2020.

   13.4   The following terms apply in relation to such changes to work hours and arrangements
          that may be considered under sub-clauses 13.1, 13.2 and 13.3 include the following:
          a. ordinary hours of up to 12 hours; and/or
          b. the working of ordinary hours on days other than Monday to Friday.

14 Dispute Settlement Procedure
   The following procedure for the avoidance or resolution of disputes, including any disputes in
   relation to the National Employment Standards, shall apply.
   14.1   The employee/s concerned shall first meet and confer with their immediate
          supervisor. The employee/s may appoint another person(s) to act on their behalf
          including a shop steward or delegate of their union.
   14.2   Where an employee representative is involved, he or she shall be allowed the
          necessary time during working hours to interview the employee/s and the supervisor.
   14.3   If the matter is not resolved at such a meeting further discussions involving more
          senior management, as appropriate. The employee may invite a union official(s) to be
          involved in the discussions. The Employer may also invite into the discussion an officer
          of the employer organisation to which the Employer belongs.
   14.4   The shop steward or delegate shall be allowed, at a place designated by the Company,
          a reasonable period of time during working hours to interview the duly accredited
          union officials of the union to which they belong.
   14.5   To facilitate the speedy and efficient resolution of disputes:
          a. the party with the grievance must notify the other party at the earliest opportunity
             of the problem;
          b. throughout all stages of the procedure all relevant facts must be clearly identified
             and recorded; and
          c. sensible time limits must be allowed for completion of the various stages of
             discussion. However, the parties must co-operate to ensure that the disputes
             resolution procedure is carried out as quickly as possible.
   14.6   If the matter remains unresolved, the parties may, jointly or individually, refer the
          matter to Fair Work Commission (‘FWC’) for conciliation.

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14.7   Notwithstanding the terms of sub-clause 14.6, the parties may agree to refer a dispute
          to an alternative organisation/individual for conciliation.
   14.8   Notwithstanding the terms of sub-clauses 14.6 and 14.7, a matter may be referred
          directly to the FWC for conciliation without all the steps in this procedure being
          followed if one of the following applies:
          a. the matter arises directly between the parties and it has already been subject to
             discussions between the parties; or
          b. the parties agree to the matter going to the FWC for conciliation.
   14.9   If conciliation fails to resolve to matter in dispute, the FWC shall resolve the matter by
          arbitration, provided that the matter concerns the interpretation, application or
          implementation of a term or terms of this Agreement.
   14.10 Subject to sub-clause 14.11, whilst the parties are attempting to resolve the matter,
         the parties will continue to work in accordance with the Award, this Agreement and
         their contract of employment, unless the employee has a reasonable concern about an
         imminent risk to his or her health or safety. Subject to the relevant provisions of the
         State Occupational Health & Safety Law, even if the employee has a reasonable
         concern about an imminent risk to his or her health or safety, the employee must not
         unreasonably fail to comply with a direction by Simplot to perform other available
         work that is safe and appropriate for the employee to perform.
   14.11 Whilst these processes are being followed, the parties shall be committed to avoid
         stoppages of work, lockouts or other bans or limitations on the performance of work
         and Simplot shall ensure that all practices applied during the operation of the
         procedure are in accordance with safe working practices and consistent with
         established custom and practice at the enterprise.
   14.12 Parties to agree to bear their own costs in any FWC proceedings.

   14.13 Powers of the FWC
          a. In arbitrating on a matter, the FWC may exercise the procedural powers in relation
             to hearings, witnesses, evidence and submissions, which are necessary to make
             the arbitration effective.
          b. If any party fails or refuses to follow any step of this procedure, the non-breaching
             party shall not be obligated to continue through the remaining steps of the
             procedure and may immediately seek relief, in accordance with the Fair Work Act.

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PART D – TYPES OF EMPLOYMENT

15 Probationary Employment
   The Employer may initially engage a full-time or part-time employee for a period of
   probationary employment, for the purpose of determining the employee's suitability for
   ongoing employment. The employee must be advised in advance that the employment is
   probationary and of the duration of the probation, which can be up to but not exceed three
   months.
   A probationary employee is for all purposes of the Agreement a full-time or part-time
   employee. Probationary employment forms part of an employee's period of continuous
   service for all purposes of the Agreement, except where otherwise specified in this Agreement.

16 Casual Employees
   Simplot recognises that it has a commitment to permanent employment and that casuals are
   primarily to be used to cover absenteeism, RDOs, periods of leave and special production
   demands.
          a. Such number of casual employees may be engaged by Simplot as may be required
             to enable the plant to operate at full efficiency to cover RDOs.
          b. Without derogating from sub-clause 16.a, casual hours in any one month will not
             exceed 20% of full time ordinary hours.
          c. Casuals performing work covered by the Food, Beverage and Tobacco Award 2020
             will be entitled to the casual conversion provisions in sub-clause 10.8 of the Award
             after 9 months and not 6 months.

17 Casual and fixed term maintenance employees
   The agreement of the relevant group of employees (metal trades employees or electrical
   trades' employees) will be required for casual and/or fixed term employees to be engaged in
   the maintenance area.

18 Labour Hire
   Simplot agrees not to engage a labour hire company for the purposes of providing labour to
   the Echuca site during the period of this Agreement, unless it has consulted with and secured
   the agreement of its employees.

19 Contractor Agreement
   19.1   The following conditions shall apply in relation to contractors working on the Echuca
          site:
          a. The management will fully consult shop stewards and maintenance employees
             before contractors are engaged to undertake any work on the Echuca site.

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b. Contractors and their employees shall be introduced to the relevant shop stewards
              before they start work on the site.
           c. Metal and electrical trades contractors working at the Echuca site will be required
              to afford their employees the same terms and conditions as employees receive in
              accordance with this Agreement.
           d. A condition of any metal and electrical trades contractor working on site shall be
              to pay the applicable site wage rate to their employees.
           e. Simplot (in-house) maintenance employees will be given preference to undertake
              engineering work at the Echuca site where resources are available. This includes
              work that is undertaken on weekend or outside normal working hours.
   19.2    Simplot commits not to contract out any work normally conducted by its Food
           employees during the period of this Agreement, except with the agreement of those
           employees. This clause does not apply to new investment or new products introduced
           on the site from the 1st April 2006.
   19.3    Without compromising the terms of other provisions of this Agreement, the terms of
           this clause will also apply to work undertaken by other Simplot Echuca employees
           covered by this Agreement.

20 Re-employment of Seasonal Employees
   It is agreed between the parties that people engaged on a non-regular basis (seasonal and
   casual), who work satisfactorily for a period in the previous production year, shall be given the
   first opportunity for employment in the following year, based on seniority.
   The only exception to this is where the employee has been advised, prior to the end of the
   season, that his/her service has not been satisfactory and that future employment may not or
   will not be affected. Such reasons are to be given to the employee in writing.
   In the event of an employee's non-acceptance of notice not to re-employ, the union and
   Simplot agree to confer, with a view to referring the matter to the Fair Work Commission.

21 Apprentices
   21.1    Simplot has ongoing commitment to the training of trades persons via the
           Apprenticeship Scheme. Based on resources and business needs, Simplot will
           endeavour to employ an apprentice at least every second year. The ratio of
           tradespersons to apprentices will normally be 5 to 1, however this may be adjusted
           according to business needs.
   21.2    Simplot will normally offer apprentices at the conclusion of their apprenticeship two
           months employment at the site as a tradesperson. No such offer will be made if there
           have been problems or concerns about the apprentices performance or behaviour
           during his/her apprenticeship.

22 Job Sharing
   22.1    This provision applies to Food employees only.

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22.2   Job sharing is an employee initiated arrangement where two part time employees (the
          job sharers) can share a full time job. The aim of job sharing is to provide a more
          flexible approach to work practices to assist employees to address family
          commitments or work/life balance, including transition to retirement. It is not the
          intention of this provision to increase or decrease the Employer's costs or
          responsibilities or to increase the number of precarious jobs. Job sharing can only be
          accessed by two full time permanent employees.
   22.3   The combined hours worked by the job share employees shall be the same as those
          worked by a full time employee. The combination of hours and the roster worked shall
          be agreed in writing at the commencement of the job share arrangement. A copy of
          the arrangement shall be kept on each employees personnel file. Any changes agreed
          to the job share arrangement shall be committed to writing and kept on the job
          sharer's personnel file. Any disputes in relations to the agreed hours will be
          adjudicated in reference to the latest roster on the job shares personnel file. Annual
          Leave, RDOs, public holidays and sick days shall be distributed proportionately to each
          job sharer in the same ratio as the hours per week are worked. Long service leave shall
          be accrued and taken in accordance with the provisions of this Agreement. Employees
          considering a job share arrangement will be advised by the Employers of any adverse
          effects on their long service leave entitlements prior to making a decision. Employees
          will be given the opportunity of taking accrued long service leave prior to reducing
          their hours or may elect to partition the amount of long service leave accrued on full
          time employment to be taken at the full time rate at a later time, while the part time
          accrual will commence from the first day of the commencement of job sharing.
   22.4   Where an employee is sick or taking annual leave, the remaining employee is not
          expected to relieve. Should they be requested by the Employer to relieve the absent
          partner and agree to relieve and it is for less than one full week, the extra hours will be
          paid at overtime rates.
   22.5   Overtime will be paid for all time worked outside of the rostered hours. Job share
          employees will not be treated less favourably than full time employees.
   22.6   A job sharer may indicate their intention to terminate a job sharing arrangement by
          giving two weeks' notice in writing to the Employer. Following termination of the job
          share arrangement, a job sharer or both job sharers may return to a position/s for
          which they have the demonstrated ability to perform at the same classification level.
   22.7   Where the employer has concerns about the continuity of the arrangement and a
          satisfactory resolution has not been reached through consultation, the job share
          arrangement may be terminated by the giving of two weeks' notice in writing.

23 Recruitment and Internal Movement
   23.1   Internal Movement
          a. Permanent employees may request to transfer to another work team or shift to fill
             a temporary vacancy that will last longer than 6 months or to permanently fill a
             vacant position, in accordance with this sub-clause. Employees are only eligible to
             internally transfer into roles at the same or lower classification e.g. C8 to C8, F3 to
             F3 or F3 to F2.
          b. Internal transfer process:

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i. Employee to submit a completed Team Transfer Form. Employees may only
                 select 2 teams they would like to transfer to.
              ii. A register will be maintained by the site HR Manager. This register will be
                  maintained by chronological order of when the written expression of interest
                  was received.
              iii. When a vacancy occurs or when two requests match, an offer to move will be
                   made. The offer will be made in chronological order, until an offer is accepted.
              iv. After a transfer, employees must remain in the team/role for 9 months prior to
                  being accepted for another shift transfer, unless no other permanent employee
                  has such a shift transfer request in the register.
              v. In the event that a transfer is offered and the employee decides not to accept
                 it, the transfer request will be removed from the register.
              vi. Vacant permanent positions will remain open for 5 days and only permanent
                  employees may submit an application during this time. If after 5 days, no
                  permanent employee applies for such position(s), then casual employees may
                  also submit an application for such position(s). For the avoidance of doubt,
                  when the 5-day period elapses, both permanent and casual employees are able
                  to apply for the vacant position(s) and either may be successful in securing the
                  position.
              vii. The internal transfer process does not apply in the following circumstances:
                     temporary team transfers;
                     flexible working arrangements; and
                     accommodating changes to an employee’s personal circumstances.

   23.2   Recruitment of Team Leader Positions
          a. In relation to team leader positions, if after considering all internal applicants for
             team leader positions management is not satisfied that there is a suitable
             candidate for the position, the union delegate must be informed. There will be an
             opportunity for consultation and review. Unless sub-clause 23.2b is triggered,
             management may maintain its position and fill the position externally.
          b. In the event of a dispute, either party may refer the matter to the FWC, and the
             parties will abide by a recommendation as to the resolution to the dispute. The
             dispute process must be initiated with the FWC within one week of the delegate
             being informed with a request for an urgent conference.

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PART E – WAGES, ALLOWANCES AND RELATED MATTERS

24 Wage Increase
   Employees who are bound by this Agreement shall be paid the following wage increases:
           a. 2.0% on and from the first pay period on and after 1 April 2021;
           b. 2.5% on and from 1 April 2022;
           c. 2.5% on and from 1 April 2023.

25 Classification Percentages
   The percentage of the Manufacturing and Associated Industries and Occupations Award 2020
   C10 classification level specified in the award for classification levels above and below C10
   shall be applied to the site C10 wage rate and not the award wage rate. The site C10 wage rate
   as of 1 April 2021 is $1,537.29 (which includes the 2.0% increase in sub-clause 24 (a) above).
   The same principle shall apply for the Food classification structure whereby the Food
   classification level F4 shall be equal to the Manufacturing and Associated Industries and
   Occupations Award 2020 C10 classification wage rate paid at the site.
   All percentages of the Food, Beverage and Tobacco Award 2020 classification structure above
   and below F4 shall be based on the C10 site rate. Transfer to the new classification structure
   will not result in a lower wage rate being paid to any employee.
   Award classifications and applicable pay rates are outlined in Schedule 7 of this Agreement.

26 Production Team Leader Rate
   The Production Team Leader rate (F4) as provided under clause 25 Classification Percentages,
   will increase by $0.95 on 1 April 2021. The subsequent general wage increases specified in
   clause 24 Wage Increase, will apply and compound on this higher wage rate. This Production
   Team Leader wage rate arrangement is to recognise the responsibilities of a Team Leaders in
   connection to their classification.

27 Apprentice Wages
   27.1    The weekly wage for apprentices shall be calculated by applying the following
           percentages to the actual wage rate paid under this Agreement to employees classified
           at the C10 classification.
                                     Non-Adult Apprentices       Adult Apprentices (subject
                                                                    to sub-clause 27.2)

                      1st Year                 50%                          78%
                      2nd Year                 65%                         83.2%
                      3rd Year                 75%                         86.2%
                      4th Year                 88%                         90.2%

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27.2    Notwithstanding the terms of sub-clause 27.1, adult apprentices will be entitled to the
           better weekly wage arising from either the terms of sub-clause 27.1 or the terms of
           this sub-clause:
           a. Where a person was employed by the Company immediately prior to becoming an
              adult apprentice with the Company, such person shall not suffer a reduction in the
              rate of pay by virtue of becoming indentured.
           b. For the purpose only of fixing a rate of pay the adult apprentice shall continue to
              receive the rate of pay that applies to the classification or class of work specified in
              sub-clause 27.2a in which the adult apprentice was engaged immediately prior to
              entering into the contract of indenture.

28 Allowance Increases
   Subject to specific allowance increase provisions contained in this Agreement document,
   allowance payment adjustments shall continue to be made in accordance with the Food,
   Beverage and Tobacco Manufacturing Award 2020 and the Manufacturing and Associated
   Industries and Occupations Award 2020. For example, First Aider allowance.

29 Meal Allowance
   The meal allowance payment for all employees shall be $15.24.
   The amount of this meal allowance shall increase in accordance with increases to the amount
   for meal allowances specified in the Manufacturing and Associated Industries and Occupations
   Award 2020.
   Where an employee is required and does in fact work for more than 9.6 hours on any day such
   employee shall be paid a meal allowance.

30 Personal Protective Equipment, Protective Clothing, Overalls and Footwear/Boots
   Simplot shall supply all personal protective equipment, protective clothing, overalls and
   footwear/boots that employees require in the course of their employment.
   Simplot shall replace all such protective clothing, overalls and footwear/boots on a fair wear
   and tear basis. Simplot shall regularly launder all protective clothing and overalls.

31 Electricians Licences & Permits
   31.1    Simplot will compensate employees for costs associated with unrestricted, ('A Grade'),
           Austel, high voltage and any other licence or permit required on the site. The
           employee will supply satisfactory evidence.
   31.2    Electrical compliance safety system
   31.3    In recognition of government regulations regarding the compliance certification
           system and the extra work, responsibility and accountability imposed upon licensed
           electrical tradespersons, the following will apply.

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a. All licensed Electricians, as defined by the Office of the Chief Electrical Inspector,
              will continue to be paid an all-purpose weekly allowance of $73.47, effective 1
              April 2021, which will be increased in line with the wage increases in clause 24 (ii)
              and 24 (iii).
   31.4    All time required by licensed Electricians to fully comply with the Electrical Safety Act
           1998 will be provided and paid by Simplot.
   31.5    Paid training leave will be provided to licensed Electricians for refresher training on the
           requirements of the regulations. All courses, training manuals, text books, regulations
           and standards will be reimbursed by Simplot.
   31.6    Unless otherwise agreed by the Company and electrical tradespersons covered by this
           Agreement, the electrical ‘responsible and technical person’, as defined in the
           Electrical Safety Act 1998, will continue to be a suitably qualified person(s) appointed
           by the Company who is not covered by this Agreement.

32 Excess Travelling and Board
   All employees covered by this Agreement shall be compensated for time spent in travelling
   and fares under the provisions of sub-clause 30.5 of the Manufacturing and Associated
   Industries and Occupations Award 2020.

33 Superannuation
   Employees may nominate a complying superannuation fund, in accordance with the applicable
   legislation. In this case, employees can change their choice of fund.
   Simplot will pay employer superannuation contributions on a monthly basis to a level
   consistent with the Superannuation Guarantee Contribution (SGC).
   Where an employee nominates a new superannuation fund, they will need to notify Simplot in
   writing of their change in fund. The cost of any change from the superannuation funds will be
   the responsibility of the employee.
   If no fund is nominated, within one month of the commencement of employment, Simplot’s
   contributions will be directed to either Australian Super or the Simplot Superannuation Fund
   (currently SunSuper).

34 Salary Sacrifice
   34.1    An employee may request their rate of pay be reduced by the amount which they elect
           in writing to sacrifice each pay period. This will enable the Company to make a
           superannuation contribution equal to this amount for the benefit of the employee to
           their superannuation fund (either Australian Super or the Simplot elected fund). This
           reduction in pay for superannuation purposes will be known as a ‘salary sacrifice’
           arrangement. This contribution will be treated as an employer contribution and taxed
           accordingly. The Company confirms that superannuation contributions will be paid on
           the pre-salary sacrifice rate of pay.

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34.2   Employees will be able to salary sacrifice up to 90% of ordinary time earnings.
          Employees will be responsible for their own independent financial advice regarding
          salary sacrifice.
   34.3   Employees may review their salary sacrifice arrangements on 1 September each year.
          In urgent circumstances employees may change their salary sacrifice arrangements at
          another time during the year if there is demonstrated financial hardship. The Company
          recommends that employees seek independent financial advice before making a
          decision to make superannuation contributions by salary sacrifice.
   34.4   For all payments of annual leave, long service leave and other paid leave, overtime,
          termination and redundancy payments the pre-salary sacrifice rate of pay shall apply.

35 Income Protection
   35.1   Background
         The premium paid for income protection insurance is constituted of an amount as
          follows:
              o 1.0% paid by Simplot;
              o 1.2% paid by the employees by reducing their wage increases proportionately in
                 a previous agreement;
              o 0.68% paid by the employees by reducing their wage increase proportionately
                 in this agreement.
         From 1 May 2021, prior to the approval of this agreement, premiums increased to
          3.45% with employees paying 1.25% by salary sacrifice.

   35.2   Following the certification of this Agreement, an amount that is the equivalent of up to
          2.88% (including GST) per year will be paid by the Company on behalf of employees
          covered by this Agreement (Simplot’s contribution) to an Income Protection Insurance
          provider as determined in clause 35.3 below. Any increases in the premium shall be
          paid for by the employee by adjusting the rates of pay as prescribed in clause 25 and
          schedule 7 as necessary to pay for any increases, (otherwise the policy and coverage
          will lapse and cease to continue to apply). Such adjusted rates shall be the all-purpose
          rates.
   35.3   Subject to clause 35.2 of this agreement;
          a. a majority of employees to whom the incorporated Food Beverage and Tobacco
             Industry Award applies shall decide the income protection insurance coverage,
             policy and insurer that applies to the employees within that Award coverage.
             These arrangements are subject to agreement by Simplot.
          b. a majority of employees to whom the incorporated Manufacturing and Associated
             Industry and Occupations Award applies shall decide the income protection
             coverage, policy and insurer that applies to the employees within that Award
             coverage. These arrangements are subject to agreement by Simplot.
   35.4   Any part of the premium amount in clause 35.2 above (i.e. Simplot’s contribution), a
          part of which, or all of which, is not required to be paid by Simplot due to the terms of
          the policy, either on behalf of an employee or all of the employees in a group of
          employees (as defined in sub-clause 35.3), resulting in a decrease or cessation in

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premiums, shall be paid to the employees as a weekly allowance with the employees
          normal weekly pay. This allowance will be calculated as follows:
          a. in the case of cessation in income protection cover, 1.88% of the employees’ gross
             weekly earnings.
          b. in the case of a decrease in income protection premium, the reduced percentage
             amount in premium up to a maximum amount of 0.68% of the employees’ gross
             weekly earnings. For example if the premium is 1.7%, the allowance would be
             would be 0.68%.
   35.5   The allowance payment in clause 35.4 will be recognised as part of Ordinary Time
          Earnings (“OTE”) for the purpose of calculating employer superannuation payments.
   35.6   If an insurer and policy provide the income protection coverage for either group of
          employees, as defined in sub-clause 35.3, via a set dollar premium payment amount(s),
          then the parties will undertake an objective analysis to determine the percentage cost
          value that will be recognised as applying for the purposes of the implementation of
          sub-clause 35.2 and sub-clause 35.4 (as applicable).
   35.7   Superannuation on Income Protection
          The Company agrees to pay superannuation, as provided in this Agreement, for
          employees whilst on income protection.
   35.8   Income Protection and Leave
          The Company receives income protection insurance wage payments from the insurer
          and then the Company with any authorised deductions, makes the payments to the
          employee concerned. Employees will determine what, if any, type of leave is used to
          provide wage payments for employees, prior to the income protection insurer making
          a decision whether or not to approve an income protection claim. When an income
          protection claim has been approved and such leave payments have been made to the
          employee concerned then the leave credits will be re-credited to employee concerned.
   35.9   Leave Accruals on Income Protection
          An employee who is absent from work on account of personal illness or injury and is in
          receipt of income protection insurance payments from the insurer will have such
          absence time recognised as employment period of service for the purpose of accruing
          Personal Leave, Annual Leave and Long Service Leave.
   35.10 Leave Accruals Pay Outs on the Termination of Employment
          When an employee is paid out their accrued leave entitlements on the termination of
          employment in accordance with this Agreement, the leave payout amount will be
          increased by 1.88% to take into account the reduction in wage rates that occurred
          during negotiations of an earlier Agreement to contribute to the costs associated with
          the introduction of income protection. This entitlement will apply in all circumstances
          on termination of employment.

36 Journey Accidents and Accident Pay
   36.1   A number of years ago legislative changes to workers compensation legislation
          removed provisions covering workers for journey accidents whilst travelling to and
          from work.

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