The Canberra Times & AAP
http://www.canberratimes.com.au/news2/news2.shtml
Tuesday, 1 February, 2000

Unions hail moral, legal victory over contracts

By TREVOR CHAPPELL

MELBOURNE Unions praised yesterday a Federal Court decision temporarily 
stopping mining giant BHP Iron Ore Pty Ltd from offering individual 
contracts to iron-ore workers in Western Australia.

The Australian Council of Trade Unions described the court decision as a 
moral and legal victory for union members who wished to determine their 
workplace conditions under collective agreements rather than individual 
contracts.

Five unions representing BHP workers in the Pilbara had sought an 
injunction following the company's decision to offer the individual 
agreements to more than 1,000 "award employees" and its refusal to 
negotiate a new collective agreement.

The unions had argued that BHP had "singled out" iron-ore workers who had 
not switched to individual contracts and had offered sweeteners in the new 
contracts to induce workers to staff agreements, thereby inducing them to 
break away from their unions.

Justice Peter Gray granted unions an interlocutory injunction halting BHP's 
push for industrial change pending a trial over claims that the company had 
breached the Workplace Relations Act.

Justice Gray said there was a case to be tried that BHP had contravened 
sections of the Act by "injuring" award employees in their employment or 
altering the positions of award employees to the prejudice of those employees.

"There is some evidence of overt discrimination by the respondent [BHP Iron 
Ore] against those who continue to be its award employees," Justice Gray said.

Justice Gray said there was an arguable case that BHP Iron Ore's conduct 
had caused significant numbers of employees who had accepted individual 
contracts to resign their union membership.

ACTU president-elect Greg Combet said the court decision represented "a 
very important legal victory" for the workers in the Pilbara and for other 
workers confronted with similar situations.

"It's also an important moral victory, I think, that says there's some 
justice for working people when they're confronted with a situation where 
there's obviously discrimination against their right to collectively 
bargain," he told reporters outside the court.

BHP has said it was vital to the company's international competitiveness to 
move to individual contracts, and that about half the 1,000 workers offered 
the deal had already signed up.

BHP Iron Ore president Graeme Hunt said the company would seek advice on 
whether to appeal against the court decision.

He told reporters that BHP would not accept a collective agreement unless 
it provided the same efficiency benefits as individual contracts.

Mr Combet said BHP had contacted the ACTU yesterday to see if some solution 
to the dispute could be found.

Unions only wanted to be able to negotiate with the company on behalf of 
workers who wanted a collective agreement, Mr Combet said. - AAP


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