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POST LOGISTICS THIRD PARTY WAREHOUSING/FULFILMENT BUSINESS
ENTERPRISE AGREEMENT 2004-2006 (Pre Ballot Version)

Logistics Agreement
IMPORTANT NOTES
This is the pre ballot version - 6 Sept 2004
This EBA6 must e read together with some explanatory letters and letters of undertakings by Australia Post.
See EBA6 Undertakings below.

17. TERMINATION OF EMPLOYMENT

17.1 Notice of Termination by Employer

17.1.1 In order to terminate the employment of an employee the employer must give to the employee the period of notice specified in the table below:

  Period of continuous service                      Period of notice
  1 year or less                                    1 week
  Over I year and up to the completion of 3 years   2 weeks
  Over 3 years and up to the completion of 5 years  3 weeks
  Over 5 years of completed service                 4 weeks

17.1.2 In addition to the notice in 17.1.1, employees over 45 years of age at the time of the giving of the notice with not less than two years continuous service, are entitled to an additional week's notice.

17.1.3 Payment in lieu of the prescribed notice in 17.1.1 and 17.1.2 must be made if the appropriate notice period is not required to be worked. Provided that employment may be terminated by the employee working part of the required period of notice and by the employer making payment for the remainder of the period of notice.

17.1.4 The required amount of payment in lieu of notice must equal or exceed the total of all amounts that, if the employee's employment had continued until the end of the required period of Notice, the employer would have become liable to pay to the employee because of the employment continuing during that period. That total must be calculated on the basis of:
(a) the employee's ordinary hours of work (even if not standard hours); and
(b) the amounts ordinarily payable to the employee in respect of those hours, including (for example) allowances, loading and penalties; and
(c) any other amounts payable under the employee's contract of employment.

17.1.5 The period of notice in this clause does not apply:
(a) in the case of dismissal for serious misconduct;
(b) to apprentices;
(c) to employees engaged for a specific period of time or for a specific task or tasks;
(d) to trainees whose employment under a traineeship agreement or an approved traineeship is for a specified period or is, for any other reason, limited to the duration of the agreement; or
(e) to casual employees.

17.1.6 continuous service is defined in clause 3.4 - DEFINITIONS

17.2 Notice of Termination by an Employee

17.2.1 The notice of termination required to be given by an employee is the same as that required of an employer, save and except that there is no requirement on the employee to give additional notice based on the age of the employee concerned.

17.2.2 If an employee fails to give the notice specified in 17.1.1 the employer has the right to withhold monies due to the employee to a maximum amount equal to the amount the employee would have received under 17.1.4.

17.3 Job Search Entitlement

Where an employer has given notice of termination to an employee, an employee shall be allowed up to one day's time off without loss of pay for the purpose of seeking other employment. The time off shall be taken at times that are convenient to the employee after consultation with the employer.

17.4 Transmission of Business

Where a business is transmitted from one employer to another, as set out in clause 18 - REDUNDANCY, the period of continuous service that the employee had with the transmittor or any prior transmittor is deemed to be service with the transmittee and taken into account when calculating notice of termination. However, an employee shall not be entitled to notice of termination or payment in lieu of notice for any period of continuous service in respect of which notice has already been given or paid for.

17.5 Reasons for Termination

The employer may terminate the services of a permanent or fixed term employee at any time for behaviour or performance that warrants such action, including:
(a) serious misconduct or wilful neglect of duty or grossly negligent conduct;
(b) incompetence or inefficiency for reasons within the employee's control;
(c) failure to observe the Code of Behaviour.
in such cases there is no entitlement to notice and any entitlements under this Agreement are to be paid up to the time of dismissal only.
For the purpose of this clause, grossly negligent conduct involves a reckless act or omission that causes or could cause significant damage or harm.

17.6 Termination of Employees on Probation

An employee on probation will be given one week's notice of termination or payment in lieu of notice, except where an employee's employment is terminated for serious misconduct and/or grossly negligent conduct.

17.7 Review of Termination of Employment

An employee may exercise his or her rights pursuant to the Workplace Relations Act 1996, in relation to a termination decision under this Agreement. This will be the sole right of review in respect of a termination decision for a breach of the Code of Behaviour.

18. REDUNDANCY

18.1 Definitions

18.1.1 Business includes trade, process, business or occupation and includes part of any such business.

18.1.2 Redundancy occurs where an employer has made a definite decision that the employer no longer wishes the job the employee has been doing done by anyone and that decision leads to the termination of employment of the employee, except where this is due to the ordinary and customary turnover of labour.

18.1.3 Transmission includes transfer, conveyance, assignment or succession whether by agreement or by operation of law and transmitted has a corresponding meaning.

18.1.4 Week's pay means the ordinary time rate of pay for the employee concerned. Provided that such rate shall exclude:

  • overtime;
  • penalty rates;
  • disability allowances;
  • shift allowances;
  • special rates;
  • fares and travelling time allowances;
  • bonuses; and
  • any other ancillary payments of a like nature.

    18.2 Transfer to Lower Paid Duties

    Where an employee is transferred to lower paid duties by reason of redundancy the same period of notice must be given as the employee would have been entitled to if the employment had been terminated and the employer may at the employer's option, make payment in lieu thereof of an amount equal to the difference between the former ordinary rate of pay and the new ordinary time rate for the number of weeks of notice still owing.

    18.3 Severance Pay

    18.3.1 Severance Pay An employee whose employment is terminated by reason of redundancy is entitled to the following amount of severance pay in respect of a period of continuous service: Period of continuous service Severance pay Less than 1 year Nil 1 year and less than 2 years 4 weeks' pay* 2 years and less than 3 years 6 weeks' pay 3 years and less than 4 years 7.5 weeks' pay 4 years and less than 5 years 10 weeks' pay 5 years and less than 6 years 12.5 weeks' pay 6 years and less than 9 years 15 weeks' pay 9 years and over 16 weeks' pay *Week's pay is defined in 18.1.

    18.3.2 Provided that the severance payments shall not exceed the amount which the employee would have earned if employment with the employer had proceeded to the employee's normal retirement date.

    18.3.3 Continuity of service shall be calculated in the manner prescribed by clause 3.4.

    18.3.4 Application may be made for variation of the severance pay provided for in this clause in a particular redundancy situation in accordance with the Redundancy Case Decision [PR032004, 26 March 2004] and the Redundancy Case Supplementary Decision [PRO62004, 8 June 2004].

    18.4 Employee Leaving During Notice Period

    An employee given notice of termination in circumstances of redundancy may terminate his/her employment during the period of notice set out in clause 17 - TERMINATION OF EMPLOYMENT. In this circumstance the employee will be entitled to receive the benefits and payments they would have received under this clause had they remained with the employer until the expiry of the notice, but will not be entitled to payment in lieu of notice.

    18.5 Alternative Employment

    18.5.1 An employer, in a particular redundancy case, may make application to the Commission to have the general severance pay prescription varied if the employer obtains acceptable alternative employment for an employee.

    18.5.2 This provision does not apply in circumstances involving transmission of business as set in 18.7.

    18.6 Job Search Entitlement

    18.6.1 During the period of notice of termination given by the employer in accordance with 17.1, an employee shall be allowed up to one day's time off without loss of pay during each week of notice for the purpose of seeking other employment.

    18.6.2 If the employee has been allowed paid leave for more than one day during the notice period for the purpose of seeking other employment, the employee shall, at the request of the employer, be required to produce proof of attendance at an interview or he or she shall not receive payment for the time absent. For this purpose a statutory declaration will be sufficient.

    18.6.3 The job search entitlements under this sub-clause apply in lieu of the provisions of 17.3.

    18.7 Transmission of Business

    18.7.1 The provisions of this clause are not applicable where a business is before or after the date of this award, transmitted from an employer (in this sub-clause called the transmittor) to another employer (in this sub-clause called the transmittee), in any of the following circumstances:
    (a) where the employee accepts employment with the transmittee which recognises the period of continuous service which the employee had with the transmittor and any prior transmittor to be continuous service of the employee with the transmittee; or
    (b) where the employee rejects an offer of employment with the transmittee:

  • in which the terms and conditions are substantially similar and no less favourable, considered on an overall basis, than the terms and conditions applicable to the employee at the time of ceasing employment with the transmittor; and
  • which recognises the period of continuous service which the employee had with the transmittor and any prior transmittor to be continuous service of the employee with the transmittee.

    18.7.2 The Commission may vary 18.7.1(b) if it is satisfied that this provision would operate unfairly in a particular case.

    18.8 Employees Exempted

    This clause does not apply to:

  • employees terminated as a consequence of serious misconduct that justifies dismissal without notice;
  • probationary employees;
  • apprentices;
  • trainees;
  • employees engaged for a specific period of time or for a specified task or tasks; or
  • casual employees.

    18.9 Incapacity to Pay

    The Commission may vary the severance pay prescription on the basis of an employer's incapacity to pay. An application for variation may be made by an employer or a group of employers.



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