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OPTUS EMPLOYMENT PARTNERSHIP AGREEMENT (2003)

1.0 INTRODUCTION

This Agreement shall be known as the Optus Employment Partnership Agreement (2003).

Both Optus Administration Pty Limited ('Optus) and Optus employees (the employees) covered by this Agreement recognise the need to continue implementation of an appropriate minimum income and working conditions environment for Optus employees. This Agreement satisfies that need.

1.1 Commitment

This Agreement reflects the ongoing commitment of Optus and its employees to develop a world leader operation and provides the basic conditions for a constructive relationship between Optus and its employees.

Optus and its employees have agreed to work together to develop a committed, flexible and highly skilled workforce that is focused on customer service, optimum productivity and a working environment which is mutually rewarding to Optus and all of its employees.

This is to be achieved by an acceptance of, and an ongoing commitment to, Optus values and a recognition of the obligations of management and the employees as set out in this Agreement.

1.2 Optus Values

At Optus, our values guide our behaviour and contribute to our success.

Our shared values are:
(a) Act as One - by being one group, one Company and one team;
(b) Challenger Thinking - to think and act like a challenger,
(c) Take Ownership - by agreeing goals, exceeding expectations and recognising successes; and
(d) Personal Renewal - to respect individual differences and develop professionally and personally.

1.3 Optus' Obligations:

Commit management to nurturing and maintaining a working environment that:
(a) is focused on optimum productivity and the highest standards of customer service;
(b) seeks to utilise and develop the employees' full range of skills;
(c) provides a training structure that enables employees to be kept up-to-date in world-wide telecommunications, information technology and/or cable television and other skills technologies and developments in order to satisfy Optus work requirements and employee development;
(d) provides for the pursuit of flexible working conditions which better service the customer and facilitate and support operational requirements;
(e) enables employees and line management to develop fair and effective employee relations practices;
(f) is both safe and rewarding; and
(g) provides for genuine consultation and concern for employee well being.

1.4 Employees' Obligations:
All Optus employees commit:

(a) to act as integral and professional members of the total Optus team by effectively discharging their responsibilities;
(b) to be accountable/responsible for their decisions and actions;
(c) to deliver long term customer satisfaction by fully utilising skills endorsed or nominated by Optus;
(d) to maintain a high level of proficiency in their area(s) of expertise;
(e) to implementing Optus' critical focus on productivity and customer service;
(f) to fully participate in relevant problem solving exercises at the workplace/enterprise;
(g) to act ethically, constructively and co-operatively with Optus employees, customers and business associates.

2.0 APPLICATION

2.1 This Agreement shall be binding on Optus and on all employees whose salaries and conditions of employment are intended, except for this Agreement, to be regulated by the Optus Award 2000 or any award replacing that award, being those employees to whom the minimum rates in Appendix A(i), A(ii) and A(iii) are applicable.

2.2 The terms of this Agreement shall prevail over the terms of the Optus Award -2000, in accordance with the Workplace Relations Act 1996.

3.0 DURATION OF AGREEMENT

3.1 Ibis Agreement shall take effect from, the date of its approval by the Australian Industrial Relations Commission and shall remain in force for three years.

4.0 CHANGED WORK ARRANGEMENTS

4.1 Optus and its employees agree that consistent with existing practices, Optus has the flexibility to conduct its operations within the full scope offered by this Agreement.

4.2 The obligations on Optus arising from Clauses 6.2 (a), 6.2 (b), 6.2(c), 6.2 (d), 6.9, 6.12, 6.13 and 6.14 or any of them, may be changed by agreement between Optus and any group of employees and be deemed part of this Agreement provided that:

(a) Optus genuinely consults with the employees in the group about the change before their agreement is sought; and
(b) the majority of employees in the group genuinely agree with the change via a confidential process established to determine that agreement; and
(c) the agreement must not disadvantage the employees in the group when considered against the terms of this Agreement as a whole; and
(d) the agreement 'Ls necessary to make Optus or a particular workplace operate more efficiently according to its particular needs; and
(e) where the majority of employees in the group support the change, the approval of the Australian Industrial Relations Commission will be sought prior to its implementation in the same manner as it was sought for approval of this Agreement.

5.0 CONTRACT OF EMPLOYMENT

5.1 Introduction

It is envisaged that the Optus workforce will primarily be full time. However, to accommodate Optus operational flexibility requirements, less than full time employment will be available to supplement Optus' full time employment focus.

An employee may be directed to, and shall carry out such duties as are within the limits of the employee's skill, competence and training.

5.2 Full Time Employees

Full time employees will be engaged on a monthly basis provided that any employee may agree to be employed on a different periodic basis.

No full time employee shall be transferred to less than full time employment without his/her written consent.

5.3 Block Time Employees

Persons may be employed by Optus for a mutually agreed period or project. Such employees (as distinct from casual employees) will be entitled to at least minimum pro rata remuneration and conditions as provided in this Agreement based on the equivalent full time position. At the conclusion of the employment period or project, the employee will be paid any outstanding entitlements but, subject to the Workplace Relations Act 1996, will not be entitled to any redundancy payment.

5.4 Part Time Employees

Persons willing and available to work, on a regular basis, less than 38 hours per week, or as an agreed alternative, less than 76 hours per fortnight, may be engaged as part time employees. The number and configuration of hours to be worked by such employees may vary from week to week as determined at the time of engagement or appointment to an alternative position or as subsequently agreed.

Part time employees will be entitled to a base hourly rate equivalent to 1/38th of the weekly remuneration and will be entitled to pro rata conditions provided in this Agreement based on the comparable full time position. Any period of accrued leave or payment in lieu where applicable shall be paid on a pro rata basis.

Part time employees become eligible for overtime only after completing 38 hours in a week (or if they have been employed on the basis of fortnightly hours, after completing 76 hours in a fortnight).

5.5 Casual Employees

Persons may be engaged as casual employees on an hourly basis.

A casual employee will be entitled to a base hourly rate during core hours of 1/38th of the weekly remuneration of a comparable full time position plus a loading of 20% of the applicable Agreement rate in lieu of all leave provisions available to other categories of employees.

5.6 Probation Period

Full time, block time and part time employees may be recruited on probation for a maximum of 3 months. The probationary period forms part of continuous service for all purposes of this Agreement.

5.7 Termination of Employment

(a) In the case of full time or part time employees, one month's notice (or payment or forfeiture of payment in lieu of notice) of termination of employment shall be given by the employee or Optus.

(b) When a full time or part time employee is over 45 years of age and has two years continuous service, five weeks notice (or payment in lieu of notice) of termination of employment shall be given by Optus.

(c) The notice periods referred to in (a) and (b) above are equal to or in excess of the notice of termination of employment provisions contained in the Workplace Relations Act 1996.

(d) In the case of a casual employee and subject to the Workplace Relations Act 1996, one hours notice of termination of employment shall be given by the employee or Optus.

(e) In the case of block time employees, one weeks notice (or payment or forfeiture of payment in lieu of notice) of termination of employment shall be given by the employee or Optus during the agreed period/project for which the block time employee was employed, provided that Optus must give any longer period of notice (or payment in lieu of notice) as may be required in any situation by the Workplace Relations Act 1996.

(f) If a block time employee's employment is not terminated in accordance with (e), such employment will end when the mutually agreed period/project ends.

(g) In the case of a full time or part time employee on a probation period, one weeks notice (or payment or forfeiture of payment in lieu of notice) of termination of employment shall be given by the employee or Optus.

(h) Nothing in this clause will prejudice Optus' right to dismiss an employee instantly without notice for serious breaches of his or her contract of employment, for example serious misconduct or gross neglect of duty.

(i) Termination of employment by Optus (whether with notice or without) will not be harsh, unjust or unreasonable.

(j) A dispute over termination of employment which cannot be resolved between Optus and an employee may be referred to the Australian Industrial Relations Commission under the Workplace Relations Act 1996.

(k) The provisions of (h), (i) and (j) are consistent with the provisions contained in the Workplace Relations Act 1996.

(l) Unless Optus agrees, notice of termination of employment cannot be given by an employee if the notice runs concurrently with annual leave or long service leave.

(m) Optus may set off any amounts an employee owes to Optus against any amounts Optus owes the employee at the date of termination.

5.8 Redundancy

Any employee whose employment position has become redundant and whose employment is terminated as a consequence of Optus not being able to find suitable alternative employment for the employee, shall receive notice or receive payment in lieu of notice in accordance with Clause 5.7 and severance payment of 3 weeks remuneration per completed year of service. This severance payment shall not exceed 40 weeks remuneration to any such employee. An employee shall not be regarded as having become redundant where Optus finds suitable alternative employment for the employee.

In addition, such employees will be entitled to full payment of any accrued annual and long service leave entitlements.

6.0 HOURS OF WORK

6.1 Introduction

Optus, and its employees agree that there are three fundamental objectives for Optus to consider in determining how an employee's working hours are to be structured under this Agreement:

(a) The most efficient production and delivery of the service.

(b) The most effective way of servicing the customer.

(c) The most effective way of meeting employees' needs for satisfying work personal development, health and workplace safety.

6.2 Standard Provisions

(a) All hours of work will be divided between core and non-core hours. Core hours shall be between 7 a.m. and 7 p.m. unless varied. Any variation to the core hours on a workplace or individual basis shall only be by agreement, but in any case the length of the span (12 hours) shall not be varied. Hours outside the standard span or agreed span shall be non-core hours.

(b) Ordinary hours of work of full time employees, other than Retail employees and those working rostered shifts will be 38 hours per week, or in the alternative 76 hours per fortnight, and will ordinarily be worked Monday to Friday as determined by Optus.

(c) Saturday shall operate as an ordinary time day for Retail employees and Retail employees may agree that Sunday operates as an ordinary time day provided that no pressure will be applied to any employee to so agree. Non- retail employees may agree that Saturday operate as an ordinary time day provided that no pressure will be applied to any employee to so agree.

(d) In determining its shift rosters, Optus shall ensure that the working hours average 38 hours per week over the duration of the shift cycle nominated for each operations group or workplace and that any variation from such average shall not be unreasonable.

(e) Within the standard hours, management may nominate alternate work/off-line periods to be worked by the employee.

(f) Start and finish arrangements for each employee's ordinary hours will be initially determined by management to reflect the differing operational requirements from each employee within each workplace. These arrangements can be varied by agreement between management and any employee(s) at each work site following a process of consultation in accordance with Optus policy and provided that an employee may not unreasonably withhold agreement to a variation resulting from changed business requirements.

6.3 Rates of Pay - Definitions

There shall be 3 rates of pay:.

(a) a 'core rate' shall apply for all ordinary hours worked within core hours;

(b) a 'non core rate' shall be paid for all rostered ordinary hours of work any part of which starts or finishes or starts and finishes either side of the nominated or otherwise agreed core hours. (Such work shall be known as shift worse; and

(c) an 'overtime rate' shall apply for all hours worked in excess of 38 hours per week, or in the alternative 76 hours per fortnight, according to the ordinary hours arrangements the employee is working.

6.4 Core Rate

The 'core rate' shall be the employee's actual ordinary hour's rate of remuneration.

6.5 Non Com Rate (Shift) - Definitions

(a) 'Afternoon shift' means any shift of ordinary hours finishing after 7.00 p.m. and at, or before, midnight.

(b) 'Night shift' means any shift of ordinary hours finishing after midnight and where the majority of all hours worked are worked before 7.00 a.m.

(c) Morning shift' means any shift of ordinary hours starting after midnight and before 7.00 a.m. and finishing after 7.00 a.m. and where the majority of all hour's worked are worked after 7.00 a.m.

Provided that the definitions of such shifts and the loadings prescribed below take into account any variation agreed between Optus and its employees regarding the span of core hours.

6.6 Loadings - Monday to Friday

(a) An employee rostered to work afternoon shift shall, be entitled to a loading of 15% of the employee's core rate for each such shift worked.

(b) An employee rostered to work night shift shall be entitled to a loading of 20% of the employee's core rate for each such shift worked.

(c) An employee rostered to work morning shift shall be entitled to a loading of 10% of the employee's core rate for each such shift worked.

6.7 Loadings - Saturday, Sunday and Public Holidays

(a) An employee rostered on shift work, the major part of which is performed between 11 p.m. Friday and midnight Saturday shall be entitled to a loading of 50% of the employee's core r-ate for each such shift worked.

(b) An employee rostered on shift work, the major part of which is performed between 11 p.m. Saturday and midnight on the Sunday shall be entitled to a loading of 100% of the employee's core rate for each such shift worked.

(c) An employee rostered on shift work, the major part of which is performed between 11 pm. on the night preceding a Public Holiday and midnight on the Public Holiday, shall be entitled to a loading of 150% of the employee's core rate for each such shift worked.

6.8 Loadings - General

Shift loadings are not payable in respect of overtime, while on call or on periods of leave other than annual leave.

6.9 Shift Work Arrangements

(a) Shift rosters shall be prepared by Optus after consultation with relevant employees and give employees a minimum 7 days prior notice of the roster.

(b) Any Optus initiated roster variation which does not permit 7 days prior notice shall only occur on the basis of unforeseen or exceptional circumstances, for example illness or emergency.

(c) Employees are empowered within criteria set up by workplace management to exchange shifts with fellow employees subject always to local operational requirements. In such circumstances, only the employee actually doing the work is entitled to any applicable loading. No additional costs shall be incurred by Optus for such arrangements.

(d) Employees may be required, on a rostered basis, to work at least 1 additional shift each roster period at the applicable overtime rate.

(e) Overtime worked in conjunction with rostered shift work shall attract either the non core rate or overtime rate whichever is the larger but not both.

Employees who are employed on 7 day shift working rosters, i.e. where working hours are rostered and worked outside core hours on each of the 7 days per week across the shift cycle, will be entitled to additional annual leave of up to 5 working days per year. Where, rostered duty is performed on less than 10 Sundays in the year the additional leave will accrue at-the rate of « day per rostered Sunday worked up to a maximum of 5 days.

(g) Shift employees while on annual leave shaft be entitled to a loading equal to the average shift loading incurred for that year or a pro rata loading for any employees who have completed less than one year's such work

(h) Employees whose scheduled day off falls on a public holiday shall elect either a day in lieu of the public holiday, an additional day's leave or a days pay at the core rate. The additional leave does not attract shift loadings.

6.10 Overtime

Employees shall be required to work overtime as reasonably required by Optus and shall only be entitled to payment (or granted time in lieu) where such overtime has been directed to be undertaken. Such employee(s) should lodge an application for payment of overtime within 14 days of the overtime being worked to ensure its timely payment.

6.11 Time Off in Lieu

Time off in lieu of overtime may be available to Optus employees at the request of the employee and with the agreement of the appropriate manager.

The time off in lieu in all instances is to equal the period of overtime actually worked and shall be taken within I month of entitlement having regard to the operational requirements of the employee's workplace.

6.12 Overtime - Applicable Rate

Overtime, calculated by reference to the employee's remuneration at the rate of time and a half for the first 3 hours and double time thereafter, shall be paid for all time directed to be worked 'in excess of weekly hours (or, where employment is based on fortnightly hours, time and a half for the first 6 hours and double time thereafter).

For such work done on Saturday the overtime rate is time and one half for the first 3 hours and double time thereafter. For such work done on a Sunday the overtime r-ate is double time for all time worked. For such work done on a Public Holiday the overtime rate is two and a half times for all time worked. Overtime on a Sunday or Public Holiday however, shall not count toward the threshold period for which overtime is otherwise payable at the rate of time and one half only.

Except where such work continues on from the employee's ordinary hours without a break (other than a meal break or other agreed break) a minimum payment of 3 hours at overtime rates is payable for overtime performed Monday to Friday and a minimum of 4 hours on a Saturday, Sunday or Public Holiday.

6.13 Unscheduled Customer Servicing

(a) Rostered Arrangements

In order to satisfy essential network operation or customer service requirements, Optus may determine that it is necessary to impose mobility and social restrictions on an 'off duty employee or employees on a roster-ed basis to ensure their availability for responding to unscheduled servicing requirements.

Employees so rostered must respond, in the appropriately identified manner to the relevant service demand/requirement within one half hour of being contacted, i.e. be directly enroute to the worksite or have remotely accessed via home based computer work equipment. In rostering employees for this purpose, Optus will have regard to their ability to be at the Worksite within a time frame which meets its business need for satisfying essential network operation or customer service requirements.

As compensation for accepting the mobility and social restrictions the rostered employee shall be entitled to an amount of 20% per hour calculated by reference to the employee's remuneration.

Any employee restricted as above and who is required to report to the worksite or a customer's premises shall be entitled to the appropriate overtime rate for a minimum period, inclusive of travel time, of 3 hours for any unscheduled call out. Where such an employee is required to respond to an unscheduled network operations or customer servicing requirement via home based work equipment i.e. through remote diagnostics, analysis and correction, or is required to provide telephone directions/advice to achieve service restoration, the minimum entitlement shall be 1 hour at the applicable overtime rate.

(b) Non Rostered Call Out

Any employee who has not been rostered on to a personal restriction situation but who is required to respond to an unscheduled servicing requirement at the worksite or at a customer's premises shall be entitled to overtime at the applicable rate for such call out subject to the minimum period prescribed in (a) above.

Where an employee who has not been Fostered on to a personal restriction situation is required to respond to an unscheduled network operation or customer servicing requirement via home based work equipment, i.e. through remote diagnostics, analysis and correction, the minimum entitlement shall be 1 hour at the applicable overtime rate. The simple provision of, or requirement to carry a mobile phone or wear a pager for contact purposes however does not provide an entitlement.

(c) Where an employee is required to attend to a subsequent unscheduled servicing requirement and the minimum payment period for the previous call out has not expired, the additional period for payment will extend only to the time the subsequent call out (including travel time) concludes.

6.14 Rest Breaks

(a) Employees will be entitled to an unpaid meal break of minimum half hour duration not later than 5 hours after commencing duty. Management may determine other breaks they deem reasonable. The timing and duration of all breaks will be structured by management to meet operational requirements.

Such breaks will not be extended to provide for split shifts.

The scheduling of meal breaks for part time employees, where applicable, shall have regard to their scheduled start and finish times.

(b) In the interests of health and safety, employees required to work overtime which continues on from their normal working day, should receive a break of at least 10 hours, inclusive of travel, before resuming normal work. Health and safety considerations must be the prime determinant for any employee who resumes work before this minimum break is completed. This period may be reduced if the overtime worked is as. a consequence of voluntarily exchanged shifts.

(c) Where health and safety issues determine that it is necessary, an employee who has been recalled to undertake unscheduled servicing at the worksite or customer's premises or, who has been required to work overtime which is not continuous with their normal working day, should be relieved from duty on their next regular shift without deduction of pay, for a period equal to the length of the unscheduled servicing requirement (including travel time).

In times of identified emergency situations, provisions relating to scheduled breaks shall be relaxed until the emergency has been brought into a controlled situation.

Optus management is responsible for ensuring that the health and safety interests noted above are effectively implemented.

6.15 Partial Exemptions

The Agreement provisions relating to ordinary hours of work, start and finish times, overtone and unscheduled customer servicing shall not apply to employees in specified classifications as set out 'in Appendix A(l), A(ii) and A(iii) -



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