Printing & Kindred Industrial Union & Anor v Davies Bros Ltd [1986] FCA 640
Federal Court of Australia
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CATCHWORDS
Industrial law - award - interpretation of certified agreement -
whether "employees" includes casual employees - whether ambiguity
- parol evidence rule - evidence of circumstances when agreement
made - actual intention of party - evidence of subsequent conduct
of parties.
Conciliation and Arbitration Act 1904 5s. 110
Newspaper Printing Agreement 1979
Saturday Evening Mercury Agreement
Federal Newspaper Printing Agreement 1953
Pickard v. John Heine & Son Ltd. (1924) 325 C.L.R. 1
Kirkness v. John Hudson & Co. Ltd. £13555] A.C. 6596
Codelfa Construction Pty. Ltd. v. State Rail Authority of New
South Wales (1982) 149 C.L.R. 337
Seamen's Union of Australia v. Adelaide Steamship Co. Ltd. (1976)
46 F.L.R. 444
Merchant Service Guild of Australia v. Sydney Steam Collier
Owners and Coal Stevedores Association (1958) 1 F.L.R. 248
PRINTING AND KINDRED INDUSTRIES UNION AND ANOR. v. DAVIES BROS.
LIMITED _
N.S.W. No. I. 8 of 1986 2 LS
GRAY J. oo
23RD DECEMBER 1986 ONES
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IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY N.S.W. No. I. 8 of 1986
INDUSTRIAL DIVISION
BETWEEN:
PRINTING AND KINDRED
INDUSTRIES UNION
First
Applicant
CHRISTOPHER HARVEY
Second
Applicant
AND
DAVIES BROS. LIMITED
Respondent
JUDGE: GRAY J.
DATE: 23RD DECEMBER 1986
REASONS FOR JUDGMENT:
The Newspaper Printing Agreement 1979 is an agreement
made between the Printing and Kindred Industries Union and
various proprietors of newspapers. On ist December 1981, a
memorandum of the agreement was certified by the Australian
Conciliation and Arbitration Commission, pursuant to s. 28 of the
Conciliation and Arbitration Act 1904 ("the Act"). Clause 43 of
the Newspaper Printing Agreement 1979 provides:
"43 - SATURDAY EVENING MERCURY AGREEMENT
The Saturday Evening Mercury Agreement as applying
only to Davies Brothers Limited shall be as prescribed
by schedule "BAA" which is hereby incorporated in this
agreement."
"4
a
Schedule BAA, omitting formal parts, 15 as follows:
"NEWSPAPER PRINTING AGREEMENT 1979
SCHEDULE "BAA"
"SATURDAY EVENING MERCURY" AGREEMENT
This industrial agreement made between Davies
Brothers Limited, of Macquarie Street, Hobart, Tasmania,
and the Printing Industry Employees' Union of Australia,
of 321 Pitt Street, Sydney, New South Wales, applies to
work to be performed on a Saturday in or in connection
with the weekly newspaper to be known as the "Saturday
Evening Mercury", which is proposed to be printed and
published on and from Saturday, 3 July 1954. It as
hereby agreed:
1. That employees employed on Saturday in or in
connection with the printing and publishing of the said
paper shall he:
(a) Paid at the rate of double rate or double tame
of the Newspaper Printing Agreement operative
from about 1 January 1953, for such work, and
(b) Guaranteed a minimum of four hours' work or pay
in liéu of work.
2. The rate of double rate or double time referred
to in paragraph 1 (a) of this agreement shall be
reckoned, when applying to a:
(a) day worker, at the day work rate, or
(6b) night worker, at the night work rate.
3. That a roster shall be compiled by agreement
between the employer and the Chapel. The roster shall,
as far as practicable, ensure that all employees' share
equally in the work to be performed in or in connection
with the said newspaper. The roster shall be compiled
not later than Thursday in each week.
4. That this agreement shall be operative on and
from 3 July 1954, and shall continue in force until
amended or abrogated by one month's notice in writing by
one party to the other party."
The first applicant, Printing and Kindred Industries
Union ("the Union") is an organization of employees, registered
pursuant to the Act. The second applicant is the Federal
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Secretary of the Union. The respondent 15 a company, which 1s a
party to the Newspaper Printing Agreement 1979, and the only
party other than the Union bound by the Saturday Evening Mercury
Agreement ("the 5.E.M. Agreement"). From 1954 until 1984, the
respondent printed and published a weekly newspaper known as the
Saturday Evening Mercury. That newspaper was produced and
distributed on Saturday afternoons. Throughout the same period,
the respondent also produced a daily newspaper, known as' the
Mercury. The respondent employed casual employees who worked on
the Saturday Evening Mercury, particularly in the occupations
described as "publishers".
By an application filed on 18th dune 1986, the
applicants seek an interpretation of the S.E.M. Agreement,
pursuant to s. 110 of the Act; they also seek a penalty for
breach of the S.E.M. Agreement, and orders that the respondent
pay to certain employees or former employees wages alleged to be
due to them under the 5.E.M. Agreement, pursuant to s. 119 of the
Act. The real controversy which divides the parties is the
question whether the Provisions of the S.E.M. Agreement,
especially cl. 1 thereof, bind the respondent in relation to
casual employees employed by 1t in the publishing of the Saturday
Evening Mercury. At the trial, Mr. Shaw Q0.C., who appeared for
the applicants, suggested that this question be determined first,
and that the parties be allowed time to discuss what orders, if
any, are required in consequence of the interpretation. Mr.
Jackson of counsel for the respondent indicated that he regarded
this course as appropriate.
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It was common ground that cl. 43 of the Newspaper
Printing Agreement 1979 had the effect of requiring that the
S.E.M. Agreement be read together with the Newspaper Printing
Agreement 1979. The competing arguments both sought to_ draw
support from other provisions of the Newspaper Printing Agreement
1979. It as therefore necessary to examine some of those
provisions.
Clause 1 of the Newspaper Printing Agreement 1979 sets
out the industry in which the agreement is made; it consists of
a list of callings of employees, which includes "publishers". By
cl. 2, the Agreement relates to work done in a newspaper office.
By cl. 3, the parties bound are the Union and the employers
listed in schedule EF, which wiunclude the respondent. Clause 4
sets out rates of wages for employees in various classifications;
the rates are set out on a weekly basis, but sub-cl. (c) contains
a formula for calculation of an hourly rate for any work for
which a weekly rate 1s prescribed. Substantial parts of cl. 23
are set out:
"23 - TERMS OF EMPLOYMENT
(a) No employee shall be employed other than as a
weekly time-work employee or a weekly plece-work
employee or a casual time-work employee or a casual
piece-work employee.
(b) A weekly time-work employee to become entitled
to payment of a weekly wage shall perform such work as
the employer shall from time to time require on the days
and during the hours usually worked by such employee:
but such work shall be of a similar class to the work
usually performed by such employee.
{c) A weekly piece-worker is a plece-worker
engaged as a weekly employee. ...
(d) The employment of a weekly time-work or
plece-work employee may be terminated by a week's notice
on either side, and such notice may be given at any time
during any week to take effect a week after the day on
which 1t 1s given. sae
(2) 2a. .
(f) If any employee's services be terminated
during the course of a week he shall be paid all money
due to him at the termination of his service, or all
money due to such employee shall be forwarded to him by
post within twenty-four hours thereafter."
It is also necessary to set cut the whole of cl. 26:
"26 - CASUAL EMPLOYEES
(a) A casual employee 1s an employee engaged other
than as a weekly employee.
(b) Where a casual employee commences duty, or
where the employer expressly agrees to employ a casual
employee on any employment, and the casual employee in
pursuance of such agreement actually attends for duty,
such emplovee -
(i) If ia time-worker engaged in the
publishing department, shall be paid as
for three hours of employment at the
least.
(zi) If a time-worker engaged as a machine
compositor, shall be paid as for four
hours at the least.
(1i1l) If a time-worker engaged on any other
work, shall be paid as for four hours at
the least.
(iv) If a piece-worker, shall be given four
hours' work at the least or paid as for
four hours at the appropriate rate for a
time-worker, with the addition of 20% of
that rate.
{c) A casual employee, other than a casual
publishing employee, whether working at piece-work or
time-work and working on day shift, shall be paid for
such work, the piece-work rate or the hourly rate
prescribed for such work with the addition of 20% of
that rate.
(d) A casual employee, other than a casual
publishing employee, whether working at piece-work or
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time-work, and whether working mixed day and night
shift, or night shift, or on work extending to not later
than 6 a.m. Sunday, shall be paid for such work the
piece-work rate or the hourly rate prescribed for night
work, with the addition of 20% of that rate.
(e) A casual publishing employee shall be paid the
hourly publishing day rate prescribed by clause 4({c) as
is appropriate for classification Al18(f) with the
addition of 20% of that rate. The engagement and cut
off of casual publishing employees shall be in
accordance with the principles which were determined by
the parties on 30 May 1972."
Mr. Shaw's argument was that, when read in the context
of the Newspaper Printing Agreement 1979, the word "employees" in
el. 1 of the 3.E.M. Agreement clearly included casual employees.
He drew attention to a number of provisions of the Newspaper
Printing Agreement 1979 in which the parties had used expressions
distinguishing clearly between casual and other employees.
Examples are cl. 7, dealing with allowances for night work and
intermediate shift, which refers to "a weekly employee...whether
employed as a time worker or as a piece-worker", cl. 16, relating
to abnormal hours on Saturday and Sunday, in which the phrase "a
weekly time-work employee" appears and cl. 24, relating to sick
leave, in which the phrase "a permanent employee" is used. On
the other hand, Mr. Jackson contended that the word "employees"
in the S.E.M. Agreement clearly excluded casual employees, or was
at least ambiguous when read in the context of the Newspaper
Printing Aqreement (1979). He relied upon a number of clauses in
which the word "employee" was used, 1n a context which he said
was clearly inappropriate to casual employees. These clauses
included cl. 8(b), under which the wage rate of an apprentice is
calculated according to the wage of "an employee", cls. 11, 12
and 13, which deal with hours for day work, hours for night work
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and hours of plece-workers respectively, cl. 17, which deals with
overtime, cl. 22, which relates tao the provision of protective
clothing, and cl 25, which provides for annual leave. Mr.
Jackson's primary argument was that the word "employees" in the
S.E.M. Agreement on 1ts face does not include casual employees,
since casual employees are specifically referred to elsewhere in
the Newspaper Printing Agreement 1979, and since cl. 2 of the
S.E.M. Agreement did not refer to a rate appropriate for a casual
employee, and a casual employee would not be subject to the
roster contemplated by cl. 3 of the 5.E.M. Agreement. In the
alternative, Mr. Jackson said that the word "employees" in the
S.E.M. Agreement is ambiguous. He then sought to lead evidence
as to the circumstances in which the S.E.M. Agreement was entered
into, and the history of the application of the S.E.M. Agreement,
for the purpose of showing that it should not be construed so as
to include casual employees. Objection was taken to this
evidence; since the cutcome of the objection depended upon a
decision whether the word "employees" is ambiguous, 1t was agreed
that the evidence should be led, subject to the objection, and
the objection should be resolved after full addresses.
In my view, Mr. Shaw's argument is to be preferred. The
clauses to which he referred do make it clear that the framers of
the Newspaper Printing Agreement 1979 were perfectly capable of
distinguishing between casual employees and weekly or permanent
employees, where such distinction is necessary. It is by no
means self-evident that many of the clauses to which Mr. Jackson
referred are inapplicable to casual employees. It would be
strange if clauses fixing hours of work were held to be
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inapplicable to casual employees. It is by no means impossible
to suppose that a casual employee might work a full week; such
an employee would not thereby become a weekly employee, because
that week may be the only week worked by the employee during a
lengthy period. In such event, the employee would be required to
work only the hours prescribed by cl. 11, cl. 12 or cl. 13, and
would be entitled to overtime under cl. 17 for any time worked in
excess of those hours. To hold otherwise would be to permit an
employer to require a casual employee to work longer hours than
those required of other employees, without compensation in the
form of overtime payments. If the construction of those clauses
were in dispute, it is unlikely that a court would hold that such
a result could be achieved. The additional rate paid to a casual
employee under cl. 26 is no doubt to compensate the employee for
the casual nature of the employment; it is not necessarily to be
regarded as compensating the employee for such a thing as being
required to work longer than the standard hours without overtime
payments. It is also unlikely that a court would hold that cl.
22 did not oblige an employer to provide protective clothing to a
casual employee; 1t is not apparent that the need for protective
clothing, which is seen to exist in the case of weekly employees,
does not also exist in the case of casual employees. Any lack of
entitlement to annual leave by a casual employee may result from
the specific wording of cl. 24, rather than from any obvious
exclusion of casual employees by the use of the word "employees".
Whatever might be the result of argument about these individual
clauses, it cannot be said that they draw a clear distinction
between "employees" on the one hand and "casual employees" on the
other. They do not provide a context in which 1t becomes clear
that casual employees lack some of the entitlements which are
stated by the Newspaper Printing Agreement 1979 to be applicable
to "employees" generally. The wording of cl. 23(a), quoted
above, suggests that casual employees are to be regarded as
employees. Clause 26(a), also quoted above, makes it clear that
a casual employee is an employee.
Nor is the structure of the S.E.M. Agreement sufficient
to impart a restricted meaning to the word "employees" incl. 1
of that agreement. Clause 2 of that agreement is not necessarily
to be regarded as a code for the fixing of rates. The rates
specified in it are "reckoned, when applying" to a day worker or
night worker respectively. There 1s no reason why cl. l(a)
cannot attract double the casual rate in respect of a casual
employee. Similarly, the fact that provision is made in cl. 2 of
the S.E.M. Agreement for a roster does not show on the face of
the agreement that casual employees are excluded. There is no
particular reason why casual employees should not be the subject
of the roster.
For these reasons, the word "employees" in cl. 1 of the
S.E.M. Agreement appears to have its ordinary and natural
meaning, including all employees, whether casual or weekly. A
difficult question then arises whether the word is ambiguous.
There appears to be no clear test laid down for determining when
an ambiguity exists. At one extreme is the statement of Isaacs
A.C.d. in Pickard v. John Heine & Son Ltd. (1924) 35 C.L.R. 1, at
page 9, where his Honour said, in interpreting an Award:
"Personally I see no ambiguity. But as the interpretation I
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favour was disputed at the Bar, 1t must be because there 1s such
ambiguity." At the other extreme is the statement of Viscount
Simonds in Kirkness v. John Hudson and Co. Ltd. Ci9553 A.C. 636,
at pages 711-712, with reference to an earlier decision of the
House of Lords interpreting a statute:
"In this case Lord Buckmaster was of opinion, as had
been at least one of the members of the Court of Appeal,
that the first contention of the Crown was right, and
that the words of the earlier Act had the meaning they
sought to put upon them. The other noble and learned
Lords thought otherwise. It would have been easy then
to say that, since judicial opinion differed as to the
meaning of these words, there was such an ambiguity as
to justify recourse to a later Act to resolve it. But
the decision of this House was unanimously to the
contrary. That means that each one of us has the task
of deciding what the relevant words mean. In coming to
that decision he will necessarily give great weight to
the opinion of others, but if at the end of the day he
forms his own clear judgment and does not think that the
words are "fairly and equally open to divers meanings"
he is not entitled to say that there 15 an ambiguity.
For him at least there 15 no ambiguity and on that basis
he must decide the case."
Care must be taken, of course, not to create an ambiguity by
bringing into consideration external factors which may be used
legitimately to resolve an ambiguity 1f one exists. If I were ta
apply the test laid down by Viscount Simonds, I should hold that
no ambiguity arises in the present case, because the word
"employees" bears 1ts ordinary, natural and unrestricted meaning
an the context of the S.E.M. Agreement and the Newspaper Printing
Agreement 1979. On the other hand, if I were to apply the test
applied by Isaacs A.C.J., I should hold that an ambiguity arises
because of the rival contentions of counsel. Perhaps in a case
such as this the safest course 1s to assume that an ambiguity
does exist, and to see where the application of extrinsic aids to
interpretation leads in the construction of the document.
tow
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Making that assumption ain this case, therefore, 1t 15s
necessary to determine to what conclusions the evidence leads.
The evidence was directed to two areas. The first was the
circumstances in which the S.E.M. Agreement originally came__ into
existence. The second was conduct of the parties, which was said
to give rise to a settled interpretation of the S.E.M. Agreement.
Taking the first area, the evidence established that
there existed in 1954 an agreement entitled the Federal Newspaper
Printing Agreement, 1953. This agreement appears to have been
the subject of certification under the provision that 15 now s.
28 of the Act. It was an agreement made between the Union (under
its earlier name, the Printing Industry Employees' Union of
Australia) and various employers, including the respondent.
Clause 18(e) of that agreement, which corresponds with cl. 17(e)
of the Newspaper Printing Agreement 1979, provided:
"(e) Subject to clause 15 of this Agreement, an
employee required to work more than five consecutive
shifts in a financial week without a clear interval of
32 hours in the "News" Office, Adelaide, or 36 hours in
any other office, after the fifth shift shall be paid
double time or double rates therefor for all work
performed by him after the fifth shift, with a minimum
of four hours' work or payment therefor; provided that
this sub-clause shall not apply where shifts are being
changed, or toa case where it is necessary for an
employee to work in the place of an employee who 15
absent through sickness."
When the respondent was contemplating producing the Saturday
Evening Mercury, 1t realized that its employees who were called
upon tao work on Saturdays for the purposes of producing the
Saturday Evening Mercury would fall within the provisions of cl.
18(e) if they had worked five shifts during the preceding week,
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and would therefore be entitled to be paid at double time or
double rates in respect of all subsequent shifts, until such time
as they were given a clear interval of 36 hours. In other words,
each employee who worked a full week, as well as working on
Saturday, would be entitled to double pay for every shift worked
after the first such week, unless given a 36 hour break. The
respondent naturally wished to avoid this consequence. It took
the problem to the Union, and some negotiations took place. Out
of these negotiations emerged the S.E.M. Agreement. According to
Mr. Cooper, a director of the respondent, who has been associated
with the respondent since 1947 and was Secretary of it during
1954, the intention of the S.E.M. Agreement was to make provision
for payment for those who worked on the Saturday Evening Mercury
otherwise than under the Federal Newspaper Printing Agreement
1953, so that the company would not be obliged to pay double time
to all of the employees who worked on a Saturday, during the week
following that Saturday.
A number of comments may be made about this evidence.
It is true that the modern approach to the construction of
instruments recording consensual transactions is generous, as far
as the use of extrinsic evidence to assist construction is
concerned. In Codelfa Construction Pty. Ltd. v. State Rail
Authority of New South Wales (1982) 149 C.L.R. 337, at page 352,
Mason J. said:
"The true rule is that evidence of surrounding
circumstances is admissible to assist in the
interpretation of the contract if the language 15
ambiguous or susceptible of more than one meaning. But
it is not admissible to contradict the language of the
contract when 1t has a plain meaning. Generally
speaking facts existing when the contract was made will
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not be receivable as part of the surrounding
circumstances as an aid to construction, unless they
were known to both parties, although, as we have seen,
if the facts are notorious knowledge of them will be
presumed."
Mr. Jackson relied on this passage as authority supporting the
admissibility of the evidence of the manner in which the S.E.M.
Agreement came into existence. It 1s necessary, however, to have
regard to the words of Mason J. which followed immediately those
quoted above:
"It is here that a difficulty arises with respect
to the evidence of prior negotiations. Obviously the
prior negotiations will tend to establish objective
background facts which were known to both parties and
the subject matter of the contract. To the extent to
which they have this tendency they are admissible. But
in so far as they consist of statements and actions of
the parties which are reflective of their actual
intentions and expectations they are not receivable.
The point is that such statements and actions reveal the
terms of the contract which the parties intended or
hoped to make. They are superseded by, and merged in,
the contract itself. The object of the parol evidence
rule is to exclude them, the prior oral agreement of the
parties being inadmissible in aid of construction,
though admissible in an action for rectification."
The evidence which Mr. Cooper gave really amounted to no more
than an explanation of what the respondent hoped to achieve by
the S.E.M. Agreement. Such evidence of actual intention is
inadmissible. Indeed, this case demonstrates with particular
clarity the reasoning behind the rule of law known as the parol
evidence rule, which operates to exclude such evidence. The
S.E.M. Agreement does not achieve in terms what the respondent
hoped it would achieve; it makes no reference to cl. 18(e) of
the Federal Newspaper Printing Agreement 1953, nor to the
question of the entitlement of an employee who has already worked
five shifts, and subsequently works a sixth to produce the
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Saturday Evening Mercury, should that employee return to work on
the following Monday. It does not address the need for a 36 hour
break to avoid the consequences of cl. 18(e). The express object
of the respondent could have been accomplished easily by an
agreement providing that work done in the production of the
Saturday Evening Mercury was not to be recognized as work done on
a shift for the purposes of the Federal Newspaper Printing
Agreement 1953. Instead, the S.E.M. Agreement in its present
form came into existence. Perhaps this had something to do with
the fact that the 5.E.M. Agreement was drawn up by the Union, and
not by the respondent. In the absence of evidence of the
subjective intention of those who acted on behalf of the Union in
drawing it, it is possible only to speculate as to what the Union
might have been desiring to achieve. Such speculation would not
assist in the construction of the agreement. The fact is that,
whatever considerations might have motivated the respondent to
commence negotiating with the Union, the two parties eventually
entered into the S.E.M. Agreement in its present form. They must
be regarded as having intended to agree in that form, and their
common intention must be judged from the document itself, and not
from the evidence of what the representatives of one party
intended to achieve. Even if the evidence is regarded as doing
no more than establishing that a circumstance existed, which in
the view of the respondent, required remedy, the S.E.M. Agreement
on its face does not purport to remedy that circumstance. It
cannot be construed as 1f it did remedy that circumstance; still
less can 1t be construed as if it did no more than remedy that
circumstance.
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Mr. Jackson also relied upon the fact that cl. 27 of the
Federal Newspaper Printing Agreement 1953, the forerunner of the
present cl. 26 of the Newspaper Printing Aqreement 1979,
contained an additional sub-cl. which provided as follows:
"(e) A casual publishing employee shall be paid at
the rate of 5/- per hour at whatever time his work 15s
performed."
Mr. Jackson argued that this sub-clause made it clear that casual
employees working on Saturday in the publication of the Saturday
Evening Mercury were to be paid at the casual rate, and not at
the double time rate under the S.E.M. Agreement. Even if that
were the clear conclusion to be arrived at by reading in
conjunction the S.E.M. Agreement and the Federal Newspaper
Printing Agreement 1953, the same conclusion cannot follow froma
reading of the S.E.M. Agreement in conjunction with the Newspaper
Printing Agreement 1979. This 1s because cl. 26 of the
last-mentioned agreement does not contain any sub-clause
analogous with the old clause 27(e). In other words, there 1s no
provision which could be construed in any way as placing an
overriding limit on the rate of pay to a casual employee.
The second major area of evidence concerned the conduct
of the parties. Here again, the Court must be wary of admitting
the evidence. In Seamen's Union of Australia v. Adelaide
Steamship Co. Ltd. (1976) 46 F.L.R. 444, at page 445, the
Australian Industrial Court held that evidence of conduct of the
parties subsequent to the making of an award was inadmissible,
even for the purpose of resolving an ambiguity in the terms of
the Award. In doing so, the Court declined to follow the
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Merchant Service Guild of Australia v. Sydney Steam Collier
Owners and Coal Stevedores Association (1958) 1F.L.R. 248, in
which evidence of conduct had been admitted. Mr. Jackson
endeavoured to rely upon the Merchant Service Guild case, but
that case must be regarded as no longer good law. Some attempt
Was Made to argue that, where the provisions of an award or
agreement are repeated in a subsequent similar instrument,
involving the same parties, and where they can be said to have
received a settled interpretation by the conduct of the parties
before such repetition, evidence of such settled interpretation
is admissible. There is some suggestion in the Merchant Service
Guild case to this effect (see page 251 in the judgment of Spicer
C.d., page 254 in the judgment of Dunphy J. and page 257 in the
judgment of Morgan o.). The court in the Seamen's Union case, at
page 445, did refer to the series of agreements involved in the
Merchant Service Guild case, and must be taken to have rejected
this argument as well. Even if it were alive however the
argument could not be applied in the present case.
The evidence amounted to no more than the proposition
that no complaint had been made over a number of years during
which the respondent had paid casual employees working on the
Saturday Evening Mercury otherwise than at double rates or double
time. Such evidence does not go so far as to establish a settled
interpretation, accepted by both parties to the S.E.M. Agreement.
In particular, there was no evidence to suggest that the
employees concerned were aware of the provisions of the S.E.M.
Agreement, and addressed their minds to the question whether they
were entitled to be paid more than they were receiving. Some
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attempt was made to rely upon the provision in cl. 35(a) of the
Newspaper Printing Agreement 1979 that a copy of the agreement,
with any variation, be kept posted 1n a prominent place in each
workroom. Even assuming that the respondent complied with __. this
provision, such compliance would be insufficient to establish
knowledge by the relevant employees of the terms of the S.E.M.
Agreement. Further, even 1f the employees themselves knew of
their rights, it 1s difficult toe regard that knowlege as
knowledge by the Union. The Union 1s a party to the S.E.M.
Agreement, not the employees themselves. If a settled
interpretation were to be established, 1t would have to be shown
that the Union was aware of and assented to the manner in which
the respondent interpreted the agreement. Not only does the
evidence in the present case not establish such knowledge, it
indicates to the contrary. Mr. Cashin, the General Manager of
the Mercury newspaper and Industrial Manager for the respondent
gave evidence of the conduct of the respondent. With respect to
the payment of casual employees working on the Saturday Evening
Mercury, evidence was given in the following terms:
"Was regard ever had in compiling their wages to
provisions of the Saturday Evening Mercury
Agreement?---Never. It was never raised until it was
raised at the negotiation in 1984."
HIS HONOUR: You said something was raised in 1984, in
negotiation. What was that?---The question was asked as
to what was the payment made to those casual employees.
That was explained to the union, that the casuals were
paid according to the casual provisions of the Newspaper
Printing Agreement with a modification to that, that
under those casual provisions they are guaranteed a
minimum three hours pay. When they worked on the
Saturday Evening Mercury they were paid a minimum of
four hours. That is an arrangement I can find happened
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between 1954 and 1984. I cannot be specific about that,
it was an alteration made along the line."
This evidence tends to indicate that officials of the Union were
unaware until 1984 of the practice adopted by the respondent.
By that time, the S.E.M. Agreement had been carried forward.
twice, once with a 1976 agreement, and once with the Newspaper
Printing Agreement 1979. Such evidence makes it impossible for
the respondent to establish that the Union assented to a
particular interpretation of the S.E.M. Agreement.
It follows that the respondent has failed to draw
attention to any matter which would lead to the conclusion that
the word "employees" in the S.E.M. Agreement has anything other
than its ordinary and natural meaning, namely as including all
employees, whether casual or weekly. It is therefore appropriate
for the Court to give an interpretation pursuant to s. 110 of the
Act, to the effect that the word "employees" incl. 1of the
S.E.M. Agreement includes casual employees. In accordance with
the wishes of the parties, no formal order will be made at the
present time, but the matter will be listed for further hearing
when the parties have had time to examine these reasons for
judgment.
I certify that this and the tT
preceding paies are a true copy of the
Reasons for Judement herein of his Honour
Mr. Justice es
as
Dated: a3fa {%% .