Federated Tobacco Workers Union Of Australia v. Amalgamated Metal Workers Union & Anor [1988] FCA 120
Federal Court of Australia
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JUDGMENT Hy, | FORK
SS,
1S Sag
CATCHWORDS
INDUSTRIAL LAW - Conciliation and Arbitration Act - capacity
of an organization to anrol amployees as members
principles governing construction of an eligibility rule
application of rule to classes of amployees.
NORDS AND PHRASES - "in or in connection with" - "... and
Kindred trades" - ""angaged" - "industry" - "amployad". .
FEDERATED TOBACCO WORKERS' UNTON
OF AUSTRALIA
T.
AMALGAMATED METAL WORKERS' UNION
and
W.D. & 4.9. WILLS (AUSTRALTA) LIMITED (Intervencr}
NORTHROP, GRAY AND RYAN JJ.
25 MARCH 19982
MET SCURNE
IN THE FEDERAL COURT GF AUSTRALIA
)
}
NEW SOUTH WALES DISTRICT REGISTRY } N.S.W. No. 18 of 1987
}
}
INDUSTRIAL DIVISION
BETWEEN :
AMALGAMATED METAL NORRERS' UNTOMW
Respondant
and
ALD. 2 Hid. NILLS (AUSTRALTA: ZIMITED
intesvenor
COURT. NORTHROT, GRAY AND RIAN dg.
DATE : 25 MARCH 1588
PLACE: MELBOURNE
MINUTE OF ORDER
THE COURT ORDERS THAT the application 3e dismissed.
= ac =
(Settlement and entry of Orders is dealt with in 0.36 oF the
Rules of Court.)
it
IN THE FEDERAL COURT OF AUSTRALIA
)
)
NEW SOUTH WALES DISTRICT RECTSTRY ) N.S.W. No. 18 of 1987
)
}
INDUSTRIAL DIVISION
BETWEEN
o
FEDERATED TOBACCO WORKERS' UNION OF AUSTRALTA
Applicant
and
AMALGAMATED METAL WORKERS' UNION
Intervence
COURT: NORTHROP, GRAY AND RYAN Jd.
DATE : 25 MARCH 1385
PLACE: MELBOURNE
REASONS FOR JUDGMENT
THe COURT
The Amalgamated Metal Workers Union ,"the Metal
Workers' Union") is an organization of employees under the
Conciliation and Arbitration Act 1904 ("the Act"). The Metal
Workers' Union is seeking to enrol as members and has
ce
purported to enrol as members some persons amployed by W.D. &
H.0. Wills (Australia) Limited ("Wills"), a company carrying
on the business of the manufacture and production of
cigarettes and tobacco products at its national manufacturing
plant at Pagewood in the State of New South Wales. The
Federated Tobacco Workers' Union of Australia ("the Tobacco
Workers' Union"), an organization of employeas under the Act,
is challenging the capacity of the Metal Workers' Union toa
persons as members. It nas commenced these
FS
enrol those
proceedings under 5.143 of the Act seeking an ordar directing
the cancellation of the registration af the Metal Workers'
Union as an organization under the Act. In reality, the
Tobacco Workers' Union does not seek that order but seeks an
authoritative answer to the question of whether the Metal
Workers' Union has the capacity to enrol as members the
amployaes at the Wills' plant whom it 15 seeking to anrol.
The answer to that question depends upon the proper
FS
construction of the eligibility rula of the Metal Workers
Union and the application of that rule as 30 construed to the
work being dene by the persons sought to be anrollad. Wills
has been granted leave to intervene in these proceedings and
gS
He
te
an.
Supports the claim mada by the Tobacco Workers'
Under 105 eligibility rules, the Tobacco Workers'
Union has the capacity to enrol as mempers persons employed
in or in connection with the following industrias or
callings:-
"The preparation, Manurtacture, processing and
packaging of tobacco, cigarettes, cigars or allied
products in the States of New South Wales and
Victoria, together with any person who is an
officer of the Union."
~e
i
Wd
'
Wills 21s engaged in the industry of the preparation,
manufacture, processing and packaging of tobacco, cigarettes,
cigars and alliad products at its Pagewood plant which is in
the State of New South Wales. Thus all its' employees at that
plant are, subject to the rules of the Yohacco Workers'
Union, eligible to become and remain members of that Union.
That fact is recognised by the Tobacco Industry \Rothmans. and
Wills) Interim Award, 1980 ("the Tobacco Industry Award").
By ceason of Clauses 3 and 4 of that aAward, the Tobacco
industry Award applies, inter alia, to amployees in the
Classifications set out in Annexure 8 of Fhe Award who ara
employed in or in connection with the industry of
preparation, manufacture, peocessing and packaging or
kobaceco, cigarettes, cigars and alliad praducts in the State
of New South Wales, the Tobacco Workers' Union and Wills in
respect of the employment by it of employees in the
classifications set gut in Annexure B whether members of the
if]
,
Tobacco Norkers' Union oy not. Annexure B applies ta Willis
and includes classifications for its employees at lts
Pagewood plant. These classifications are placed in groups
under general headings. Sub-headings are set sut under some
of the group general headings. Thus, some of the group
headings are "Cigaratta Factory", ""Tobacca Factory",
"Processed Leaf Factory", "Engineering Sarvices", "Bond",
"Catering", "Intarnal Services" and "Any other -adult
amployas." For present purposes, the velavant group Ls
headed "Engineering Services." There are no sub-headings set.
out under this general heading, but there is set out a number"
+
of classifications. The persons who are the subject of the
present dispute come within some of those classifications.
Those classifications are "Rigger", "Storeman - angineering
supplies", "Storeman ~- Building supplies", "Storeman -
electrical supplies", "Greaser", "Power house attendant",
"Garage attendant", "Assistant storeman" and 'Engineering
labourer." The Metal Workers' Union claims it is able fo
th
1eations.
be
tH
ub
enrol as members persons employed in these class
The Tobacco Workers' Union and Wills deny the capacity of the
Metal Workers' Union to enrol those persons as members.
The aligibility rule of the Metal Workers' Union is
contained in Rule LA of its rules. Rule 1A is iong and
complicated and retlaects the consequences of successive
amalgamations of differant organizations oF employees. For
present purposas, 16 is necessary to set out only paragraphs
{a) and (f) of Rule JA, which we do because of che
those paragraphs apply tc the disputed classes sf amployees.
Those paragraphs are as Follows:-
"1A. An unlimited number of persons who ara
employed of usually employed in oor in connection
with the following trades or callings or branches
bheresof:
(a)
£)
Smiths, ship smiths, angle iron smiths,
drop-hammer smiths, spring smiths, oliver
smiths, spring fitters, swaging machine
Operators, operators on smithing machines
similar to swagging machines, nut and
bolt makers, windmill erectors, motor,
motor cycle, and cycle mechanics, tuners
and testers in motor industry,
anamellers, typewriter mechanics,
well-borers, scale-makers, metal sare
makers, locksmiths, forge hammermen,
forgemen, strikers, drap-hanmer stampers,
forging machine workers, forge, iron, and
brass furnaca-men, shir's plumbers,
fitters turners, rinders whetstone
FAA L AE Fy , ~
grinders and glatars, sea-going
engineers, shift engineers, roll turners,
patternmakers, model makars, millwrights,
mechanical adraughtsmen, technical
assistants, planners, bSorars, szlobters,
machine drillers, milling machine
WOLKELS, shapers, machinists, Brass
founders, brass finishers, brass smiths
and operators of machines in ccnnection
with same, coppersmitns, armature
winders, equipment examiners, and
electrical engineers generally, radio
workers, mechanical and scientific
instrument makers and optical
glassmakers, linotype mechanics, press
mechanics, machine joiners employed in
the construction of cotton, silk, flax,
woollen ce other machines, die sinkers,
press tool Makers and stampers,
electropliaters, polishers, electroplate
makers up, sheet metal spinners,
assemblers, skilled acetylene and
electrical welders, aera mechanics,
duralium workers, including forgers,
fitters, and all other aircraft workers
who area employed on FEhe Fuselage or
engine work, and all workers engaged in
the engineering, shipbuilding and kindred
Erac]s. ...
All other workers engaged in any metal
industry or trade provided that no
applicant for membership shall be
eligible for membership under this
paragraph while there exists in the State
in which such applicant is employed a
registered organisation operating in the
immediate locality of the applicant's
work and dealing solely with workers of
the particular class of which such
applicant is a member unless arrangements
can be made for the amalgamation of such
organisation with this Union."
By its defence, the Metal Workers' Union identifies
those parts of the eligibility rule which it claims antitles
1t to eanrol as members the sersons the subject of these
procesdings as rollows:-
"Ss. The said amployaes come within the -
Respondent's aligibility rule as Tollows:
(a) they ara employed or usually employed in
os in connection with the llaowing
Por ease
and (b) of the defence have been underlined in the
(b) they are
Ac
of
{
on
|
paragraph IA(a)} of tha eligibili
fitters, machinists and motor
and/or motor cycle mechanics.
=
trades or callings or branches th
i
fc
workers I
anginsering and/or kindr
paragraph lAlta} of the e
Are.
ney come within paragraph 1A(f) of
ligibility rule in that they area workers
ngagéed in a metal industry or trada and
ragis ad organization exists in New
Operating in the immediate
work which
h WOrkears or ba
at hk employ
}
if
wi ip
u
-
we
m
Pg feat ou we
h Bip oa
Cc
cr
eu
by
i
cr}
veference, the words set sut in paragraphs
of paragraph (a) of Rule lA.
5(a)
quotation
The principies tob
construction of an eligibility
@ applied in daetarmining the
cula are not in dispute. In
Food Preservers Union of Australia v. The Manufacturing
Grocers' Employses' Faderstion cf Austvalia, Full Court,
Federal Court of Australia, 5 March 1586, unreported,
Northrop J. set out those principles as follows:-
"Tne principlas 25 Se agplisd in determining
the construction of an eligibility rule of an
organization have deen discussed in many
authorities. Those principles are summarised in Re
Ailliams; Ex parte Australian Building Constructisn
Employess'' and Buriners' fabourers' Faderation
(1983) S7 a.l.d.R. 38 by Gibbs ¢.0., Mason, Murphy,
Brannan, Deane and Dawson dg. at op.39-40 as
Follows:
"The aligibility oerovisiosns in the
fules Gf a fegist=red organizaticn of
-employsss serve the function of defining
the general area or areas of industry or
industrial pursuit from which members can
Legitimately be dra ith which th
organization can mately 2
concerned (see lop Rubber
Australia itd. ; Federated
Misca2lianzous Work
{1957), 97 C.L.R.
of Australia
Clarkson;
aed
Han Hatt side a
Fed aria 9350), 42
355 58). Since
elt s1ons constitute a
rar courts, commissions,
amp yees and other
Org. datarmining or
ascer arganization's proser
coverage and iel cf operation, they
must be construed obiectively (see Reed.
v. Aivd; Ex vo. Australian Workers' Union
(1973), 129 C.L.R. o5¢, at 5.659; Rea. v.
Cohen; Ex 0. Motor Accidents Insurance
Board (1373), 53 A.L.gT.R. 719, at pp.72
and 723). In 50 construing them,
however, it is permissable to pay regard
to any common understanding among people
relevant
industrial matters of
application of the
concerned with
particularly with
the ordinary
industrias and
words
- Gane
used and to take account of avidence of
that common understanding furnished by
the previous use of the words in the
yelavant organization's rules and in
statutory provisions, decisions,
determinations, awards, rcaports and ather
papers concerned with the ralevant
industry or industries (see, for example,
Rex v. Hickman; Ex op. Fox & Clinton
(1945), 70 C.L.R. 598, at 9.013; Rag. v.
Aird; Ex » Australian Workers' Union,
12]
above, at 9.659).'
In addition, it must be remembered chat
eligibility rulas should not be construed narrowly
or technically; see Electrical Trades Union sf
Australia vv. Watearsids Wockers' Federation 3
Australia (No. 2) (1992) 59 F.L.R. 78 (the E.T.U.
case), per Bowen (.d., Evatt and Deane JJ. at 9.27.
Aithough the construction of an eligibility clause
is cto be determined by legal considerations, it
must be xept in mind that the eligibility rule will
have Been deawn, more Likely than not, by Union
officials mora familiar with the practical affairs
of industries chan with the niceties or subtie
nuances of language; see Rk. v. Aired; Ex sarte
Australian Workers Union, above, per Barwick C.J.
at 9.6359."
t
A veference to 3.132 of the Act makes 1t clear that
there may be eligible for membership of an organization of
employees persons within one of three classes, namely:-
1. A class consisting of employees employed in or
an connection with an industry of undertaking
of employers; see paragraph 132(1)(b) and the
fuinition of industry in sub-section 1(1);
ie
a
2. A class consisting of amplcoyees in of in
connection with an industry of employees
without regard to the industry or undertaking
of their employars; 388 paragraph 132(1){d)
4+(1), or a class consisting of employees
engaged in industrial pursu1rts without regard
to the industry or undertaking of theic
amployers; see paragraph 132(1)(c¢)}; of
3. A glass consisting of some amployess
classified in 1 and some classified in 2 where
the eligibility rule is predicated on both an
industry or undervaking of employers and an
industry of industrial pursuit of employees.
In the praesent case, members of the Tsbacco Workers Union
come exclusively within class l. Counsel for the Metal
dorkers' Union contends that persons eligible for membershiy
of the Metal Workers' Union come within class 2, making that
Bnion what is commonly, though misleadingly, referred to as a
"crart union."
The orimary contention made on behalf of the
Tobacco Workers' Union and of Wills was that the words and
all workers angaged in the engineering ... and kindred
trades" appearing at the end of Rule I1A(a) of the rules of
the Metal Workers' Union, showed that sersons eligible for
membership of the Metal Workers' Union came within the third
Class described above. It was contendad that, on its proper
Construction, the eligibility rule makes eligible for
membership only those persons who are angaged in one of the
trades or callings listed and who are employed by an employer
which is, itself, engaged in the angineering industry or a
kindred trade. In this context it was argued Ehat the word
"trade" has the meaning of an anterprise being carried on- by
an employer. In this sense, so it was argued, the concluding
words are to be Eraated as words of limitation. Tt was
argued that Wills 1s not sngaged in the engineering industry
or in any kindred trada@ and thus none of the employees of
Wills 15 aligible to be enrolled as a member of the Metal
Workers' Union. In support of this contention, counsel
referred in detail to the history of the eligibility rule of
the Metal Workers' Union.
Counsel for the Metal Workers' Union disputed that
primary contention. They argued that sersons eligible for
membership of the Metal Workers' Union came within the second
Class described above, that on the Erus construction of wuts
elig2zbility yule it was and always had been a care
ig]
organization and had the capacity to enrol as a member any
cr
i
ra
person engaged in any of Che trades or callings listed i 3
eligibility rule irrespective of the mature of the enterprise
of the employer of that person. The argument went on to
contend that the concluding words of Rule JA(a) are words of
expansion embracing sach worker engaged in the engineering
trade without requiring the worker to be engaged as well ina
trade or calling being one of those specifically listed in
~ 1L-
Rule 1lA(a). In support of this contention, counsel relied
upon the history of award coverage obtained by the Metal
Industry Award.
Befor2 considering those competing contentions,
some brief comments should be made. The Tobacco Industry
Award does not, by express terms, apply to metal tradesmen
employed by Wills at its Pagewood plant. Wills, by reason of
its membership of the Metal Trades Industry Association of
Australia, an organization of employers, is bound by the
Metal Industry Award 1984, Part 1, an Award binding on the
Metal Workers' Union, members of that Union and employees
amployed by any smployer bound by the Award engaged in any of
the occupations, industries or callings specified in the
Award. If the contentions of the Tobacco Workers' Union and
of Wills are correct, it would mean that Wills is not bound
to accord the wages and conditions sf employment stipulated
by the "Metal-Wedustry aAward to metal tradesmen and other
employees engaged in the occupations, industries or callings
speciltied in the Award and amployed by Wills daspite the fact
Chat for many years Wills has acted on the basis that it 1s
bound by thac Award and e@arlier Metal Industry Awards in
raspect of its metal tradesmen and machinists. It would
therefore follow that a long standing acceptance of a legal
position would no longer apply. Any construction of an
eligibility rule having such drastic rasults should not be
adopted unless the language of the rule compels it.
A reference to the history of the rules of the
Metal Workers' Union shows there have been many and varied
alterations to the eligibility rule. Some of those
alterations, 25s we have already noted, reflect amalgamations
at different times of two or more organizations of employees.
'
The Metal Workers' Union was registered as an organization on
14 Juiy 1305 under the name "The Amalgamated Society~- of
Engineers." It was said to be registered in the engineering
industry. act that time, its eligibility rule, called
"Constitution of Organization" was as follows:-
"The Society shall consist of members
belonging to and earning the vate of wages Fixed by
the District Committee for the following trades ar
branches - Smiths ship Smiths angle iron Smiths
fitters turners roll turners, pattern makers
machinists mill wrights mechanical draughtsmen
planers borers slottears machine driilars, milling
machine workers shapers and other machine men brass
finishers and copper smiths employed in the
engineering and ship building trades armature
winders and electrical angineers generally,
mechanical and scientific instcument Makers,
Machine joiners smployed in construction of cotton
silk flax woollen or other machinery; die sinkers
press tool makers and stampers or drop hammer
forgers employed in the engineering and kindrad
trades."
Ac that time, 5.55 of the Act of 1304 provided for
the registration of an organization of amployees being "Any
association of not less than one hundred amployees in or in
connexion with any industry." In s.4 thea word "industry"
was, except where otherwise clearly intended, defined to
meani:i~
"business, trade, manufacture, undertaking, calling,
service, Or employment, on land or water, in which
persons are amployed for pay, hire, advantage, or
reward, excepting only persons engaged in domestic
service, and persons engaged in agricultural,
viticultural, horticultural, or dairying pursuits."
Having regard to hat definition, ut is accepted
ra
that the word "trade" was appropriate cto describe the
activity of an amployer but, at the same time, could be use
to describe the activity of an employee This finding is of
importance because of the words ""angineering and ship
building trades" and "angineesring and kindrad trades" then
appearing in the eligibiiity rule of the Metal Workers'
Union.
Tt appears Chat a number of associations of
employees became ragisterad as organizations with eligibility
rules based upon the activities of the employees irrespective
of the enterprises of their employers. Questions arose
whether the registration or those associations as
organizations was valid. In Federated Engine-Drivers and
Firemen's Association of Australasia v. The Broken Hill
Proprietary Company Limitad (1911) 12 C.0.R. 399, the High
Court, wn a judgment pronounced on 27 June 191i, heid that
us
the word "industry" as defined, meant an enterprise in which
both employers and amployees were associated and did not
include the vocation of employees doing a particular kind of
work in connection with several different classes of
enterprises of employers. The Court held that the
association of employees which the case concerned, being an
- 14 -
association of land engine drivers and firemen employed ~
indiscriminately in mines, timber yards, tanneries and
: diverse other enterprises, was not antitled to be registered
aS an organization under the Act.
to
lel
Act No. 5 of 1911, which came into operation on
November 1911, overcame the decision of -Ehe High Cour
fa
FS
Section 3 of the 1911 Act substituted a new definition of the
word "industry." The new definition, which for all practical
purposes was the same as in the current Act, was inclusive in
' form and included "any calling, services, employment,
Nandicraftt, or industrial occupation or avocation or
employees ... anda branch of an industry and a group of
industries." Section + of the 1911 Act is of some importan
n
and is sat out:- -— -.
rm
fu
r
se pe
fe cr 3
sOS
4 fu
rh
an organizat
any associat
a
Ai
wn
purporting ts t nefora tha commenceme
of -his Ack deemed to be as valid to
intents and purposes, and toa have constituted
association an organization as effectually as
this Act had been in forca at the date of
registration."
under the Pr
yeoaod
cr
tHtheaany
cr
pi ps
ra
In Re Lee; Ex parte Harper, Minister for Justice and
Attorney-General for tha State of Queensland (1986) 160
C.L.R. 430 at pp.168-471, Dawson J. discusses the history and
effect of the change in the definition of "industry" in the
Act.
On 12 August 1914, the eligibility rule of what was
then The Amalgamated Society of Engineers was altered. The
existing rule was numbered (a) and there was an increase in
the number cf callings listed. A new paragraph (b) was added
which was in similar form to the present Rule LA(T).
cr
The aAmalgamated Gociety of Engineers, as "i
continued to be known, obtained its first federal award in
June 192i. The award was made by Higgins J., in his capacity
as President of the Commonwealth Court of Conciliation and
Arbitration; sae 15 C.A.R. 297. The award was made after a
lengthy and wide ranging inquiry into all aspects of the
employees' industry of engineering whera that word is used in
its sense of working with metals. Many amployers and
amployer organizations were raoresented at the inquiry. The
yeasons for judgment of Higgins J.,comstitute a useful source
of reference for an understanding of the nature of what was
to become known as the Metal Workers' Union. Two extracts
from those reasons are set out. At 9.300, nis Honour said:-
"The case presents many and formidable
difficulties. The claimant is the well-known craft
union oF men engaged in the working of metals; and
no»
its members ar2 employed not only in engineering
undertakings Sub in undertakings as diverse as
those of biscuit manufacturers and quarry owners,
gold mining and brick manufacturing, cement
manufacturing, electrical works, ganeral providers,
and the great steel works of New South Wales. This
union has never before approached this Court for
general regulation of its conditions. It has had
the benefit of State awards and determinations; but
these awards and determinations differ so much from
one another that they afford me more perplexity
than guidance. Representatives of the parties
appearing have, at my request, met in conference
and endeavoured to reduce by agreement the matters
for the Court ta determine; hut although there is
et
ra
agreement as to some minor points the varties still
differ on the main tussues. It is my duty,
therefore, to try to frame ragqulations appropriate,
From an Australian point of view, to the
occupations concerned, making the regulations fit
the undertakings of 773 amployers carrying on such
diverse undertakings. So diverse are they that I
nave been compelled, in mere justice, to allow no
less than @ighteen advocates separately to
cross-examine Che union's witnesses from separate
points of view.
The log of claims seeks an award of minimum
vates for over £0 different occupations; and one
'occupation' - that of 'machinist' - comprehends
Many different types of machinists, and much time
has had to be spent in settling the gradations in
pay appropriate to the several types. I am always
anxious to avail myself in such matters of ths
practice and experience of employers and employees;
but here employers diifer, amployees differ, awards
and determinations differ."
.306, his Honour said:-
"The amount of the secondary wage payable for
skill and other exceptional necessary
Qualifications becomes of graat importance in
cwase of a union such as the Amalgamated Society of
Engineers, which comprises so many skilled wor'csmen
of various grades. Thera ara remarkable
diffarances of opinion among the experts who have
given avidence for the employers as to the proper
relative positions of the varicus cccupations, in
regard to skill. Sut there is also the difficulty
or ascertaining the proper margin of vay between
the general labourar and skilled tradesmen of the
(admittedly) first class - suchas fitters and
turners."
The award prescrihed wage rates from General lLahourers and
Tradesmen's helpers to Tradesmen and First class machinists.
Employers bound by the award included many which did not
carry on engineering undertakings.
- 17 -
From a consideration of that decision and award, it
is clear that Higgins J. considered that members of The
Amalgamated Society of Engineers came within the second class
described above and that it was not necessary for their
employers to be engaged in the engineering or ai kindrad
industry before they could ba made a party to an award made
In settlement of an industrial disputes with the <Soaclety.
Ever since, that position has been acted upon by the
industrial tribunals exercising functions under the Act. The
acceptance of this approach has never bean questioned in
proceedings in the High Court either by employers, employer
organizations or by other employee organizations.
Tt 15 not necessary to rafer to all the subsequent
alterations to the rules of the Metal Wockers' Union nor to
the material relating to the raasons for those alterations.
It is clear that the basic notion of the Metal Workers' Union
as a craft union comprising eamployees within the second class
described above was accepted and adhered to by the Metal
Workers' Union. There was 4 comtinuing expansion of the
types of callings and industrial pursuits listad within the
eligibility rula. In April 1936, the concluding words to
Rule lA(a) ficst appeared in a form similar to that which
appears in the current aligibility cule. The alteration to
Daragraph (a) of the eligibility rule that came into
operation on 3 April 1936 listed a large number of callings
and industrial pursuits and then continued "and all male
workers engaged in the engineering, shipbuilding and kindred
trades." On their face, those words should be read as words
-1e-
or expansion. They have the affect of maxing all workers
engaged in the engineering or a kindred trade eligible to
become members of the Metal Workers' Union. The word
"engaged" has many different meanings. The authorities show
that depending on the context in which it is usad, it can
have the meaning of "occupied" whether as an employer or an
@ to say of an eamployer
cr
a
ro
amployee. Thus it is quite apprcepr
that he or it is engaged in the engineering industry.
Equally, it is quite appropriate to say of a person employed
by an amployer engaged in thea angineéering industry, that the
employee is engaged in the engineering industry aven though
he may be performing work which is exclusively clerical.
a
fi]
Equally, it is quita agpropriate to say of a reson amployed
my
by an employer not engaged in the angineering industry, where
that employee is yerforming the tasks of a metal worker, for
example, a fitter, that that amployee is engaged in the
engineering industry, particularly since the wide definiticn
of the-word "industry" in the Act must be taken to have an
effect on the meaning of that word when used in an
eligibility rule of an organization under the Act. These
cbservations go to the real issue between the parties and
will be amplified later in these raasons.
The opening words of Rule 1A of the eligibility
rule of 'the Metal Workers' Union first appeared in the
current form in January 1972. The alteration, which came
into operation on 10 January 1972, resulted from the
amalgamation of a number of employee organizations. The
opening words of the new eligibility rule were:-
"The Union shall consist of an unlimited number of
persons who are employed or usually employed in or
in connection with the following trades of callings
or branches thereof ... ."
Paragraph (a) was then set out. [It cansisted of a large
number of cailings or industrial pursuits concluding as
follows: -
«.. and all workers engaged in the angineering,
shipbuilding and kindred trades."
The opening words, on their face, are words of
@xXpansion. In particular, the words "1n or in connection
with" show that in addition to the listed trades or callings,
in connection with those trades or
callings ara i fo become and ramain members of the
Metal Workers' Union. In this context the word "employed" is
to be read as "engaged." Thus, it is quite appropriate to
or
om
Wu
Say oF a per who is amployed by an employer which 1s not
engaged in the engineering industry, but is amployed ta
assist another employes who is performing the tasks of a
metal worker, for example, a fitter, that the first person is
engaged, or amployed, in or in connection with the trade or
calling of that fitter. These words of expansion are
separate and distinct from the concluding words of paragraph
(a), namely "ail workers engaged in the engineering,
shipbuilding and kindred trades." The opening words af "the
new rule, on their face, expand further those concluding
words s0 as to make persons engaged or amployed in connection
- 20 -
with workers engaged in the engineering or a kindred trade
eligible to become and remain members of the Metal Workers'
Union,
Counsel for the Tobacco Workers' Union and for
Wills contended that the opening words of the new eligibility
cule should noc be construed as having that axpanding effect.
They contended that the Material relied upon by the
amalgamating unions showed that there was no intention on
of the organization
mi
or
Eheir part to widen the eligibility; rul
after amalgamation beyond the combined reach of the axisting
ligibility rules of seach of them. To that end, they
iD
d to and sought to rely upon the applications under
ry
eterr
iu
3.139 of the Act by the amalgamating organizations for the
consent of the Industrial Registrar to the alterations to the
eligibility rules of the organizations, the material in
support of those applications and the reasons given by the
nting to those changes. This was not a
re]
Registrar in conse
case where an attempt was made to lead extrinsic avidence as
to the meaning of words which had acquired a special meaning
in the industry concerned. It was an attempt to use
extraneous material to give a particula construction ta
words which, on their faces, ara nob uncertain. Such an
attempt should not be permitted; see, for example, Federal
Firefighters' Union v. Minister of State for bhe Capital
Tarvvitory (1982) 62 F.L.R. 341 per Evatt and Northrop JJ. at
pp.344-5. In any event, the material relied upon by the
Tobacco Workers' Union and by Wills does not support the
contention made on the1r behalf.
ke
It is necessary to construe the eligibility rule sf
the Metal Workers' Union in its current form. This task of
construction is to be undertaken having regard to the matters
fu
already discussad. For present purposes, referance is mad
to Rule LA(a) only. That rule lists a large number of trades
of callings. The tradas or callings are ali rafarable to
activities being carried out by employees. In the opening
paragraph, the words "trades or callings" refer toa the
industrial occupations of employees listad in Ruiae 1A(a), not
to the trades or callings of employers. Having regard to the
definition given by the Act to the word "industry" the words
"or branches thereof" are to be read as words of expansion.
The words "in of in connection with" are words of expansion
and provided thar an industrial occupation is engaged in by
an amployee in connection with one of the listad trades or
callings, that amployes comes within the eligibitity rule af
be
13)
the Metal Workers' Union.
The concluding words of Ruis 1A(a) "and all workers
engaged in the engineering, shipbuilding and kindred trades"
are likewise to be construed as words of expansion. At times
when technology is changing, it is not unexpected to see in
an eligibility rule of an organization general words which,
of necessity, cover specific matters already included in the
rule. & would not be surprising to discover that several of
the trades or callings listed are not now being followed by
anyone. The history of the rule shows that specific
teades or caliings have been added from time to time. The
concluding words obviate the need to continue to do that in
the future. Those words refer to the activities of the
employee and should be construed accordingly. The opening
words expand further the concluding words. The structure of
the rule is very differsnt from that considersd by Ehe High
a
ce
Court in R v. Coldham; Ex parte Tne Australian Workers' Union
ta
384) 59 A.L.dSL.R. 95. In the present case, there is- no
dw
(
structure of the eligibility rule of the Metal Workers' Union
which permits a construction similar to that adopted by the
High Court in construing the eligibility rule of the
Australian Workers' Union.
r
The contentions of counsel for the Tobacco Workers
Union and for Wills on this issue are not compelling. The
history of the award coverage obtained Sy the Metal Worxers'
Union illustrates clearly that the Commonwealth industrial
tribunals have acted ona contrary undarstanding. For the
purposes of these reasons, it has been assumed that Wills is
not engaged in the engineering, shipbuilding cra «indrad
trade. The Court has not considerad whether that assumpbion
15 correct. Thus nothing said in these reasons is to he
taken as supporting the view that Wills is not engaged in the
engineering, shipbuilding or a kindred trade. Tb is noted
that Wills is a member of the Metal Trades Industry
Association cf Australia, an organization under the Act. The
eligibility rule of that organization is in evidence before
the Court but it would be a difficult task to interpret that
rule and to determine, on the facts, whether Wills is
eligible to be a member of that organization and, if so,
whether its eligibility is limited in any way. If the
contentions were accepted, they could have drastic and wide
vranging effects upon amployers engaged in the engineering,
shipbuilding or a kindred trade as well as other
organizations of amployees. None of those amplioyers and no
other organization of employees has been given the
opportunity to make submissions with vespect to those
contentions. It 15 true that those other organizations and
employers cannot be bound by any order made in these
procesdings, But axpressions of opinion adverse co their
interests could be used against them in other vroceedings.
For present purposes, 1t is sufficiant to say that
+
he Metal Workers'
ba]
or
on a consideration of Rule 1A{a) a Union,
Chere is nothing to supsort the contention that the words
"the anginsering, shipbuilding and xindred trades" in the
final part of that sub-rule refer to trades of amplovers. It
is accepted that in an appropriate contaxt the werd "btrad2""
fan vafer to the trade of an employer. This is mot such a
case. A construction which equates "trade" with the
occupation of the worker is much to he preferred in a context
where listed activities of workers are followed by an
axtension to "all workers" in the Listed trades. The word
"trades" appears in the opening part of the rule and in -its
context is used in the sense of the activity of an eamployee.
There is no warrant for giving a different meaning to the
word "trade" in the concluding part of the rule.
~ 24 -
Having formed this opinion, it is not necessary ta
consider the construction and application of Rule I1A(f}.
Accordingly, attention is directed mow to the question of
whether the Tobacco Workers' Jnion has established that none
of the persons emplicyed by Wills at its Pagewood plant in any
at
of the classifications listed above is aligible to become and
to remain a member of the Metal Workers' Union.
It will be recalled that the question raised by
this application 15 whether persons employed in some of the
classifications contained in the Tobacco Industry Award under
the group heading "Engineering Services" are eligible to
hecome and remain members of the Metal Workers' Union. The
classifications are "Rigger", "Storeman - engineering
supplies", "Storaman - building supplies", "Storeman -
@lectrical supplies", "Greaser", "Power House attendant",
"Garage Attandant", "Assistant storeman" and "Engineering
labouceér." The terminology used in the Tobacco Industey
Award suggests that those sersons are not engaged directly in
the preparation, manufacture peocessing and packaging of
~
tobacco, cigarattes, cigars and alliad sroducts (hereinafter
eveferred to as 'he "production are2as"). The evidence
supports the suggestion implicit in that terminology, namely
that "engineering services" employees are engaged primarily
in the supplying and servicing of equipment used in' the
production areas although from time to time they may assist
actual production in the production areas.
- eee
|
bw
LA
A workshop is set up within each of the production
areas. The workshop is responsible for the maintenance and
servicing of the many machines in the relavant production
area. In addition, there are other workshops not attached to
any ovroduction araa. One of these is describec as "th
Central Engineering Workshop" which is concerned with major
works, aspeciaily of a capital nature. In addition, there is
a Central Store which stocks a wide range of materials
(except material used in the production of the finished
products) spara parts and fools. Tne Central Store is
commonly known as the Engineering Store. Tnare ara alsa
other workshops such as the Boilerhouse which provides stean
and other services to various parts of the plant
Operations, the Fitters' Workshop, the Machinists
the Electric Workshop, the Plumbers' Workshop, tha Conversion
Workshop and the Motor Garage. A table exhibited to an
affidavit filed on behalf of Wills shows the numbers employed
by Wills in various classifications in some of these special
areas. The axhidirt is raoroduced:-
- 26 -
"Trades- Appren- Eng. Riggers Greasears Storemen/
men tices Lab' s Assistant
Storemen
Central
Engineering
Workshop 16 5 4 1 - -
Tobacca/
Primary Dept. 15 8 i=) 1 2 -
Making Dept. 2 4 4 - 3 -
Packing Dept. 24 5 3 - 5 -
Motor Garage 3 L - - i+ -
Boilerhouse 4 2 3 - - -
Conversion
Workshop 6 - - - - -
Central Store - - 7 - - 12
*& Classified as Garage Attandant - same grouping as Greasar,"
Apparently, the tradesmen listed in that chars are ail
members of the Metal Workers' Union and are employed pursuant
to the terms of the Metal Trades Award.
The responsibilities of the persons engaged in ne
ul
workshops set up in various production arsas are as follow
ae
{a) vepairing and/or seplacing broken and/or worn
oUt Machine parts;
(b) preventive maintenance on producticn
machinery;
(c) planning and performance of machine
Lubrication scheduling;
(d) the making of adjustments to operating
machines;
fe) the execution of installations on a wide range
of machines and equipment; and
(£) the making of modifications to machines and
equipment."
The functions of engineering iabourers in the
Central Engineering Workshop, broadly speaking, are as
follows:-
"A. Labouring for Eradesman by lifting,
supporting, holding equipment steady, atc;
b. Cleaning the workshop area and machine parts;
c. Messages and deliverias;
dad. Moving heavy and/or large machines acound
withia bhe workshop;
a. Working on loan toa other departments on
labouring duties required by them."
The Central Store supplies machinery ayare parts
and materials, general angineering supplies, alectrical
equipment, stationery, clothing and cleaning materials to all
areas. Machine parts ara supplied as well to associated
overseas tobacco companies. Storemen and assistant storemen
re engaged in Che Cantral Store to recaive, store and
diastribute materials kept in the store.
The present application is not dir
wt
cély concerned
with particular persons but with groups of persons. Evidence
directed to particular individuals i5 of no real assistance
in determining the issue to be considerad. From the whole of
the evidence before the Court, it is clear that persons
angaged in the classifications in issue spend a substantial
part of their working time in assisting tradesmen in
performing their duties. The avidence does not disclose in
detail the work being done by tradesmen in the different
workshops but it is apparent that those persons are all
eligible to be members of the Metal Workers' Union. The
labourers and assistants and persons engaged in the other
iT
ty
Classifications the subject of these proceedings come within
those parts of the eligibility rule of the Metal Workers'
Union which extend the class of employees eligible to he
members of the Metal Workers' Union. They are persons
employed in or in connection with Ehe trades or callings or
branches of motor mechanics, fitters, machinists, as well as
engaged in engineering and kindred trades.
Union and for
.
Counsel Foc the Tobacco Workers
Wills contendad that 1t is unusual for any of these persons
to spend amajority of his or her working time actually
working with a tradesman and that often that work is
performed as a result of instructions received from a
Supervisor engaged in one of the production areas. As has
been indicated, it is not necessary to be eligible for
membership, that a person spend the whole of his or her time
engaged in the activities of the requisite type. The test is
based on whether the person is angaged substantially in those
activities. In this context it is legitimate to ask whether,
if Wills were to contract the whole of its maintenance
operations to an outside company, it would find it necessary
to employ persons in the disputed classifications. On the
material before the Court, the answer to that question is
that, wn all probability, those persons would be employed by
- 29 -
the maintenance contcactor. That answer is consistent with
the fact that all these classifications come within that part
of the current Tobacco Industry Award headed "Engineering
Services." That suggests that these classifications come
within a discrete area having a close conmection with
In the result, the Court finds that the Tobacco
Workers' Union has not made out its case. It should be noted
that this applic
fit
Siom is concerned with the quastion of
whether the Metal Workers' Union has the capacity to enrol as
members the versons the subject of these proceedings. The
Court is not concernad with bthe question of which Union
should havea award coverage with respect to those versons.
The application should be dismissed.
rg
. | certify that this and the Twenty - eight (22>
preceding pages are a true copy of the
Reasons for Judgment herein of the
"Honoursble-Me—luctioe Full Court
Sharm P dun Associate
Dated? 25 March I%S2
ro
Pederatad Tobacco Workers'
Union of Austcalia +.
Amalgamatad Metal Workers Union.
WD. & HO. Wills (Austyalia)
Limited (intervenor)
Title of Action
File Number : N.E.N. No. 18 of 1987
Dates of Hearing : 9-12 November 1387
Judgment Delivered : 25 March 1989
founsel for Applicant : RIN.
3.0.
Solicitsers for Applicant : WG. McNally & 2a.
Counsel for Respondent : J.A. Shaw Q.C. and
S. Crawshaw
Solicitors for Respondent ; Turner Freeman
Counsal for Intes-renor : Or. C. Jassup
Solicitors for Intervenor : Messrs. Frachill, Hollingdale
and Page
ociate . Sarew. f. 30
25 March 15388
AS
a