AURIZON PLANS TO AXE WORKPLACE AGREEMENTS
12 May 2014,
AURIZON Holdings Limited (ASX:AZJ) plans to terminate 14 Queensland workplace agreements, following failed talks with union representatives.
The rail operator has submitted the application to the Fair Work Commission, following an announcement to axe 480 jobs from its workforce.Aurizon is seeking to update the enterprise agreements that were established prior to privatisation in 2010, including no forced redundancies or relocations, free rail travel and allowances on top of wages.
It argues that the system impacts customer service, efficiency, productivity and incurs additional costs – affecting competitiveness in a tough economic climate.“Aurizon is disappointed that it has become necessary to pursue this course of action, however the company, our employees and our customers need certainty and deserve fair, modern workplace agreements.
“The extremely slow progress with bargaining has resulted in Aurizon having to explore all options available to it,” the company said in a statement.If terminated, employment conditions will be regulated by the Rail Industry Award 2010, National Employment Standards and individual contracts.
AZJ has been negotiating proposed changes with unions since April last year.