Date 10 January 2001
Number 01/01
BHP IRON ORE WELCOMES COURT RULING
ON WORKPLACE AGREEMENTS
BHP Iron Ore today welcomed a Federal Court ruling it had acted legally in
offering workplace agreements to employees at its Pilbara, Western
Australian, iron ore operations.
President Western Australian BHP Iron Ore Graeme Hunt said the Company now
planned to further advance the re-shaping of its iron ore business in an
increasingly competitive global environment.
"For the past 12 months while this matter has been before the courts, our
workforce and management team have been getting on with the job of ensuring
the long-term competitiveness of our business," Mr Hunt said.
"Today's decision is another step forward and will allow us to progress
workplace change and further improve productivity already delivered by many
of our employees who have signed workplace agreements."
Subject to a final court ruling next week, BHP Iron Ore plans to immediately
recommence its offer of workplace agreements to 500 employees who were
prevented by a Federal Court injunction from accepting individual contracts
until the case was determined.
Approximately 480 employees had accepted the offer before the injunction was
imposed.
Federal Court Justice Kenny will rule next week on whether or not the
injunction should be immediately lifted pending an appeal against today's
decision by the unions.
Trade unions had claimed BHP Iron Ore's offer contravened the Federal
Workplace Relations Act by inducing employees who signed workplace
agreements to leave the union.
Mr Hunt said the Company always believed the individual contracts it offered
were lawful. "The offer is in-line with conditions provided to existing Iron
Ore staff employees and enables us to support the changing nature of the work
being undertaken to improve our iron ore business," he said.
"The work flexibilities already delivered by those who have signed workplace
agreements have enhanced our competitiveness and it was therefore appropriate
that we introduced a system for acknowledging and rewarding the individual
efforts of employees."
Mr Hunt urged the unions to allow people to freely make their choice of
either accepting a workplace agreement or continuing to work under the
existing Enterprise Bargaining Agreement.
"We have been encouraged by examples of changed attitudes, behaviours and
work practices by many of our employees who have signed individual contracts.
In some areas, productivity has increased by more than 20 per cent in the past
12 months," he said.
"I believe our employees want greater work flexibility to improve our
business and to be recognised for their efforts and contribution," he said.
Further information can be found on our Internet site: http://www.bhp.com
MEDIA RELATIONS
John Crowley, BHP Iron Ore
Ph: 61 8 9320 4395
Mob: 61 419 849 917
Mandy Frostick, Manager Media Relations
Ph: 61 3 9609 4157
Mob: 61 419 546 245
INVESTOR RELATIONS
Robert Porter, Vice President Investor Relations
Ph: 61 3 9609 3540
Mob: 61 419 587 456
Francis McAllister
Vice President Investor Relations,
Houston (North America)
Tel: (713) 961 8625
