Latest CPI Index

1. Drayton’s Workplace Consulting Pty Ltd Latest CPI Index The annual consumer price index (CPI) figures for the December Quarter 2012 have recently been released with moderate growth seen both nationally and in Queensland. Nationally, the annual CPI index for the Quarter increased by 2.2% across all groups from December 2011, up from 2.0% in the September Quarter. In Brisbane, the CPI increase was in line with the national average, also at 2.2%. More interesting seems to be the personal income statistics released by the Australian Bureau of Statistics, showing average weekly ordinary time earnings across the nation increasing at a rate of 4.8% from November 2011. This has escalated average weekly ordinary time earnings for full-time employees to $1,393.00. Newsletter 28 March 2013 Inside this Issue: Autumn 2013 Welcome to the Drayton’s Autumn Newsletter. This edition will outline the latest data on wage growth. Consistent with the national economy, the annual average wage increase of enterprise agreements has dropped by 0.5% in the December 2012 quarter. Other articles address the new Codes of Practice for the Building and Construction industry (Federal and State); bullying and harassment in the workplace and Dad and Partner pay. Wage Growth Indicators Enterprise Agreements The table below illustrates the percentage increase in the annual average wage increase of enterprise agreements approved in the December 2012 quarter. The results represent a 0.5% decrease in wage growth in the private sector and construction. Latest CPI Index The annual consumer price index (CPI) figures for the December Quarter 2012 have recently been released with moderate growth seen both nationally and in Queensland. Nationally, the annual CPI index for the Quarter increased by 2.2% across all groups from December 2011, up from 2.0% in the September Quarter. In Brisbane, the CPI increase was in line with the national average, also at 2.2%. More interesting seems to be the personal income statistics released by the Australian Bureau of Statistics, showing average weekly ordinary time earnings across the nation increasing at a rate of 4.8% from November 2011. This has escalated average weekly ordinary time earnings for full-time employees to $1,393.00.

2. Dad and Partner Pay • Commencing 1 January 2013, the Australian Government began providing eligible employees • with ‘Dad and Partner Pay’ as part of the Paid Parental Leave scheme. This payment is up to two weeks of government-funded pay at the rate of the National Minimum Wage (currently $606.40 per week) when an employee is on unpaid leave from work. ‘Dad and Partner Pay’ is administered and paid directly by the Australian Government and there is no payment obligation on the employer. Employers and their employees will need to discuss and agree on unpaid leave arrangements, and the employee will have to apply for ‘Dad and Partner Pay’ with the government themselvesto determine their eligibility and subsequently receive payment. • To be eligible for Dad and Partner Pay, an employee will need to satisfy the following criteria; • Australian residency • provide care for a child born or adopted from 1 January 2013 • had an individual adjusted taxable income of $150,000 or less in the financial year either before the date of claim or the date the Dad and Partner Pay period starts (whichever is earlier) • meet the work test, which requires the employee to have worked for: • at least 10 of the 13 months before the date your Dad and Partner Pay period starts, and • at least 330 hours in that 10 month period • are on unpaid leave or not working during your Dad and Partner Pay period • Should you require any further information, please call our office for assistance on (07) 3831 7099 New Building Code for Federally-funded work • On 30 January 2013, the Government announced a new Code of Practice for the building and construction industry which seeks to codify the previous Implementation Guidelines for the National Code of Practice for the Construction Industry. This new code ensures companies undertaking works on Federally-funded projects demonstrate compliance with a range of requirements relevant to building work, including the Fair Work Act 2009, Work Health and Safety laws, Migration Act 1958, Independent Contractors Act 2006, Privacy Act 1988 and the Competition and Consumer Act 2010. • A person who is a building and construction contractor that is a constitutional corporation or a building industry participant; and the work is to be carried out in a Territory or Commonwealth place is required to comply with the new Building Code. The significance is that the Code is now a legislative instrument rather than a procurement measure that must be complied with. This Code consolidates all previous Codes of Practice and applies to all current and proposed works. The critical prescriptions of the Code are as follows; • Compliance by the Contractor and their subcontractors to industrial instruments. • Prohibition of pressure to make over award payments. • Prohibition of sham contracting. • Freedom of association. • The major amendment to the new Code lies in the broadened application of the Code’s requirements to not only apply to on-site activities, which was previously the case, however also conduct that relates to oon- site activities but occurs offsite. This is taken to include building work performed on auxiliary • or holding sites separate from the primary construction site. • If you require any further information, contact Drayton’s on (07) 3831 7099. 2

3. Bullying and Harassment in the Workplace In recent months, Drayton’s has received a number of requests for advice regarding bullying and harassment. It is essential that companies are aware of their obligations and understand what constitutes bullying and harassment in the workplace.Workplace harassment is where a person is subjected to repeated behaviour by a person that: • is unwelcome and unsolicited; • a reasonable person would consider to be offensive, humiliating, intimidating or threatening. Workplace harassment does not include reasonable management action taken in a reasonable way by the person’s employer in connection with the person’s employment, however management actions may be classed as harassment or bullying where these actions are primarily used to offend, intimidate, humiliate or threaten workers. • The Work Health and Safety Act 2011 (QLD)and Prevention of Workplace Harassment Code of Practice 2004 (QLD)prescribe numerous obligations on Employers in respect of health and safety in the workplace. The Act outlines the primary duty of care of an Employer is to ensure, so far as is reasonably practicable, the health and safety of its workers while the workers are at work. This includes not subjecting employees, so far as is reasonably practicable, to bullying and harassment. • The Fair Work Amendment Bill 2013 proposed by the Minister for Employment and Workplace Relations Bill Shorten in early February, outlined a number of key proposed changes to the Fair Work Act that relate to Bullying and Harassment in the workplace. These include; • Adopting a nation-wide definition of bullying and harassment. • Recognising that bullying does not include reasonable management practices conducted in a reasonable manner including performance management. • Allowing workers who have suffered bullying to make a complaint to the Fair Work Commission • Requiring the Fair Work Commission to deal with any application within 14 days; and • Enabling the Fair Work Commission to make orders and/or to refer to the relevant state WHS regulator • When handling a workplace bullying and harassment complaint, Employers may adopt either formal or informal procedures. A formal complaint handling procedure should include an investigation procedure; a complaint resolution procedure and an appeals process to higher levels of management. An informal complaint handling procedure may simply encourage workers to raise their harassment complaint with an appropriate contact person at the workplace (i.e. immediate supervisor or manager). • Should you require any further information regarding bullying and harassment, please call our office for assistance on (07) 3831 7099. 2013 Public Holidays 3

4. Victorian Building and Construction Code For those Companies undertaking work in Victoria, on 1 July 2012 the Victorian Government introduced new Implementation Guidelines to the Victorian Code of Practice for the Building and Construction Industry. The new Guidelines aim to provide greater flexibility and productivity within Victoria’s Building and Construction Industry and to ensure that the Victorian Government maximises value for money on infrastructure projects. The National Code of Practice however, still applies in certain circumstances on Victorian building and construction projects. • Due to the Victorian Government’s aims for the new Guidelines, a number of high profile companies, most notably Lend Lease, have found themselves through certain clauses in their industrial arrangements, at odds with the Code and face a ban on tendering for Victorian Government works covered by the Code. The Government this weekchanged its rules to ensure Companies with ­multiple building businesses do not utilise only one compliant business to bid for government contracts. Under the new rules the parent company will have until June to meet the new code or also face bans. • In a media release in early December, the New South Wales government advised that it would follow the precedent set by Victoria to maximise value for money on state infrastructure projects by implementing a state based Code of Practice. It is yet to be seen whether the Newman government will implement a similar structure to the Building and Construction Industry in Queensland, with no current proposals in the works as yet. 4

5. Improve your Workplace • While Drayton’s has earned itself a reputation for successfully drafting, developing and negotiating enterprise agreements, the team also undertakes a broad range of HR and employee relations services for clients, including: • Researching market and industry wage and remuneration outcomes • Developing HR and employee relations polices • Developing drug and alcohol testing policies • Providing advice on discrimination, harassment and dismissal matters • Developing contracts of employment and position descriptions • Advertising, referencing screening and general assistance with recruitment • Coordinating subcontractors for industrial relations and human resource issues for construction and engineering projects • Workplace Investigations (Harassment, Bullying and Discrimination) ContactDrayton’s:Greg Power Phone: (07) 3831 7099 Fax: (07) 3831 7922 Email: admin@draytons.com.au HAPPY EASTER FROM DRAYTON’S ContactDrayton’s:Greg Power Phone: (07) 3831 7099 Fax: (07) 3831 7922 Email: admin@draytons.com.au 5