THE TERMS AND EFFECT OF OUR PROPOSED NEW WESTPAC GROUP ENTERPRISE AGREEMENT 2019

Transcription

1 1 THE TERMS AND EFFECT OF OUR PROPOSED NEW WESTPAC GROUP ENTERPRISE AGREEMENT 2019 We have recently finalised our negotiations with the Finance Sector Union of Australia for our proposed new Westpac Group Enterprise Agreement 2019 (Agreement). The proposed Agreement will replace the current Westpac Group Enterprise Agreement 2016 (Former Agreement). In this document we've provided information about the terms and effect of the proposed Agreement. Of course, this is a summary of the terms and effect of our proposed Agreement only and you are encouraged to read the full clauses in the proposed Agreement. A copy of the proposed Agreement can be found on the EA 2019 Intranet page. APPROACH TO OUR PROPOSED NEW AGREEMENT We have retained the easy to understand, simple, plain English approach in the proposed new Agreement. Continuing the simplification we achieved with our Former Agreement, we have simplified and aligned terms for employees of Asgard, BTFG, WFCL and WGIS (see Section 3 below). WHICH TERMS OF THE PROPOSED AGREEMENT WILL APPLY TO ME? The proposed Agreement is divided into four Sections: Section Who does it apply to and what does it say? Where can I find out more? Section 1 Our Agreement Section 1 applies to all employees covered by the proposed Agreement. See page 2 below. Section 2 Terms for employees of Westpac Banking Corporation Section 3 Terms for employees of Asgard, BTFG, WFCL and WGIS 1 Section 2 applies to all employees of Westpac Banking Corporation, except as expressly provided for in specific clauses in this Section. Section 3 is divided into Parts 1 and 2. Part 1 applies to all employees of Asgard, BTFG, WFCL and WGIS. Part 1 specifies which terms in Section 2 of the proposed Agreement (ie, the terms that apply to employees of Westpac Banking Corporation) also apply to employees of Asgard, BTFG, WFCL and WGIS. Part 2 applies to all employees of Asgard, BTFG, WFCL and WGIS except non award employees 2. Part 2 incorporates into the proposed Agreement some additional terms from the Banking, Finance and Insurance Award See pages 2-8 below. See pages 8-9 below. See pages 9-10 below. Section 4 The Technical Stuff Section 4 applies to all employees covered by the proposed Agreement. See pages below. 1 These are employees of Asgard Wealth Solutions Limited, BT Financial Group Pty Limited, Westpac Financial Consultants Limited and Westpac General Insurance Services Limited. 2 We refer to 'non award employees' as employees of Asgard, BTFG, WFCL and WGIS who would not have been covered by the Banking, Finance and Insurance Award 2010 if it applied.

2 WHAT ARE THE TERMS AND EFFECT OF THE PROPOSED AGREEMENT? SECTION 1 Our Agreement This section sets out the application of the proposed Agreement and applies to all employees covered by the proposed Agreement Where is everything? Welcome Sets out the index. 1 What's this all about? Is an introductory statement about our approach to the proposed Agreement. 2 What do we stand for? Is a statement about some of the principles we stand for. 3 Who is covered by the Agreement? 4 When does the Agreement operate? 2 The proposed Agreement will cover: Westpac, Asgard, BTFG, WFCL and WGIS and employees employed by those entities (subject to the exclusion below); and the Finance Sector Union of Australia. The proposed Agreement will not cover employees of Westpac, Asgard, BTFG, WFCL and WGIS: in the role of Chief Executive Officer, Group Executive, Chief Financial Officer, Chief Information Officer, Chief Operating Officer, Enterprise Executive or General Manager (or equivalent); working on Christmas Island; or assigned or seconded to work outside Australia. Provides for the proposed Agreement to commence on 1 January 2019 and have an expiry date of 31 December 2021 (but the proposed Agreement would continue to apply after this time unless it was replaced or terminated). SECTION 2 Terms for employees of Westpac Banking Corporation This section sets out a range of terms that apply to employees of Westpac Banking Corporation Money matters 5 How will my Fixed Pay be increased? Coverage of the Fixed Pay clause is unchanged from the Former Agreement. Provides for Fixed Pay increases on 1 January 2019, 1 January 2020 and 1 January 2021 for eligible employees. To receive a pay increase, employees must: meet minimum behavioural and training criteria no more than one 'Behaviour is not consistent with our expectations. Improvement is needed in the coming quarter' outcome in a Motivate quarterly conversation in the relevant performance year. This is an updated reference; have successfully completed minimum training and accreditation requirements (Group wide and role specific requirements) by 1 October following the end of the performance year. The date for completion of training has changed from the Former Agreement. be employed on 30 September of the relevant performance year; have worked for at least 3 months in the performance year (unless they have been absent on parental leave); not be on formal performance management between 1 October and 1 January following the end of the relevant performance year; and have Fixed Pay in the specified ranges. Eligible employees will receive the following Fixed Pay increases: on 1 January a 3.25% increase for employees with Fixed Pay of up to $82,500 and a minimum 2.25% increase for employees with Fixed Pay between $82,501 - $106,500; on 1 January 2020 a 3.25% increase for employees with Fixed Pay of up to $85,185 and a minimum 2.25% increase for employees with Fixed Pay between $85,186 - $109,000 and on 1 January 2021 a 3.25% increase for employees with Fixed Pay of up to $87,954 and a minimum 2.25% increase for employees with Fixed Pay between $87,955- $111,500. If you are on extended leave which meant you were unable to complete mandatory training by 1 October, if you meet the training/accreditation requirements by 1 December, you will still be eligible for a Fixed Pay increase, provided you also meet other eligibility criteria. The date for extended completion of training because of leave has changed. For some employees, we can elect to make a cash payment to the employee of any annual

3 3 6 What is the minimum rate I will be paid? 7 What allowances and reimbursements will I receive? 8 What are my superannuation benefits? 9 Am I entitled to an Annual Payment? 10 What is our supported wage system? How and when you work 11 What types of employment are there? Fixed Pay increase that would take their Fixed Pay over the maximum rate of annual Fixed Pay for their grade. Other than providing for new minimum and maximum rates of pay on 1 January 2019, 1 January 2020 and 1 January 2021, this clause is substantially unchanged from the Former Agreement. Provides for the same grade structure that applies in the Former Agreement. Minimum and maximum Fixed Pay will apply to each grade. The minimum and maximum Fixed Pay for unpackaged employees (excluding specialists) at 1 January 2019 will be: Grade Minimum Maximum 1 $52,167 $65,202 2 $58,120 $76,210 3 $69,264 $87,615 4 $79,703 $102,710 5 $99,403 $122,458 The minimum and maximum Fixed Pay rates for unpackaged employees (excluding specialists) will increase on 1 January 2019, 1 January 2020 and 1 January 2021: Grades 1 4 increased by 3.25%. Grades 5 increased by 2.25%. Provides for: minimum and maximum Fixed Pay for packaged employees (excluding specialists); minimum rates for unpackaged Customer Care Centre employees (excluding specialists); minimum rates for packaged and unpackaged specialists; minimum increase on promotion for unpackaged employees (excluding specialists) of: the greater of 3.25% or to the minimum annual Fixed Pay for the new grade if the promotion is from a lower grade to grade 2 or 3; the greater of 2.25% or to the minimum annual Fixed Pay for the new grade if the promotion is from a lower grade to grade 4 or 5. Overall, the allowances in the proposed Agreement have increased and expense related allowances will be indexed during the proposed Agreement. The application of the per kilometre car allowance has been clarified. Provides for: car allowances and expenses; travelling time allowance; travel expenses; travelling to and from work; emergency recall allowance; stand-by allowance; meal allowance; higher duties allowance; removal allowances and expenses; and a preserved payment for district allowances. Provides for superannuation contributions at the rate of 9.5% of ordinary time earnings (up to the contribution cap). Annual payment to be paid to eligible employees in December 2019, 2020 and The proposed Agreement provides for pro rata annual payments to be made to employees who are retrenched or retire from the workforce. This is a new entitlement. As is the current position, the payment will be up to 17.5% of the average weekly total earning of all male employees published by the Australian Bureau of Statistics in the previous August, multiplied by 4 unless calculating the payment by reference to the average of the loadings received by the employee would result in a higher payment. Provides for a supported wage system for employees with a disability. The arrangements for full time and part time employees (except flexible part time) are unchanged from the Former Agreement. There are new requirements and arrangements for flexible part time and casual arrangements as described below. Provides for full time, part time (including flexible part time in BankSA) and casual employment. Full time employees: work an average of 38 ordinary hours per week or an average of 152 ordinary hours over 4 weeks (or another agreed arrangement); who are unpackaged, are eligible for a rostered day off where they won't be required to work ordinary hours on one weekday in a 4 week cycle, if they work 152 ordinary hours over the cycle. Part time employees: work an average of less than 38 ordinary hours per week or an average of less than 152 ordinary hours over 4 weeks (or another agreed arrangement);

4 4 12 When can I work ordinary hours? 13 When can I take a break? 14 How will we set and change your hours of work? will work a minimum of 60 ordinary hours per 4 week cycle (or another agreed arrangement); generally, a part time employee cannot be directed to work additional hours (unless it is to attend a training course or the employee earns over a certain amount); if we reduce a part time employee's hours by 25% or more in a 12 month period, it will result in the employee's position becoming redundant.; particular arrangements continue to apply to flexible part time employees in BankSA. The proposed Agreement provides for us to notify these employees if they can elect to become a part time employee. This is a new requirement; relevant provisions in the proposed Agreement apply on a part time basis. Casual employees: work a maximum of 38 ordinary hours per week or an average of less than 152 ordinary hours over 4 weeks (or another agreed arrangement); are paid a loading of 25% for work between 7am 9pm, Monday to Friday and 75% for work before 7am or after 9pm, Monday to Friday or on the weekend; under the proposed Agreement would have the ability to request to convert to full time or part time employment if the employee has 12 months' service in certain circumstances. This is a new arrangement; some parts of the proposed Agreement don't apply to casual employees. This clause changes the way some employees can cease working ordinary hours between 9pm and 7am, weekdays and on the weekend. Otherwise, the clause is unchanged from the Former Agreement. Ordinary hours can be worked at any time of the week (including on weekends). However, ordinary hours worked outside 7am to 9pm, Monday to Friday (including on weekends) are by agreement. The following loadings are payable for unpackaged employees at grades 1 5, packaged employees at grades 2 or 3 and unpackaged specialists: Weekday hours Monday Tuesday Friday 12am 6am 100% 30% 9pm 12am 30% 30% Weekend hours Saturday Sunday 12am 8am 100% 100% 8am 6pm 50% 75% 6pm 12am 100% 100% If an employee works ordinary hours during the week between 6am 9pm, no loadings apply. Sets out how an employee or Westpac can end the employee's arrangement to work ordinary hours during the week before 9pm and before 7am or on the weekends by us providing you with 8 weeks' notice (although a shorter period can be agreed in some circumstances) or if you want to stop working ordinary hours between 9pm and 7am, weekdays and on the weekend you may do so if a suitable replacement is found, rather than on 8 weeks' notice. We will take reasonable steps to identify a suitable replacement. The process for ceasing to work these hours has been adjusted. An employee can agree to work hours on one day in two or more separate periods (and the break between periods will be unpaid). Provides for a minimum engagement period of 3 ordinary hours. Provides for unpaid meal breaks of 45 minutes after 5 hours work (although alternative arrangements can be made). Provides for paid rest breaks as agreed. There is no change to the entitlement in the Former Agreement but we have clarified this entitlement.. Provides for 10 hour breaks between days' work or shifts (determined from the last shift on a day if multiple shifts are worked on a day). If we roster an employee's hours of work, we will advise the employee of the hours set for the employee at least seven days before the commencement of a 4 week cycle. If we need to change an employee's hours during the 4 week cycle, we will discuss the change with the employee. Changes can only be made by agreement during this time. Any variation to an employee's hours must be reasonable having regard to the employee's personal, financial and family needs and the needs of the business. The agreement sets out a process for changing hours. If agreement about the change cannot be reached, the employee's manager will set the hours of work and give the employee at least two weeks' notice of their new hours. Employees can raise a dispute under clause 45 if they have a concern about this. 15 How will I be paid if I The arrangements for taking time off in lieu of payment for working overtime have changed.

5 5 am required to work overtime? 16 What public holidays can I take? Making it work for you 17 How can I work away from the office? 18 How can I take flexible lifestyle leave? 19 What flexible work arrangements are available? 20 How can I change the Agreement to suit my needs? Time out 21 When can I take a lifestyle and wellbeing day? 22 What annual leave do I get? 23 What personal / carer's leave do I get? 24 What parental leave do I get? Otherwise, the clause is substantially unchanged from the Former Agreement. Some employees can be directed to work reasonable overtime. In general, overtime will be paid in circumstances including where the employee works: more than 10 ordinary hours on one day; more than 50 ordinary hours a week; more than 152 ordinary hours in a four week cycle; before 7am or after 9pm weekdays if they are not the employee's agreed ordinary hours; on a day they are not rostered work ordinary hours (for some employees). If an employee works overtime they will be paid: Monday to Friday 50% loading for the first three hours and 100% loading thereafter. Weekends and rostered days off 100% loading. Provides for particular arrangements for shift workers and casual employees. An employee may be offered overtime on the basis that the employee will take time off in lieu of payment for working overtime (but we cannot require the employee to work overtime on that basis and you can change your mind about electing to take time off in lieu of payment for working overtime, rather than be paid). Time off in lieu will be paid out if not taken within 6 months of being worked or on termination of your employment (if within 6 months of being worked). This is a new arrangement in the proposed Agreement. Employees are generally entitled to public holidays and particular payment arrangements apply for working on public holidays. This is unchanged from the Former Agreement. The arrangements for calling for volunteers to work on public holidays has been modified in the proposed Agreement. Provides more options for employees to work away from the office either at a home based office under a formalised arrangement or at another location on an agile, ad hoc basis. Some clauses won't apply to home based or agile workers, or will only apply in particular circumstances. Provides for up to 12 weeks' flexible lifestyle leave to be taken on a paid (through purchased leave) or unpaid leave basis. An employee's manager must approve them taking flexible lifestyle leave and then agree the timing of the employee's leave (taking into account the employee's personal circumstances and business and customer needs). Provides for an employee to request to work on a flexible working arrangement eg, a change in hours, working part time or working at a different location. Provides that we and the employee can make 'flexibility agreements' where we agree to change some of the terms of the proposed Agreement. The proposed Agreement no longer provides for birthday leave. Eligible employees will receive a paid day off per year to use for lifestyle and wellbeing related reasons. Provides for 4 weeks' annual leave each year, an extra week of annual leave for some continuous shift workers and an extra week of annual leave for some employees working in remote locations. Employees may be required to take annual leave on a minimum of 4 weeks' notice, provided the requirement is reasonable. If an employee has more than 8 weeks annual leave accrued, the employee can cash out the portion over 8 weeks, provided the employee takes 2 consecutive weeks of leave. Provides for 12 days' personal / carer's leave each year. Up to 5 days' personal / carer's leave can be taken to attend preventative health care appointments (eg, dentist, specialist etc). Up to 1 day of personal / carer's leave can be used to attend medical appointments related to the employee's partner's pregnancy. Provides for paid and unpaid parental leave and under the proposed Agreement this can now be used for employees who are long term fostering a child. Provides for 13 weeks paid parental leave for eligible employees (this will be reduced to 10 weeks if the employee has received the 3 weeks' paid parental leave for non primary carers). Provides for 3 weeks' paid parental leave for support carers at the time of birth/adoption and

6 6 25 What grandparental leave do I get? 26 What long service leave do I get? 27 What compassionate leave do I get? 28 What jury duty leave do I get? 29 What community service leave do I get? 30 What support is available for domestic and family violence? 31 What paid leave is available for Australian Defence Force Reservists? 32 What support is available for transgender transition? 33 What is the technical stuff for the leave clauses? The day to day 34 What is our approach to staffing? 35 How will my performance objectives be set? 36 What is our approach to digital communication? 37 What is our commitment to your life- placement of a child for long term foster care. This is an increase from 2 weeks. Provides for 2 days paid leave for short term foster care on up to 4 occasions in a 12 month period. This is a new benefit. Provides for up to 24 months' unpaid parental leave for employee's who have responsibility for the care of the child. Provides for superannuation contributions to be made on up to 2 years' unpaid parental leave in some circumstances. Provides for employees to request to extend unpaid parental leave and employees to request to return to work on a part time basis until the child reaches school age. Right for employee to take up to 2 years' parental leave (through a combination of paid and unpaid leave) in some circumstances if they have responsibility for the care of the child. Provides that after 6 months' service, employees may apply for up to 52 weeks' unpaid grandparental leave (which may be taken in various combinations) or request a change in hours to be the primary carer for a grandchild (before the child turns 5). Provides for long service leave to be taken flexibly in one continuous period, in a number of shorter flexible periods, as single days, hours or as part of a flexible work arrangement. Provides that the employee can cash out some or all of their long service leave if they have more than 10 years service (subject to applicable law). Provides that some employees can take long service leave after 10 years' service. Provides for 3 days' paid compassionate leave where an immediate family member develops a life threatening illness, sustains a life threatening injury or passes away. This is an increase from 2 days. If the funeral of an immediate family member is held overseas, the employee may take an additional 2 days' paid compassionate leave. Provides for 3 days Sorry Business leave for employees identifying as Aboriginal and Torres Strait Islander to mourn the loss of a Sorry Business Family Member through traditional ceremonies and practices. This is broader than the immediate family member as it includes aunts, uncles, nieces and nephews (including related by law). This is in addition to compassionate leave. This is a new benefit. Provides for payment of Fixed Pay during jury duty and for any government jury duty payment to be paid to Westpac. Provides for unpaid leave for the purpose of performing certain community service activities. Provides for up to 20 days' paid leave per year for employees experiencing domestic and family violence. This is an increase from 10 days. Continues to provide for 10 days paid leave per year for employees providing support to an immediate family member who is experiencing domestic and family violence, for reasons relating to the situation. Provides for range of other support. This is a new benefit. Provides up to 20 days' paid leave to employees who are reservists in the Australian Defence Force, plus an additional 10 days in the first year as a reservist. This is a new benefit. Provides for up to 4 weeks' paid transition support leave if a person identifies as transgender and wants to permanently and publicly adopt a gender that is different to their birth gender and up to 1 year's unpaid transgender transition support leave. Sets out some technical requirements relating to leave. Sets out our approach to staffing, including our commitment to fully staffing workplaces in accordance with our staffing methodologies. Provides that workloads for unpackaged employees should be completed during ordinary hours. Provides for the setting and assessment of performance objectives. Provides for employees to use workplace electronic technology for limited personal use and to contact the FSU. This clause has been updated to refer to the Westpac Institute. Sets out our commitment to exploring a new context for digitally enabled, self directed,

7 long learning? 38 What support is available for the future of work? 39 What happens if I'm receiving workers' compensation payments? 40 What is our relationship with the Union? Other arrangements 41 What does it mean if I'm a specialist? 42 How can I have a salary packaging arrangement? 43 What does it mean if I'm a shift worker? We need to talk 44 How will issues be raised with me in a procedurally fair way? 45 What is the process for dealing with disputes? Changes 46 When will I be consulted about changes? learning. 7 This is a new benefit. Provides for new future of work roles which will involve two phases: Phase 1 - training and reskilling for a new role; and Phase 2 - support to transition to a new role for the future. Some parts of the proposed Agreement will not apply to employees while they are in Phase 1 of a future of work role. Provides for make-up pay (being the difference between any workers' compensation payment and Fixed Pay) for a maximum period of 26 weeks from the date of the initial incapacity although we may stop paying make-up pay in a range of circumstances. Provides: that the FSU is the relevant union for employees working with us (but it is up to employees whether they join the union); for meetings from time to time between our senior executives and senior FSU officials; for the Joint Job Evaluation Committee to continue for grades 1 3; for FSU communication with employees; that we will recognise appointed FSU representatives; for additional leave for eligible employees to attend trade union training courses and for employees holding certain positions in the FSU; for our online induction to include a module prepared by the FSU; for the FSU to conduct face-to-face inductions in some business units; that any right of entry is in accordance with the Fair Work Act. Provides for employees to become a specialist through offer and acceptance, or redeployment. Some specialists will be eligible for an increase under the Fixed Pay increase clause (clause 5), instead of this clause. Some clauses in the proposed Agreement don't apply to specialists. Provides for employees to have a packaged arrangement through offer and acceptance. There are two types of packaged arrangements Package One and Package Two. Packaged employees are required to work additional hours to fulfil the requirements of their role but will only be expected to work reasonable additional hours consistent with the National Employment Standards (NES). Some clauses in the proposed Agreement don't apply to employees on a packaged arrangement. Sets out shift work arrangements for full time and part time employees. As far as practicable, employees will not be directed to work shift work if they do not wish to do so. Some clauses of the proposed Agreement don't apply to employees on a shift work arrangement. Sets out a procedure for notifying employees of allegations against them and providing a reasonable opportunity to respond. This clause has been amended to clarify that we will not unreasonably refuse a request for an extension of time to respond. Provides for the employee to request information about the allegation or the reason for the change to their employment. Sets out a procedure for resolving disputes under the proposed Agreement or the NES. The procedure is initially internal, but provides for the Fair Work Commission to consider the dispute through conciliation, and if that does not resolve the concern, it can be referred for arbitration by the Fair Work Commission or LEADR & IAMA (an independent arbitrator). Provides that we are required to consult with employees and their representatives (which may include the FSU) in circumstances of major workplace change (eg, major changes to structure or technology) that is likely to have a significant effect on the employee or a change to an employee's regular roster or ordinary hours of work (except where the employee has irregular, sporadic or unpredictable working hours). Provides for specific consultation periods in circumstances of a proposed major change that directly impacts 15 FTE positions occupied by permanent employees and involves a reduction in FTE positions occupied by permanent employees. 47 What happens if my

8 8 role is redundant? Sets out a process that will apply if an employee's role is redundant. Provides a consistent basis for comparability of roles in redeployment. Sets out applicable severance scales. Leaving and coming back 48 How can I transition to retirement? 49 What does it mean to be a Westpac citizen? 50 How much notice of termination is needed? Provides for employees to transition to retirement over a period of up to 18 months (or a longer agreed period) by either: moving to a prime of life role for a specified term which is a new role with different responsibilities and retiring at the end of the term; or continuing in their current role and working a flexible arrangement as they prepare for retirement. Provides for 3 days' paid transition to retirement leave to undertake transition to retirement activities during the transition period. Provides that where an employee has left employment with us, but later comes back to join us (and they meet the eligibility requirements), we will: provide the employee with 20 days' personal/carer's leave over the first year of reemployment; reinstate the long service leave the employee had accrued when they left us (and recognise the employee's prior service for long service leave purposes); and recognise the employee's service with us in Australia for the purpose of our service recognition awards. This clause only operates during the nominal term of the proposed Agreement. Provides for notice of termination. Section 3 Terms for employees of Asgard, BTFG, WFCL and WGIS Part 1 51 Terms from Section 2 of our Agreement that apply if you are employed by Asgard, BTFG, WFCL or WGIS Sets out the terms in Section 2 which apply to employees of Asgard, BTFG, WFCL or WGIS, including: Fixed Pay increases (cl 5) except the one off cash payment referred to above (cl 5.5). Allowances (cl 7) - these allowances are being extended to employees of Asgard, BTFG, WFCL or WGIS (other than travelling to and from work which already applied to some employees under the Former Agreement). Overall, this change from the Former Agreement has resulted in extension of the allowances available to these employees. Superannuation (cl 8) except that if you are employed by Asgard the clause does not apply. Annual payment (cl 9). Supported wage system (cl 10). Public holidays and substitute days (clauses 16.1, 16.2, 16.3 and 16.10) employees of Asgard, BTFG, WFCL and WGIS will now have the same public holidays (including Bank Holiday) as other Westpac employees. Payment for working on public holidays is in Part 2 of Section 3. Working away from the office (cl 17). Flexible lifestyle leave (cl 18). Flexible work arrangements (cl 19). Changing the Agreement (cl 20). Lifestyle and wellbeing day (cl 21). Most of annual leave (cl 22). Personal/carer's leave (cl 23) except that employees who were previously covered by the BT Financial Group Agreement 2003 can also take an additional 5 days' paid carer's leave each year. Parental leave (cl 24) some enhancements to this clause are outlined above. Grandparental leave (cl 25). Flexibility in taking long service leave (cl ). Compassionate leave (cl 27) - some enhancements to this clause are outlined above. Sorry business leave is a new benefit outlined above. Jury duty leave (cl 28). Community service leave (cl 29). Domestic and family violence leave (cl 30) some enhancements to this clause are outlined above. Australian Defence Force reservists leave (cl 31) this is a new benefit which is outlined above. Transgender transition support leave (cl 32) this is a new benefit which is outlined above.

9 9 Part 2 52 Additional terms from the Banking Award for employees of Asgard, BTFG, WFCL and WGIS (except non award employees) Changes to Section 3 of the proposed Agreement for employees under the Former Agreement who were employees covered by the BT Financial Group Agreement 2003 (BTFG Agreement) (ie, employees who were covered by Part 3 of Section 3 of the Former Agreement) Changes to section 3 of the proposed Agreement for employees who under the Former Agreement were SEALCORP Award Employees (covered by Part 4 of Section 3 of the Former Agreement) Technical stuff for leave clause (cl 33). Digital communication (cl 36). Life-long learning (cl 37). Future of work (cl 38). Workers' compensation payments (cl 39). Most of FSU relationship (cl 40). Procedural Fairness (cl 44) this clause has been extended to employees of Asgard, BTFG, WFCL and WGIS. Dispute resolution (cl 45). Consultation (cl 46). Redundancy (cl 47) this clause has been extended to employees of Asgard, BTFG, WFCL and WGIS. Current Asgard employees will be entitled to preserved redundancy arrangements under clauses to New Asgard employees will be entitled to the severance scale under clauses to Transition to retirement (cl 48). Westpac citizenship (cl 49). Notice of termination (cl 50). Better off overall (cl 55). Sets out additional terms from the Banking, Finance and Insurance Award 2010 which are incorporated into the proposed Agreement (with some modifications) and also apply to employees of Asgard, BTFG, WFCL or WGIS (except non award employees), including: Commencement and transitional (cl 2.2). Definitions and interpretation (cl 3). Coverage (cl 4). Types of employment (cl 10). Classifications and minimum wage rates (cl 13). Annualised salaries (cl 14). School based apprentices (cl 15). National training wage (cl 16). Ordinary hours of work (cl 22). Overtime and penalty rates (cl 23). Definition of shiftworker (cl 24.2). Payment for public holidays (cl 27.2). Classification structure (Sch B). School-based apprentices (Sch C). The references are to clauses in the Banking, Finance and Insurance Award Part 3 of Section 3 the Former Agreement has been removed. Under the Former Agreement Part 3 of Section 3 set out additional terms from the BTFG Agreement that applied. The additional terms were: 5 days' extra carer's leave as outlined above this is now provided under Part 2 of Section 3. 6 weeks' notice of termination in circumstances of retrenchment this now applies to these employees with the incorporation of clause 47 (redundancy) from Section 2 (see Part 1 above). Severance payment of 3.5 weeks' per year of service, provided the minimum severance payment will be 8 weeks' pay and the maximum will be 80 weeks' pay employees are now entitled to a different severance scale under from Section 2 (see Part 1 above) with the minimum severance pay now being 7 weeks' salary and the maximum severance pay available being 90 weeks' salary. Part 4 of Section 3 has been removed. Under the Former Agreement, Part 4 of Section 3 set out additional terms from the SEALCORP Employees Award 2003 that applied to employees covered by Part 4 (with some modifications). Part 2 of Section 3 of our Former Agreement (which incorporated terms from the Banking Finance and Insurance Award 2010), did not apply to SEALCORP Award employees. This has now changed and Part 2 of Section 3 which incorporates certain provisions from the Banking Finance and Insurance Award 2010, now applies to these employees. The main changes for employees who were covered by Section Part 4 of Section 3 of our Former Agreement include: Allowances as referred above, clause 7 allowances, in Part 2 of Section 2 of the Proposed Agreement now applies. It generally results in an extension of the allowances

10 53 Technical stuff for Section 3 Section 4 The Technical Stuff 10 available to these employees. There will be slight changes in some allowances. Hours of work clause 22 of the Banking Finance and Insurance Award 2010 providing for ordinary hours of work now applies as incorporated by Part 2 of Section 3 (see above). Under the Banking Finance and Insurance Award 2010 ordinary hours cannot be worked on Sunday other than for shiftworkers which is a change for these employees. Also, ordinary hours of work for a full time employee will now be 152 hours per 4 week work cycle. Overtime - clause 23 of the Banking Finance and Insurance Award 2010 providing for overtime now applies as incorporated by Part 2 of Section 3 (see above). Employees will now be entitled to overtime at double time after three hours' overtime (other than on weekends or public holidays when greater rates of overtime apply under the Banking Finance and Insurance Award 2010 than applied under the Former Agreement). Shift work - clause 22.8 of the Banking Finance and Insurance Award 2010 providing for shift allowances now applies as incorporated by Part 2 of Section 3 (see above). Under the Banking Finance and Insurance Award 2010 there are loadings payable for afternoon, early morning or night shifts from 12.5% to 30%. There are no night or afternoon shift allowances that applied to these employees under the Former Agreement. There are some reductions in shift allowances payable if an employee works a shift on a Sunday. Public holidays clause 27.2 of the Banking Finance and Insurance Award 2010 providing for payment on public holidays now applies as incorporated by Part 2 of Section 3 (see above). When employees work on the public holiday they will now be entitled to double time and one half for time worked on the public holiday (with minimum of four hours, provided the employee is available for four hours). The public holidays and processes for substitution apply from clause and of Section 2 of the proposed Agreement (see Part 2 of Section 3 above). Redundancy clause 47 of the proposed Agreement will now apply to employees. It provides a far greater severance pay scale than applied under Part 4 of Section 3 of the Former Agreement. Sets out how rates are calculated in Section 3. Sets out how the various Parts in Section 3 of the proposed Agreement interact. Provides how expressions used in a term incorporated from the Banking Finance and Insurance Award 2010 are defined. 54 Technical stuff Provides that the proposed Agreement operates in place of all other awards and agreements. Provides that no term of the proposed Agreement operates to exclude the National Employment Standards. Sets out how the various Sections of the proposed Agreement interact. Provides that the 'At a glance' provisions in the proposed Agreement are not operative. Provides that any policy referred to in the proposed Agreement is not incorporated and is a reference to the policy as in place from time to time. 55 Better off overall For employees who would have been covered by the Banking Finance and Insurance Award 2010, an assessment will now be made against the Banking Finance and Insurance Award 2010 for each 3 month period. If there is a shortfall a payment will be made, plus 5% of the shortfall. 56 The Dictionary Defines terms used in the proposed Agreement. HOW DO I FIND OUT MORE? If you have any questions or would like more information about the proposed Agreement, please visit the dedicated EA 2019 intranet site at or EA@westpac.com.au.