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• Established 1918.

• Largest and most representative lobby group for the resources sector.

• Over 300 members, many with multiple sites.

• Recognised as the peak employers organisation for resources sector.

• Is the only national employers group for the resources sector.

Past Presidents of AMMA include:

Sir Arvi Parbo Western Mining 1976 -1978Mr George Mackay Electrolytic Zinc Company of Aust. 1978 -1982Mr Charles Copeman Consolidated Gold Fields Group 1982 -1985Mr Tom Barlow Hamersley Iron Pty Ltd 1985 -1987Dr Stuart McGill ESSO 1987Mr Campbell Anderson Renison Goldfields Consolidated Ltd 1988 -1989Mr Charles Allen Woodside 1989 -1991Mr Karl Stewart Comalco Smelting 1991 -1994Mr John Quinn Newcrest 1994 -1997Mr Terry Palmer Comalco 1997 -2001Mr Ross Brewer P&O Maritime Services Pty Ltd 2001 - 2002Mr Graeme Hunt BHP Billiton Iron Ore 2002 - 2004Mr Tony Palmer Newcrest Mining Limited 2004 - 2006Mr Charlie Lenegan Rio Tinto Australia 2006 - 2007Ms Eve Howell Woodside Energy Ltd. 2008 - Present

AMMA BoardPresident Eve Howell Executive Vice President,

North West Shelf Woodside Energy Ltd.

Vice Presidents: Ian Smith Managing Director &

Chief Executive Officer Newcrest Mining Limited

Peter Johnston Managing Director and Chief Executive Officer Minara Resources Limited

Directors:

Andrew King Managing Director P & O Maritime Services Pty Ltd

Kim Horne Executive Director HR and EHS Australia Alcoa of Australia Limited

Neil Barrett Chief Executive Officer Australia & New Zealand Sodexo Australia Pty. Ltd.

Ian Ashby President Iron Ore BHP Billiton Iron Ore Pty Limited

Steve Hodgson President and Chief ExecutiveBauxite and Alumina Rio Tinto Alcan Limited

Ulysses Yiannis HR Manager - Australia/ Esso Australia Pty Ltd and New Zealand/Pacific Islands Mobil Oil Australia Pty Ltd

Seamus French Chief Executive Officer Anglo Coal Australia Pty Ltd

AMMA Board Reference Group

Paul Davies Chief Advisor Employee Relations Rio Tinto Keith Greatrix H R Superintendent Queensland Alumina Limited Paul Duckett General Manager Workplace Relations Skilled GroupBill Vickers Industrial Relations Manager ExxonMobil Australia Pty LtdChris Mitchell Group Manager Employee Relations BHP Billiton – Stainless Steel MaterialSteven Clancy Director Labour Relations Fluor Australia Pty LtdSimon Beach General Manager Human Resources Newcrest Mining LimitedIan Masson Global Policy/ Remuneration & IR Manager Woodside Energy LtdDesiree Harker General Manager Human Resources P&O Maritime ServicesMurray Smith Vice President Human Resources BHP Billiton – Iron OreMerv Saltmarsh Manager Human Resources – Drilling Services Boart Longyear Pty LtdGeoff Blyth Group Workplace Relations Manager Compass Group (Australia) Pty LtdLinda Nunn Industrial Relations Manager Universal Sodexo Pty Ltd Nick Furnivall Human Resources Manager HWE Mining Pty LtdGreg Cornish Senior Adviser Employee Relations Santos LimitedChris Mitsopoulos Employee Relations Manager Chevron Australia Pty LtdRob McPherson Employee Relations Manager ThiessCarl Phillips HR Manager WA Operations Alcoa World Alumina AustraliaTim Scully Executive General Manager Human Resources OZ MineralsDiana Hodgson Head of Human Resources Olympic Dam BHP Billiton Olympic DamSteve Knott Chief Executive AMMATony Caccamo Director Operations AMMAChristopher Platt Director Workplace Policy AMMANaomi Ford Senior Workplace Policy Adviser AMMA

Industry Profile

• Revised 2009-2010 export earnings $126 billion (8% GDP).

• 347 major projects identified.

• Of these 262 undergoing feasibility.

• Projects in the committed stage may be deferred, modified or even cancelled, subject to prevailing economic circumstances.

Industry Profile (Continued)

• 85 projects are at an advanced stage with projected capital expenditure of $67.3 billion.

• Approximately 130,000 direct employees – this has declined 12,500 in past quarter.

• Unionisation– Private sector 14%– Hard rock mining 7.2%– Coal mining 49.7%– Oil and gas extraction 3.59%

Industry Profile (Continued)

• Average wage $102,000.• Two thirds of the sector have wages set by

individual ‘all staff’ employment arrangements.

• Industrial disputation remains low.• Union ‘site visits’ are increasing.

Industrial Relations Changes Phase 1 – New IR system

• New industrial relations policy – Fair Work Act legislation –1 July 2009.

• New Modern Awards 1 January 2010.

• Enhances union and industrial tribunal powers– Broad rights to enter the workplace– Automatic union representation of members– Virtual abolition of non-union agreements– Good faith bargaining and union content in agreements– Broader industrial tribunal and arbitration powers

Phase 1 – New IR system (Continued)

• The Fair Work Act is the new IR system– AMMA will assist members with ‘system migration’

issues.

– Resource sector companies are practical and will get on with the job of IR strategy, tactical and operational matters having regard for the new system.

– Employee engagement issues will remain paramount.

Phase 1 – New IR system (Continued)

• There will be another ‘new’ IR system.– Current system retains too much of the old

system.– WorkChoices will not be the next new system.– Economic and international competitive forces

will require more flexibility, reduction in unnecessary/unwanted IR regulation red tape, etc.

The Half-Wit

A man owned a small farm.

The Workplace Ombudsman claimed he was not paying proper wages to his help and sent an inspector from Fair Work Australia (FWA) to interview him.

I need a list of your employees and how much you pay them," demanded the inspector.

"Well," replied the farmer, "There's my ranch hand who's been with me for 3 years, I pay him $1000 a week plus free room and board.

The cook has been here for 18 months, and I pay her $750 per week plus free room and board.

Then there's the half-wit who works about 18 hours every day and does about 90% of allthe work around here.

He makes about $10 per week, pays for his own room and board and I buy him a bottle of whisky every Saturday night.“

"That's the guy I want to talk to, the half-wit," says the FWA inspector.

The Half-Wit (continued)

"That would be me," replied the farmer.

Union Right of Entry

• Current – coverage and IR instrument respondency.

• New – coverage

Typical Hard Rock Mining Example:

Current New

AWU AWUAMWU AMWUETU ETU

TWU (truck drivers)NUW (store workers)CFMEU (plant and equipment)

and the list goes on

Phase 2 Construction –Restoring the law(lessness)

• ABCC being abolished – January 2010.

• Wilcox QC appointed to hold inquiry for smooth transition to Fair Work Australia – separate FWA Division for Construction.

• Report released (3 April 2009) with recommendations, including:– New steps to compulsorily gather evidence. – Division to be overseen by a new advisory body.– Lower penalties for breaching the law.– 5 year sunset for Specialist Division.

Phase 2 Construction (Continued)

• Report identifies continuation of unlawful conduct.

• VIC and WA highlighted.

• Conduct remains but the regulator (ABCC) goes!

Phase 3 - A national OHS system• AMMA supports national OH&S legislative direction BUT

• Proposals being advanced to enhance union powers are of concern:

– Unions ’24/7’ entry to workplaces if assisting HSRs– Unions investigating ‘alleged’ OHS breaches– Unions inspecting ‘documents’ on entry

• AMMA supports there being a properly funded and resourced (government funded) OHS inspectorate service.

• AMMA doesn’t support OHS being a vehicle to enhance union powers that were denied under the Fair Work Act.

AMMA Lobbying• No requirement to have all unions agree to a ‘Greenfields’ deal.• 4 year agreement terms.• No unfettered access by unions to non-member records.• No ‘drop dead’ dates for existing agreements.

‘I received from the COIL and particularly from AMMA, that this proposal would disturb long-standing and satisfactory arrangements and create an unnecessaryrequirement to alter those arrangements.’Source DPM Gillard address to ALLA Conference Melbourne 14 November 2008

• Industrial Association Lawyers can appear as of right - lawyers and paid agents require permission, refer Section 596 of FWA.

and the list goes on.

In challenging times communication remains paramount