1. Reckitt Benckiser Employment Relations SOBHA NAIR – Human Resources

2. Reckitt Benckiser ANZ Commercial Supply Research & Development Support departments (Finance, HR, IS)

3. Current Legislation The new workplace relations system (Forward with Fairness) will not be finally established until 2010, but its foundations are being laid now The first round of changes to the Workplace Relations Act with the Transition to Forward with Fairness Amendments took effect on 28 March 2008:  No new AWAs – replaced by Individual Transitional Employment Agreement (ITEAs)  No disadvantage test to be applied to ITEAs and collective agreements  AIRC to undertake award modernisation process

4. Types of Employment Agreements Monthly staff - individual employment contracts Weekly staff –Union collective agreement (covers factory, distribution, security) –No underpinning awards –4 unions: AMWU, AWU, ETU, Miscellaneous Workers Union Merchandisers - Individual Transitional Employment Agreement (ITEAs) Contractors - contract for service not a contract of service

5. Grievance procedure aimed at resolving conflict at the lowest possible level. Procedure is similar for monthly and weekly paid staff: –Step 1 - if comfortable speak with the person who the grievance is with. –Step 2 - if this does not resolve the grievance or person is not comfortable to do this then escalated to their manager. If the employee is a union member than the union delegate would be involved. –Step 3 - if still unresolved then matter would be referred to HR and if appropriate union organiser. –Step 4 - if matter still unresolved may be referred to external mediator or Australian Industrial Relations Commission. Grievance/Conflict Resolution

6. Performance Management Grievances can occur for a variety of reasons. Our strategy to avoid this is to provide constant, consistent and immediate feedback to our staff. Expectations relate directly back to our core values: –Team Spirit –Achievement –Ownership –Entrepreneurship

7. Performance Management Behavioural improvement process (weekly and monthly staff): –Counselling session –First Warning –Final Warning –Dismissal At all stages we: –clearly identify performance concerns –ensure the employee has the opportunity to respond. –Properly consider their response before any final decision is made.

8. Performance Management Performance Development Review (only for monthly staff) There are essentially four parts to the process: Employee Self-Assessment Manager Assessment Reviewer input/approval Face to face meeting to discuss & agree on final assessment PDR should not be a surprise.

9. Change Management Change can often cause concern, distress and consequently grievances. Our strategy to avoid this is to communicate and consult with the stakeholders as early and as often as possible. Example : Introduction of full second shift - Aerosols.

10. Introduction of Full Second Shift - Aerosols Current arrangements: single shift with a small second shift (seasonal) Long term employees used to and like working day shift. We communicated as soon as decision was made. At initial communication we did not have all the final detail (buy in). Encourage employees to raise concerns/fears so we can deal with them. Provide opportunities for consultation and discussion. Some employees have asked to transfer to afternoon shift

11. Questions??