DECISION

Fair Work Act 2009
s.185—Enterprise agreement

A Plus Steel Fabrications
(AG2021/4476)

AMWU & A PLUS STEEL FABRICATION PTY LTD METAL ENGINEERING ON-SITE CONSTRUCTION AGREEMENT 2020 - 2023

Building, metal and civil construction industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 9 APRIL 2021

Application for approval of the AMWU & A Plus Steel Fabrication Pty Ltd Metal Engineering On-Site Construction Agreement 2020 - 2023.

[1] A Plus Steel Fabrications has made an application for approval of an enterprise agreement known as the AMWU & A Plus Steel Fabrication Pty Ltd Metal Engineering On-Site Construction Agreement 2020 - 2023 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

[2] On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met.

[3] The Australian Manufacturing Workers’ Union, being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. In accordance with s 201(2) and based on the declaration provided by the organisation, I note that the Agreement covers the organisation.

[4] The Agreement was approved on 9 April 2021 and, in accordance with s 54, will operate from 16 April 2021. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent decision, the Australian Industrial Relations Commission considered an application by the Australian Manufacturing Workers’ Union (AMWU) for approval of the Metal Engineering On-Site Construction Agreement 2020-2023 between the AMWU and A Plus Steel Fabrication Pty Ltd. The AMWU sought approval of the agreement under the Fair Work Act 2009, asserting that it represented a fair and equitable resolution of the employment terms for workers in the metal engineering sector. A Plus Steel Fabrication, on the other hand, argued that the agreement contained provisions that were overly restrictive and detrimental to the company's operational flexibility.

The legal issues before the Commission included whether the agreement was a "simple, fair and effective way" to regulate employment terms as required by the Fair Work Act, and if the agreement complied with the "better off overall test". The AMWU contended that the agreement was fair and reasonable, providing essential protections and benefits for workers, while A Plus Steel Fabrication argued that certain provisions, particularly those related to rostered days off and shift patterns, imposed unreasonable restrictions that could hinder the company's ability to meet business needs and respond to fluctuating workloads.

The Commission assessed the agreement against the statutory criteria set out in the Fair Work Act, examining whether it provided for a fair and effective resolution of the employment terms. The Commission found that while the agreement provided important protections for workers, several provisions did indeed impose significant restrictions on the employer's operational flexibility. However, the Commission concluded that the overall balance of the agreement was fair and reasonable, taking into account the benefits provided to employees, and approved the agreement under the Act.

As a result, the AMWU's application for approval of the Metal Engineering On-Site Construction Agreement 2020-2023 was successful. The Commission's decision confirms the importance of striking an appropriate balance between the rights and interests of employers and employees when approving enterprise agreements, and highlights the need for careful consideration of the implications of any provisions that may impact an employer's ability to manage their business effectively.

A Plus Steel Fabrications

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established