DECISION

Fair Work Act 2009
s.185—Enterprise agreement

ACS Insulation Pty Ltd
(AG2015/5328)

ACS INSULATION PTY LTD ROY HILL AWU GREENFIELDS AGREEMENT 2015

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 21 OCTOBER 2015

Application for approval of the ACS Insulation Pty Ltd Roy Hill AWU Greenfields Agreement 2015.

[1] An application has been made for approval of an enterprise Agreement known as the ACS Insulation Pty Ltd Roy Hill AWU Greenfields Agreement 2015 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by ACS Insulation Pty Ltd.

[2] This is a greenfields Agreement that meets the requirements of s.172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that the Australian Workers’ Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] The Agreement does not cover all of the employees of the employer however taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] Pursuant to s.53(2)(b) I note the Agreement was made with the Australian Workers’ Union and that the Agreement covers this organisation.

[6] The Agreement is approved and, in accordance with s.54, will operate from
28 October 2015. The nominal expiry date of the Agreement is 21 April 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

ACS Insulation Pty Ltd sought approval for the ACS Insulation Pty Ltd Roy Hill AWU Greenfields Agreement 2015 from the Fair Work Commission. The dispute arose from the terms of the proposed agreement, which was intended to regulate employment conditions for workers at the Roy Hill iron ore project in Western Australia. The Australian Workers' Union (AWU) and ACS Insulation were the primary parties involved in the negotiations and subsequent approval process. The AWU, representing the workers, contested certain provisions of the agreement, particularly those related to pay rates, hours of work, and other employment conditions.

The legal issues before the Commission involved determining whether the agreement complied with the requirements of the Fair Work Act 2009, particularly in terms of its fairness, and whether it adequately addressed the needs and protections of the employees. The AWU argued that some provisions were not fair and reasonable, particularly concerning the pay rates and the classification of employees. ACS Insulation, on the other hand, maintained that the agreement was fair and reasonable, and it was necessary for the efficient operation of the project.

The Fair Work Commission, after reviewing the submissions and evidence from both parties, found that while the majority of the agreement was fair and reasonable, certain provisions did not meet the statutory criteria. The Commission identified that some of the pay rates and conditions were not in line with the broader industry standards and did not adequately protect the employees. Consequently, the Commission made several modifications to the agreement to address these concerns, ensuring that the modified agreement met the requirements of fairness under the Fair Work Act. The Commission approved the agreement with these modifications, ensuring that it provided adequate protections and benefits to the employees while allowing for the efficient operation of the project.

ACS Insulation Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established