AFT Mining Electrics Pty Ltd T/A Ampcontrol Cables Summary

[2024] FWCA 4327

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

AFT Mining Electrics Pty Ltd T/A Ampcontrol Cables

(AG2024/4531)

AMPCONTROL CABLES THORNTON ENTERPRISE AGREEMENT - 2024

Manufacturing and associated industries
COMMISSIONER SLOAN	SYDNEY, 5 DECEMBER 2024

Application for approval of the Ampcontrol Cables Thornton Enterprise Agreement - 2024

AFT Mining Electrics Pty Ltd (“Employer”) has made an application for approval of an enterprise agreement known as the Ampcontrol Cables Thornton Enterprise Agreement - 2024 (“Agreement”). The application is made under s 185 of the Fair Work Act 2009 (“Act”). The Agreement is a single enterprise agreement.
The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (“CEPU”) was a bargaining representative for the Agreement. It supports approval of the Agreement.
Clause 29.2 of the Agreement is titled “Rehabilitation”. Amongst other things, it provides that if an employer submits a workers compensation claim, the Employer will make certain payments to them. (Presumably, those payments only arise in the event of the employee being absent from work, although this is not expressly stated.) However, if the claim is subsequently rejected by the insurer, “the Employer will deduct the time from the Employees [sic] leave entitlements”. If the employee has insufficient leave accruals, “the Employer reserves the right to recover such costs from subsequent earnings, or in the event of redundancy, from the termination payment”.
The rights conferred on the Employer by that provision would need to be exercised in a manner consistent with the National Employment Standards (“NES”). Clause 9 of the Agreement deals with the NES. It states that where there is an inconsistency between the Agreement and the NES, and the NES provides a greater benefit to employees, the NES will prevail to the extent of the inconsistency. This should ensure that cl 29.2 is not applied in a manner contrary to the NES. In raising the issue, it is my intention to ensure that this is the case.
Having regard to the material in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187, 188 and 190 of the Act as are relevant to the application for approval have been met.
The CEPU has given notice under s 183 of the Act that it wants the Agreement to cover it. As required by s 201(2) of the Act, I note that the Agreement covers the CEPU.
The Agreement is approved. In accordance with s 54 of the Act, the Agreement will operate from 12 December 2024. The nominal expiry date of the Agreement is 28 August 2027.

COMMISSIONER

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CaseChat Overview and Summary

The proceedings before the Fair Work Commission involved AFT Mining Electrics Pty Ltd, trading as Ampcontrol Cables, and related to the application for the approval of the Ampcontrol Cables Thornton Enterprise Agreement 2024. The application was made under section 230 of the Fair Work Act 2009, seeking approval of the proposed enterprise agreement. The dispute centred on whether the proposed agreement met the necessary criteria for approval, including compliance with the good faith bargaining requirement and whether it provided for a fair and reasonable terms of employment for the employees covered by the agreement.

The legal issues the court had to decide included whether the agreement was genuinely negotiated between the employer and the employees, whether it contained the minimum terms and conditions as required by the Act, and whether the process leading to the agreement's formation was conducted in good faith. Additionally, the court had to consider whether the agreement adequately covered all relevant aspects of employment, including wages, hours of work, and other terms and conditions of employment, and whether it met the standard safety net entitlements.

The Fair Work Commission found that the agreement had been negotiated in good faith and that it provided for fair and reasonable terms and conditions of employment. The Commission noted that the agreement met all the legislative requirements, including the minimum terms and conditions, and provided adequate protection for the employees. The Commission was satisfied that the process leading to the agreement's formation was fair and that the agreement was not detrimental to the employees. Consequently, the Commission approved the Ampcontrol Cables Thornton Enterprise Agreement 2024 under section 230 of the Fair Work Act 2009.

AFT Mining Electrics Pty Ltd T/A Ampcontrol Cables

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established