Alcoa of Australia Limited

[2017] FWCA 5456

[2017] FWCA 5456

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Alcoa of Australia Limited
(AG2017/4591)

ALCOA OF AUSTRALIA, WA OPERATIONS (MECHANICAL TRADES) AGREEMENT, 2017

Aluminium industry
DEPUTY PRESIDENT BINET	PERTH, 25 OCTOBER 2017

Application for approval of the Alcoa of Australia, WA Operations (Mechanical Trades) Agreement, 2017.

[1] An application has been made by Alcoa of Australia Limited (Alcoa) for approval of an enterprise agreement known as the Alcoa of Australia, WA Operations (Mechanical Trades) Agreement, 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

[2] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing Workers’ Union (AMWU) and Alcoa have been endeavouring to conclude an agreement since July 2015 using traditional positional negotiating techniques without success. Proposed agreements were put to ballot in September 2016 and February 2017. However, both were comprehensively voted down.

[3] In March 2017, the AMWU and Alcoa decided to take a different approach and made a joint application to the Fair Work Commission (FWC) seeking its assistance to conclude an agreement using the powers under s.576(2)(aa) of the Act. Pursuant to this power, I provided training to the parties on interest based bargaining techniques and then facilitated negotiations between the parties utilising these techniques.

[4] Despite the previous protracted positional negotiations, a team of workplace delegates, officials of the AMWU and management representatives worked collaboratively and, utilising interest based bargaining techniques, within 10 sessions developed an agreement endorsed by both parties. After a Townhall Meeting addressed by representatives of Alcoa, the AMWU and the FWC, the agreement went to ballot and was overwhelmingly endorsed by the workforce. I am hopeful that the spirit in which this agreement was reached, consistent with the goal of the New Approaches initiative, leads to a reduction in the need for matters to be referred to the FWC.

[5] Alcoa has provided written undertakings in relation to supported wages. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[6] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of Alcoa. However, taking into account the factors in s.186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

[7] The AMWU, 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), I note that the Agreement covers the organisation.

[8] The Agreement was approved on 25 October 2017 and, in accordance with s.54, will operate from 1 November 2017. The nominal expiry date of the Agreement is 30 June 2020.

DEPUTY PRESIDENT

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Annexure A