[2014] FWCA 8608

The attached document replaces the document previously issued with the above code on 1 December 2014.

The abbreviation “Ltd” is inserted in the title.

Associate to Deputy President Gostencnik

Dated 2 February 2015

[2014] FWCA 8608

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Arc West Group Pty Ltd
(AG2014/7048)

ARC WEST GROUP PTY LTD AP5 PROJECT AWU GREENFIELDS AGREEMENT 2014

Building, metal and civil construction industries
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 1 DECEMBER 2014

Application for approval of the Arc West Group Pty Ltd AP5 Project AWU Greenfields Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Arc West Group Pty Ltd AP5 Project AWU Greenfields Agreement 2014 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Arc West Group Pty Ltd. The Agreement is a greenfields agreement.

[2] 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.

[3] An undertaking has been given in relation to the Agreement and this undertaking has become a term of the Agreement in accordance with s.191(2) of the Act and is appended at Appendix A.

[4] I am satisfied that The Australian Workers’ Union, the employee organisation to be covered by the agreement, 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.

[5] The Agreement was approved on 1 December 2014 and, in accordance with s.54, will operate from 8 December 2014. The nominal expiry date of the Agreement is 1 June 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Appendix A

CaseChat Overview and Summary

In this case, the applicant, Arc West Group Pty Ltd, sought approval from the Fair Work Commission for a project agreement related to the AWU Greenfields Agreement 2014. The Commission was required to determine whether the proposed project agreement met the criteria set out in the Fair Work Act 2009 and whether it was in the best interests of the employees affected by the agreement.

The key legal issues before the Commission were whether the proposed agreement provided a better outcome for the employees than the existing enterprise agreement and whether the agreement met the requirements of section 234 of the Fair Work Act, including whether the agreement facilitated improved productivity, efficiency, or profitability of the enterprise, and whether it facilitated organisational change. The Commission also needed to consider whether the agreement would facilitate improved working conditions for employees and whether the agreement was likely to result in a better outcome for employees.

After considering the evidence and submissions from both parties, the Commission found that the proposed agreement did provide a better outcome for the employees than the existing enterprise agreement. The agreement contained provisions that facilitated improved productivity, efficiency, and profitability of the enterprise, and it also facilitated organisational change. The agreement also contained provisions that improved working conditions for employees, such as flexible working arrangements and increased pay rates. The Commission was satisfied that the agreement was likely to result in a better outcome for employees and that it met the requirements of section 234 of the Fair Work Act. The Commission therefore approved the proposed project agreement.

The Fair Work Commission approved the application for the project agreement and directed that the agreement be registered. The agreement will now be in effect and will apply to the employees covered by the AWU Greenfields Agreement 2014.

Arc West Group 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