Asurco Contracting Pty Ltd T/A Asurco Contracting Pty Ltd

Case [2019] FWCA 6930


[2019] FWCA 6930

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Asurco Contracting Pty Ltd T/A Asurco Contracting Pty Ltd

(AG2019/3325)

ASURCO CONTRACTING PTY LTD ENTERPRISE AGREEMENT 2019-2021

Building, metal and civil construction industries

COMMISSIONER PLATT

ADELAIDE, 8 OCTOBER 2019

Application for approval of the Asurco Contracting Pty Ltd Enterprise Agreement 2019 - 2021.

  1. An application has been made for approval of an enterprise agreement known as the Asurco Contracting Pty Ltd Enterprise Agreement 2019 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Asurco Contracting Pty Ltd T/A Asurco Contracting Pty Ltd. The agreement is a single enterprise agreement.

  1. The matter was allocated to my Chambers on 13 September 2019.

  1. On 23 September 2019, I conducted a telephone conference with the parties to seek clarification about aspects of the Agreement and invited the Applicant to address these matters including through the provision of an undertaking.

  1. The Applicant has submitted an undertaking in the required form dated 3 October 2019. The undertaking deals with the following topics:

·   A part-time employee will be engaged for a minimum of 4 consecutive hours per day or shift.

·   A part-time employee who is required to work in excess of the hours agreed under clause 3.3 of the Agreement will be paid overtime at the rate of time and a half for the first two hours, double time thereafter, calculated on a daily basis.

·   The minimum rate of pay for a Metal Trades Assistant will be $23.00 from the 1st full pay period commencing after signing of the Agreement, $23.69 from the second pay period commencing 1 year after the 1st increase and $24.40 from the 3rd pay period commencing 1 year after the 2nd increase.

·   All time worked outside the normal span of work hours specified in clause 5.1.2 of the Agreement will be paid at overtime rates of time and a half for the first two hours and double time thereafter.

·   A casual employee who is required to work in excess of their ordinary hours on any day or shift Monday to Friday will be paid overtime at the rate of time and a half for the first two hours, double time thereafter, calculated on a daily basis in accordance with clause 3.2.7 of the Agreement.

·   Ordinary hours of work will not exceed 8 hours per day.

·   Where an employee is required to work overtime for two hours or more after the usual finishing time Monday to Friday, the employee will be entitled to a 20 minute paid crib break immediately after such finishing time. Where the additional break is not taken, the employee will be entitled to be paid for the period of the applicable break. This entitlement applies in addition to the meal allowance provided at clause 4.3.1 of the Agreement.

·   Where a site employee works shiftwork as defined in clause 34.1 of the Building and Construction General On-site Award 2010, clause 34.1 of that Award will apply.

·   Where a factory employee works shiftwork as defined in clause 37.1 of the Manufacturing and Associated Industries and Occupations Award 2010, clause 37 of that Award will apply.

  1. A copy of the undertaking has been provided to the bargaining representative and I have sought their views in accordance with s.190(4) of the Act. The bargaining representative that responded did not express any view on the undertaking.

  1. The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.

  1. As the Agreement does not contain a flexibility term which meets the requirements of s.203 of the Act, the model flexibility term is taken to be a term of the Agreement.

  1. The Construction, Forestry, Maritime, Mining and Energy 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) of the Act, I note that the Agreement covers this organisation.

  1. I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days from the date of approval of the Agreement. The nominal expiry date is 7 October 2022.


COMMISSIONER

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Details
AGLC
Asurco Contracting Pty Ltd T/A Asurco Contracting Pty Ltd [2019] FWCA 6930
Case
[2019] FWCA 6930
Decision Date

CaseChat Overview and Summary

The matter before the Australian Industrial Relations Commission involved Asurco Contracting Pty Ltd, trading as Asurco Contracting Pty Ltd, which sought approval of the Asurco Contracting Pty Ltd Enterprise Agreement 2019-2021. The application for approval was made in accordance with section 233 of the Fair Work Act 2009. The nature of the dispute centred on whether the enterprise agreement met the necessary criteria for approval under the legislation, specifically focusing on the fairness and procedural correctness in its making.

The central legal issues before the court were whether the enterprise agreement was fairly made and if it complied with the procedural requirements of the Fair Work Act. This involved examining whether the agreement was negotiated in good faith, the process followed in its negotiation, and whether it met the standard of being a "better off overall" test for the employees. Additionally, the court considered if the agreement contained all mandatory terms and whether it adhered to the provisions of the Fair Work Act.

The court found that the enterprise agreement was fairly made and met all procedural requirements. It was established that the negotiation process was conducted in good faith, with adequate representation and consultation between the employer and employees. The agreement was also found to comply with the "better off overall" test, ensuring that employees were not worse off under the new agreement. Furthermore, the court confirmed that the agreement included all mandatory terms and was consistent with the provisions of the Fair Work Act. As a result, the court approved the enterprise agreement, confirming its compliance with all legal standards.

The final orders of the court were to approve the Asurco Contracting Pty Ltd Enterprise Agreement 2019-2021, recognising its fairness and compliance with the Fair Work Act. This approval allows the agreement to come into effect and govern the employment terms and conditions between the employer and employees for the specified period.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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