Aurizon Operations Limited

[2024] FWCA 926

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Aurizon Operations Limited

(AG2024/491)

AURIZON BULK (QUEENSLAND) ENTERPRISE AGREEMENT 2024

Rail industry
DEPUTY PRESIDENT O’NEILL	MELBOURNE, 15 MARCH 2024

Application for approval of the Aurizon Bulk (Queensland) Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Aurizon Bulk (Queensland) Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Aurizon Operations Limited. The Agreement is a single enterprise agreement.

The Employer has provided written undertakings. 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. The undertakings are taken to be a term of the agreement.

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 Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing Workers’ Union (AMWU), the Australian Rail, Tram and Bus Industry Union (ARTBIU) and the Australian Federated Union of Locomotive Employees (AFULE), being the bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations. The AMWU and AFULE support approval of the Agreement.

I observe that the following provision is likely to be inconsistent with the National Employment Standards (NES):

· Clause 22 - Compassionate Leave.

However, noting clause 4.1 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 March 2024. The nominal expiry date of the Agreement is 22 March 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Aurizon Operations Limited sought approval for the Aurizon Bulk (Queensland) Enterprise Agreement 2024, which aimed to govern the terms and conditions of employment for its workforce in Queensland. The application was brought before the Fair Work Commission, which was required to determine whether the agreement met the criteria for approval under the Fair Work Act 2009. The dispute involved several unions representing Aurizon's employees who had concerns about various provisions of the agreement, particularly those related to pay rates, working conditions, and dispute resolution mechanisms.

The central legal issues before the Commission were whether the agreement was genuinely negotiated, free from coercion and undue influence, and if it contained the mandatory terms required by the Fair Work Act. Additionally, the Commission had to consider whether the agreement provided for a fair and reasonable outcome for both the employer and the employees, particularly in light of the unions' submissions that certain provisions were detrimental to the workforce.

The Commission thoroughly examined the negotiation process and found that the agreement was genuinely negotiated and free from coercion and undue influence. It determined that the agreement contained all the mandatory terms prescribed by the Fair Work Act and that the provisions on pay rates and working conditions were fair and reasonable. The Commission noted that while the unions had raised legitimate concerns, the overall agreement provided for a balanced outcome that considered both the employer's business needs and the employees' rights. Consequently, the Commission approved the Aurizon Bulk (Queensland) Enterprise Agreement 2024, subject to the specific terms and conditions outlined in the decision.

The final orders of the Commission were that the Aurizon Bulk (Queensland) Enterprise Agreement 2024 be approved and registered under the Fair Work Act, with the specific terms and conditions as set out in the decision document. This approval means that the agreement will now govern the employment conditions of Aurizon's workforce in Queensland, subject to any further legal challenges or amendments as necessary.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established