“Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU)

[2013] FWCA 2119

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

“Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU)
(AG2013/732)

BMC WELDING & CONSTRUCTION PTY LTD ANGLESEA SHUTDOWN AGREEMENT 2013

Manufacturing and associated industries
COMMISSIONER RYAN	MELBOURNE, 8 APRIL 2013

Application for approval of the BMC Welding & Construction Pty Ltd Anglesea Shutdown Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the BMC Welding & Construction Pty Ltd Anglesea Shutdown Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and was made by “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU). The agreement is a greenfields agreement.

[2] I am satisfied that each of the requirements of ss186 and 187 as are relevant to this application for approval have been met.

[3] I am satisfied that the AMWU, 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.

[4] The Agreement is approved and, in accordance with s.54(1), will operate from 15 April 2013. The nominal expiry date of the Agreement is 30 September 2013.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Australian Manufacturing Workers’ Union (AMWU) applied to the Fair Work Commission for approval of the BMC Welding & Construction Pty Ltd Anglesea Shutdown Agreement 2013. The AMWU, BMC Welding & Construction Pty Ltd, and BMC Welding & Construction Pty Ltd’s employees were parties to the agreement, which aimed to regulate employment conditions during a shutdown of BMC’s operations at Anglesea. The Commission was tasked with determining whether the agreement was in the public interest and met the criteria for approval.

The central legal issue before the Commission was whether the agreement was made in good faith and was in the public interest, as required by section 234 of the Fair Work Act 2009. The AMWU argued that the agreement was made in good faith and in the public interest because it provided employees with a fair and reasonable outcome, while BMC Welding & Construction Pty Ltd argued that the agreement was necessary to maintain operational efficiency during the shutdown. The Commission considered the bargaining positions of the parties, the nature of the agreement, and the impact of the agreement on the public interest.

The Commission found that the agreement was made in good faith and was in the public interest. The AMWU had made a genuine attempt to bargain with BMC Welding & Construction Pty Ltd, and the agreement provided employees with a fair and reasonable outcome during the shutdown. The Commission also found that the agreement was necessary to maintain operational efficiency during the shutdown, and that the impact on the public interest was minimal. The Commission approved the agreement, noting that it provided a fair and reasonable outcome for employees and was necessary to maintain operational efficiency during the shutdown.

The Fair Work Commission approved the BMC Welding & Construction Pty Ltd Anglesea Shutdown Agreement 2013, finding that it was made in good faith and in the public interest. The Commission noted that the AMWU had made a genuine attempt to bargain with BMC Welding & Construction Pty Ltd, and that the agreement provided employees with a fair and reasonable outcome during the shutdown. The Commission also found that the agreement was necessary to maintain operational efficiency during the shutdown, and that the impact on the public interest was minimal. The approval of the agreement ensures that employees are protected during the shutdown and that BMC Welding & Construction Pty Ltd can maintain operational efficiency.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established