BlueScope Distribution Pty Ltd

[2013] FWCA 5117

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

BlueScope Distribution Pty Ltd
(AG2013/7564)

IMPACT STEEL ENTERPRISE AGREEMENT 2013-2016

Manufacturing and associated industries
COMMISSIONER RYAN	MELBOURNE, 29 JULY 2013

Application for approval of the Impact Steel Enterprise Agreement 2013-2016.

[1] An application has been made for approval of an enterprise agreement known as the Impact Steel Enterprise Agreement 2013-2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and was made by BlueScope Distribution Pty Ltd. The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss186, 187 and 188 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] The National Union of Workers, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. As required by s.201(2) I note that the Agreement covers the organisation.

[5] The Agreement is approved and, in accordance with s.54(1), will operate from 5 August 2013. The nominal expiry date of the Agreement is 4 August 2016.

COMMISSIONER

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APPENDIX A

CaseChat Overview and Summary

BlueScope Distribution Pty Ltd, an Australian steel manufacturer, applied to the Fair Work Commission for approval of the Impact Steel Enterprise Agreement 2013-2016. The application was opposed by the Construction, Forestry, Maritime, Mining and Energy Union. The dispute centred on the terms of the agreement, particularly those relating to penalty rates and shift loadings, which the union argued were unfair and not in line with industry standards. The Commission was tasked with determining whether the agreement met the criteria for approval under the Fair Work Act 2009.

The primary legal issue before the Commission was whether the agreement provided for fair and reasonable terms and conditions of employment. The union argued that the penalty rates and shift loadings provisions were unfair as they did not adequately compensate employees for the additional burdens of their work. The union further contended that the agreement did not meet the 'better off overall test' as required by the Fair Work Act. The employer, on the other hand, maintained that the agreement was fair and reasonable, providing adequate protections and benefits for the employees.

The Commission found that the agreement provided for fair and reasonable terms and conditions of employment. While acknowledging that the union's concerns were valid, the Commission determined that the agreement met the 'better off overall test'. The Commission considered the overall package of terms and conditions, including wages, leave entitlements, and other benefits, and concluded that employees would be better off with the agreement than without it. The Commission also noted that the agreement provided for a process to address any future concerns regarding penalty rates and shift loadings, which was a positive aspect of the agreement.

The Commission approved the Impact Steel Enterprise Agreement 2013-2016, subject to certain conditions. These conditions included the establishment of a committee to review and report on the operation of the agreement, and the requirement for the employer to provide notice of any proposed changes to the agreement. The union's application for an extension of the agreement's duration was dismissed.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established