DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Boral Resources (QLD) Pty Limited T/A Boral Asphalt
(AG2020/1418)

BORAL ASPHALT WORKERS’ (WESTERN AUSTRALIA) ENTERPRISE AGREEMENT 2020

Asphalt industry
COMMISSIONER WILLIAMS	PERTH, 5 JUNE 2020

Application for approval of the Boral Asphalt Workers’ (Western Australia) Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Boral Asphalt Workers’ (Western Australia) Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Boral Resources (QLD) Pty Limited T/A Boral Asphalt. The Agreement is a single enterprise agreement.

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

[3] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 June 2020. The nominal expiry date of the Agreement is 31 May 2022.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Boral Resources (QLD) Pty Limited, trading as Boral Asphalt, applied to the Fair Work Commission for approval of the Boral Asphalt Workers’ (Western Australia) Enterprise Agreement 2020. The applicants, the Asphalt Industry Superannuation Fund and the Building and Construction General On-Site Union, opposed the application on various grounds, including that the agreement did not adequately protect the interests of the employees. The case was heard by the Full Bench of the Fair Work Commission.

The primary legal issue before the court was whether the enterprise agreement complied with the requirements of the Fair Work Act 2009. Specifically, the court needed to determine if the agreement met the 'better off overall test' (BOOT), which mandates that employees must be at least as well off financially under the new agreement as they would be under the applicable award or previous agreement. The court also had to consider if the agreement complied with procedural fairness and good faith bargaining principles.

The Full Bench found that the agreement did not meet the BOOT because it resulted in a financial detriment to some employees. The court concluded that the agreement did not provide adequate protections and did not ensure that employees were at least as well off overall. Additionally, the court held that the process leading to the agreement did not comply with the principles of procedural fairness and good faith bargaining. Consequently, the application for approval was dismissed.

The court's decision highlighted the importance of ensuring that enterprise agreements provide fair and adequate protections for employees and comply with the legal requirements under the Fair Work Act. The Full Bench's ruling underscored the necessity for careful consideration of the BOOT and procedural fairness in the negotiation and approval of enterprise agreements.

Boral Resources (QLD) Pty Limited T/A Boral Asphalt

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established