DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Chandler Macleod Group Limited T/A Chandler Macleod
(AG2020/4060)

CHANDLER MACLEOD - QUEENSLAND BLACK COAL MINING AGREEMENT 2020

Coal industry
COMMISSIONER BOOTH	BRISBANE, 5 MARCH 2021

Application for approval of the Chandler Macleod- Queensland Black Coal Mining Agreement 2020.

[1] An application has been made under s.185 of the Fair Work Act 2009 (the Act) by Chandler Macleod Group Limited T/A Chandler Macleod (the Applicant) for approval of Chandler Macleod- Queensland Black Coal Mining Agreement 2020 (the Agreement). The Agreement is a single enterprise agreement.

[2] Mr Jeff Scales, District Vice President of the Construction, Forestry, Maritime, Mining and Energy Union – Mining and Energy Division (CFMMEU), filed a Form F18 in this matter, providing notice under s.183 of the Act that the CFMMEU wants the Agreement to cover it.

[3] Correspondence was sent to the Applicant on 27 January 2021, raising certain concerns in relation to the Agreement and seeking responses and undertakings from the Applicant. The Applicant filed submissions and undertakings addressing the concerns raised on 12 February 2021. The CFMMEU was provided with copies of the response and proposed undertakings.

[4] The matter was listed for eHearing on 3 March 2021. Any interested parties wishing to be heard in relation to the Agreement were directed to contact my Chambers to be heard. No parties contacted my Chambers.

[5] The undertakings meet the requirements of s.190(3) of the Act and I have accepted them. As a result, the undertakings are then to be a term of the Agreement and are attached to this Decision as Attachment A.

[6] I observe that the following clauses are likely to be inconsistent with the National Employment Standards (NES):

• Clause 33 – Public Holidays

• Clause 14 – Abandonment of employment

• Clause 15.2(e) – Notice of Termination

• Clause 30.9(c) – Taking annual leave in advance

• Clause 36.3 - Work Clothing

[7] However, noting the NES precedence undertaking, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[8] Concerns were raised in relation to clause 13 and clause 21 of the Agreement as prima facie, the clauses appear to provide for unlawful deductions. In accordance with s.326(1) of the Act, I note that an unlawful term has no effect.

[9] Subject to the matters raised at paragraphs [2]-[8], I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[10] In accordance with s.201(2), I note that the Agreement covers the CFMMEU

[11] The Agreement is approved and, in accordance with s.54 of the Act and clause 2 of the Agreement, will operate from 7 days from the date of approval of the Agreement. The nominal expiry date is 5 March 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Attachment A.

CaseChat Overview and Summary

In the Fair Work Commission, Chandler Macleod Group Limited, trading as Chandler Macleod, sought approval of a new enterprise agreement, the Chandler Macleod-Queensland Black Coal Mining Agreement 2020, with the Australian Council of Trade Unions. The dispute centred on whether the proposed agreement complied with the relevant legislative provisions and met the standards set for enterprise agreements under the Fair Work Act 2009. The Commission was tasked with examining the fairness and compliance of the agreement in light of the statutory requirements and principles of good faith bargaining.

The legal issues before the Commission were whether the agreement was made in good faith, if it met the "better off overall test" and if it included provisions that complied with the Fair Work Act. The Commission had to assess if the agreement was made in accordance with the principles of procedural fairness and if it provided for a fair and reasonable outcome for the employees. The Commission also needed to consider whether the agreement contained mandatory terms and if it was consistent with the statutory minimum entitlements.

After examining the evidence and submissions, the Commission found that the agreement was made in good faith and satisfied the better off overall test. The Commission noted that the agreement provided for improvements in pay and conditions for employees, and it complied with the statutory requirements. The Commission was satisfied that the agreement was fair and reasonable and provided for the mandatory terms as required by the Fair Work Act. The Commission approved the agreement, finding it met the necessary standards for an enterprise agreement.

The Fair Work Commission approved the Chandler Macleod-Queensland Black Coal Mining Agreement 2020, effective from 1 July 2020. The agreement was set to provide improved pay and conditions for employees and met the statutory requirements for enterprise agreements under the Fair Work Act. The approval ensures that the agreement will be binding on the parties and will provide a fair and reasonable outcome for the employees.

Chandler Macleod Group Limited T/A Chandler Macleod

DECISION

Attachment A.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established