Commonwealth Steel Company Pty Limited T/A Molycop Summary

[2022] FWCA 49

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Commonwealth Steel Company Pty Limited T/A Molycop

(AG2021/8883)

MOLYCOP WARATAH ENTERPRISE AGREEMENT 2021

Manufacturing and associated industries
COMMISSIONER P RYAN	SYDNEY, 10 JANUARY 2022

Application for approval of the Molycop Waratah Enterprise Agreement 2021

Commonwealth Steel Company Pty Limited (the Employer) has made an application for approval of an enterprise agreement known as the Molycop Waratah Enterprise Agreement 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Section 190 Undertakings

The Employer 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.

Sections 186, 187, 188 and 190

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.

Model Flexibility Term

The Agreement does not contain a flexibility term that meets the requirements of s.203 of the Act. Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

Section 183 Bargaining representatives

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), the Australian Workers Union (AWU), and the Communications Electrical Electronic Energy Information Postal Plumbing and Allied Services Union of Australia (CEPU), each being a bargaining representative 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 AMWU, the AWU and the CEPU.

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 January 2022. The nominal expiry date of the Agreement is 30 September 2023.

COMMISSIONER
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Commonwealth Steel Company Pty Limited, trading as Molycop, sought approval of the Molycop Waratah Enterprise Agreement 2021 from the Fair Work Commission. The dispute centred on whether the agreement complied with the Fair Work Act 2009, particularly regarding minimum entitlements and the processes for resolving disputes. The Fair Work Commission was tasked with examining the agreement to ensure it met the legislative standards for fairness and compliance.

The primary legal issue before the Commission was whether the agreement provided for minimum entitlements as required by the Fair Work Act. The Commission also had to determine if the processes outlined in the agreement for resolving disputes were fair and appropriate. These included provisions for mediation and the potential for arbitration, which had to be evaluated for their effectiveness and fairness.

In its decision, the Commission found that the Molycop Waratah Enterprise Agreement 2021 adequately provided for minimum entitlements as stipulated in the Fair Work Act. The agreement included provisions that met or exceeded the statutory minimums, ensuring employees were not disadvantaged. Furthermore, the dispute resolution processes were deemed fair and appropriate, providing a balanced approach to resolving workplace issues. The Commission concluded that the agreement was compliant with the Act and approved it.

The Fair Work Commission's final order was to approve the Molycop Waratah Enterprise Agreement 2021, effective from the date of the decision. This approval meant that the agreement could be implemented, providing a framework for the employment conditions of the relevant workers.

Commonwealth Steel Company Pty Limited T/A Molycop

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established