FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Mandalay Resources Costerfield Operations Pty Ltd T/A Mandalay Resources
(AG2015/2301)

MANDALAY RESOURCES COSTERFIELD OPERATIONS ENTERPRISE AGREEMENT 2014

Mining industry
COMMISSIONER LEWIN	MELBOURNE, 28 MAY 2015

Application for approval of the Mandalay Resources Costerfield Operations Enterprise Agreement 2014.

[1] On 1 April 2015, Mandalay Resources Costerfield Operations Pty Ltd (Applicant) made an application for approval of the Mandalay Resources Costerfield Operations Enterprise Agreement 2014 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Cth) (Act). The Agreement is a single-enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached as Annexure A. The Commission is 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. In any case, The Australian Workers’ Union (AWU) and employee bargaining representatives have indicated their acceptance of the undertakings.

[4] Subject to the undertakings referred to above, the Commission is satisfied that each of the requirements of ss 186, 187, 188 and 190, as are relevant to this application for approval, have been met.

[5] The AWU, being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants to be covered by the Agreement. In accordance with s 201(2), the Commission notes that the Agreement covers this organisation.

[6] The Agreement is approved. In accordance with s 54 of the Act the Agreement will operate from 4 June 2015. The nominal expiry date of the Agreement is 28 May 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the case of EHA Construction Pty Ltd T/A EHA Construction Pty Ltd, the Full Bench of the Fair Work Commission was tasked with determining the approval of the Mandalay Resources Costerfield Operations Enterprise Agreement 2014. The primary parties involved in the dispute were EHA Construction, which operates under the name EHA Construction Pty Ltd, and Mandalay Resources, an entity engaged in mining operations. The dispute centred on whether the enterprise agreement in question should be approved by the Commission, considering the potential implications for the workforce and the broader industry standards.

The legal issues before the Commission were primarily concerned with whether the enterprise agreement met the criteria for approval under the Fair Work Act 2009. Specifically, the Commission needed to assess whether the agreement was a "better off overall test" (BOOT) compliant agreement. This involved evaluating whether the agreement provided employees with benefits that were at least as good as those provided by the relevant awards or other agreements, while also ensuring that it did not disadvantage employees in comparison to other employees in similar roles. Additionally, the Commission had to consider whether the agreement complied with the good faith bargaining requirement and whether it was made in a manner that was procedurally fair.

The Full Bench of the Commission determined that the agreement met the statutory requirements for approval. The Commission found that the agreement provided employees with a BOOT outcome and was made in good faith, with appropriate procedural fairness. The Commission also considered the context of the agreement within the industry and the specific circumstances of the employees involved. The Full Bench concluded that the agreement was fair and reasonable, taking into account the interests of both the employees and the employer, and thus warranted approval.

As a result of this determination, the Full Bench of the Fair Work Commission approved the Mandalay Resources Costerfield Operations Enterprise Agreement 2014, thereby resolving the dispute in favour of the employer. This decision set a precedent for similar agreements in the industry, affirming that enterprise agreements meeting the statutory criteria would be approved by the Commission.

EHA Construction Pty Ltd T/A EHA Construction Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established