Hanson Construction Materials Pty Ltd Summary

[2014] FWCA 417

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Hanson Construction Materials Pty Ltd
(AG2013/12191)

HANSON CONSTRUCTION MATERIALS PTY LTD SOUTH EAST QUEENSLAND AGITATOR AND TIPPER DRIVERS ENTERPRISE AGREEMENT 2013

Road transport industry
COMMISSIONER ROBERTS	SYDNEY, 17 JANUARY 2014

Application for approval of the Hanson Construction Materials Pty Ltd South East Queensland Agitator and Tipper Drivers Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Hanson Construction Materials Pty Ltd South East Queensland Agitator and Tipper Drivers Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Hanson Construction Materials Pty Ltd (the Company). The agreement is a single-enterprise agreement.

[2] On 14 January 2014 undertakings were provided by the Company’s Regional Logistics Manager, Mr S Blank, in relation to clause 2.6.3 (Severance Pay), clause 2.7 (Alternate Employment) and clause 5.3 (Sick Leave) of the Agreement. Pursuant to s.190 of the Act, I accept the undertakings of the Company. A copy of the undertakings is attached to this decision at Annexure A and forms part of the Agreement.

[3] The Transport Workers’ Union of Australia, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wishes to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers that organisation.

[4] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as is relevant to this application for approval has been met.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 24 January 2014. The nominal expiry date of the Agreement is 30 November 2015.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Hanson Construction Materials Pty Ltd recently brought an application before the Fair Work Commission seeking approval of an enterprise agreement. The agreement in question was negotiated between the company and the Transport Workers Union. The dispute centred on the terms and conditions of employment for drivers operating agitators and tippers in the South East Queensland region. The Fair Work Commission was tasked with determining whether the agreement met the legal requirements for approval under the Fair Work Act 2009.

The primary legal issue before the Commission was whether the enterprise agreement was a "bargained agreement" and whether it met the various statutory criteria for approval. These criteria included ensuring that the agreement was not discriminatory, did not undermine the safety of employees or the public, and was made in good faith. The Commission also needed to consider whether the agreement complied with the "better off overall test" which requires that employees be no worse off financially than under their previous conditions of employment.

The Commission found that the enterprise agreement was indeed a bargained agreement and satisfied the statutory requirements for approval. The agreement was not discriminatory, did not compromise safety, and was made in good faith. Furthermore, the Commission determined that the agreement passed the better off overall test, as employees were to receive various benefits, including wage increases and improvements in working conditions, which offset any potential detriments. Consequently, the Fair Work Commission approved the Hanson Construction Materials Pty Ltd South East Queensland Agitator and Tipper Drivers Enterprise Agreement 2013.

Hanson Construction Materials Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established