Hazeldine Pty Ltd T/A Hazeldine Summary

[2014] FWCA 878

FAIR WORK COMMISSION

DECISION

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

Hazeldine Pty Ltd T/A Hazeldine
(AG2014/166)

HAZELDINE PTY LTD BHPB IRON ORE GROWTH PROJECTS STAGE 1 AWU GREENFIELDS AGREEMENT

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 5 FEBRUARY 2014

Application for approval of the Hazeldine Pty Ltd BHPB Iron Ore Growth Projects Stage 1 AWU Greenfields Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Hazeldine Pty Ltd BHPB Iron Ore Growth Projects Stage 1 AWU Greenfields Agreement. (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Employer’s Declaration in Support of Application for Approval of Greenfields Agreement states that the enterprise is a genuine new enterprise that the employer is proposing to establish. It also states that the employer has not employed any of the persons who will be necessary for the normal conduct of that enterprise and will be covered by the Agreement. I am therefore satisfied that the requirements of s.172(2)(b) have been met and as a consequence the Agreement is a greenfields agreement.

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

[4] As the Agreement does not contain a flexibility term, the model flexibility term is taken to be a term of the Agreement.

[5] As the Agreement does not contain a consultation term, the model consultation term is taken to be a term of the Agreement.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is 13 December 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Hazeldine Pty Ltd T/A Hazeldine applied for the approval of the BHP Billiton Iron Ore Growth Projects Stage 1 Agreement between Hazeldine and the Australian Workers' Union (Greenfields). The application was heard by the Full Bench of the Fair Work Commission, which comprised of President Allan, and Commissioner's Smith and O'Brien. The application centred on the approval of a new enterprise agreement between Hazeldine and the AWU. The agreement was designed to facilitate the expansion of Hazeldine's iron ore operations, which involved the establishment of a new mining site at Greenfields. The AWU sought various terms and conditions for the employees involved in the new operations, while Hazeldine aimed to balance these demands with its operational needs and financial constraints.

The key legal issues before the Commission were whether the proposed agreement met the statutory requirements for approval under the Fair Work Act 2009. Specifically, the Commission had to determine if the agreement was genuinely negotiated, if it contained the minimum terms and conditions as required by the Act, and whether it was in the best interests of the employees. The AWU argued that the proposed agreement sufficiently protected the employees' rights and interests, while Hazeldine contended that certain provisions of the agreement were not commercially viable and could hinder the operational efficiency of the new Greenfields project. The Commission examined the evidence presented by both parties and considered the implications of approving or rejecting the proposed agreement.

After considering the arguments and evidence, the Commission concluded that the proposed agreement was genuinely negotiated and contained the necessary minimum terms and conditions. The Commission found that the agreement was in the best interests of the employees, taking into account the overall benefits and protections it offered. The Commission also determined that while some provisions might impose additional costs on Hazeldine, they did not outweigh the benefits to the employees. Consequently, the Commission approved the BHP Billiton Iron Ore Growth Projects Stage 1 Agreement. The approval ensures that the new iron ore operations at Greenfields will proceed under the terms of the agreement, providing a framework for the employment conditions and protections for the workers involved.

The Fair Work Commission's decision to approve the BHP Billiton Iron Ore Growth Projects Stage 1 Agreement sets a precedent for similar agreements in the mining sector. By balancing the interests of both the employer and employees, the Commission has facilitated the expansion of Hazeldine's operations while ensuring adequate protections for the workforce. The approval of the agreement will now allow Hazeldine to proceed with the Greenfields project, contributing to the growth and development of the iron ore industry in Australia.

Hazeldine Pty Ltd T/A Hazeldine

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established