DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Incitec Pivot Limited
(AG2019/771)

INCITEC PIVOT LIMITED GIBSON ISLAND MANUFACTURING COLLECTIVE WORKPLACE AGREEMENT 2019

Manufacturing and associated industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 23 APRIL 2019

Application for approval of the Incitec Pivot Limited Gibson Island Manufacturing Collective Workplace Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Incitec Pivot Limited Gibson Island Manufacturing Collective Workplace Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Incitec Pivot Limited. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[3] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] I note that Clause 27.8 is inconsistent with the National Employment Standards. Given the National Employment Standards precedence clause at clause 4.6 of the agreement, I am satisfied that the more beneficial entitlements of the NES will prevail.

[5] The Australian Workers’ Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 April 2019. The nominal expiry date of the Agreement is 30 June 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by Incitec Pivot Limited for the approval of the Gibson Island Manufacturing Collective Workplace Agreement 2019. The dispute centred on the terms and conditions of employment contained within the agreement, which sought to govern the relationship between the company and its employees at the Gibson Island manufacturing site. The Commission was tasked with determining whether the agreement met the statutory requirements for approval under the Fair Work Act 2009.

The legal issues before the Commission included whether the agreement contained all the mandated minimum terms set out in the Fair Work Act, and if the process by which the agreement was formed was compliant with the statutory requirements. Additionally, the Commission needed to assess whether the agreement complied with the 'better off overall test', which ensures that employees are no worse off financially and have at least the same entitlements as under the relevant award or registered agreement.

The Commission found that the agreement contained all the required minimum terms and that the process of reaching the agreement was fair and transparent. The Commission also concluded that the agreement satisfied the 'better off overall test' as it provided employees with a number of benefits that improved upon their existing conditions. The Commission was satisfied that the agreement met all the statutory requirements for approval. Consequently, the application for approval of the Gibson Island Manufacturing Collective Workplace Agreement 2019 was successful.

In light of the findings, the Commission approved the agreement, which will now govern the employment terms and conditions for employees at the Gibson Island manufacturing site. The approved agreement will provide a framework for the relationship between Incitec Pivot Limited and its employees, ensuring that they are covered by a modern award or registered agreement, while also providing for specific operational needs of the site.

Incitec Pivot Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established