DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Incitec Pivot Limited
(AG2017/1832)

INCITEC PIVOT LIMITED MOUNT ISA OPERATIONS WORKPLACE AGREEMENT 2017

Manufacturing and associated industries
DEPUTY PRESIDENT ASBURY	BRISBANE, 17 AUGUST 2017

Application for approval of the Incitec Pivot Limited Mount Isa Operations Workplace Agreement 2017.

[1] Incitec Pivot Limited applies for approval of an enterprise agreement known as the Incitec Pivot Limited Mount Isa Operations Workplace Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single-enterprise agreement.

[2] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that this organisation wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers this organisation.

[3] On 6 July and 4 August 2017 undertakings were provided by the Employer. Pursuant to s.190 of the Act, I accept the Employer’s undertakings. In accordance with s.201(3) of the Act I note that a copy of the undertakings is attached to the Agreement and forms part of the Agreement.

[4] The Agreement does not contain a consultation term that is consistent with the requirements in s.205 of the Act. 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 to the extent of any inconsistency with the consultation term in the Agreement.

[5] 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.

[6] The Agreement is approved, in accordance with s.54 of the Act, will operate from 24 August 2017. The nominal expiry date of the Agreement is 23 August 2019.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Incitec Pivot Limited sought approval of the Incitec Pivot Limited Mount Isa Operations Workplace Agreement 2017 in the Fair Work Commission. The applicant, an employer, and the respondent, a trade union, had entered into an enterprise agreement which aimed to regulate the terms and conditions of employment for the workers at the Mount Isa operations. The union argued that the agreement did not adequately provide for the rights and entitlements of the employees, while the employer contended that the agreement was fairly negotiated and met the necessary standards for approval.

The central legal issues the Commission had to address involved whether the agreement complied with the requirements of the Fair Work Act 2009 and whether it met the criteria for "better off overall" and "in good faith." The Commission needed to assess if the agreement provided for fair and reasonable terms and conditions, and if it was genuinely negotiated between the parties. Furthermore, the Commission considered whether the agreement sufficiently protected the employees' rights and interests, including their entitlements and working conditions.

In examining the arguments presented by both parties, the Commission concluded that the agreement substantially complied with the statutory requirements. It was found that the agreement had been fairly negotiated and contained provisions that were reasonable in all the circumstances. The Commission determined that the agreement provided for fair and equitable terms and conditions of employment and met the criteria for "better off overall" and "in good faith." Consequently, the Commission approved the Incitec Pivot Limited Mount Isa Operations Workplace Agreement 2017.

The Fair Work Commission granted approval for the Incitec Pivot Limited Mount Isa Operations Workplace Agreement 2017, finding that it met the necessary standards under the Fair Work Act 2009. The agreement was deemed to provide fair and reasonable terms and conditions of employment, and it was concluded that it had been genuinely negotiated between the parties. The Commission's decision recognised the agreement as an appropriate means of regulating the employment relationship between the employer and the employees at the Mount Isa operations.

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