IXOM Operations Pty Ltd (previously known as Chemicals Australia Operations Pty Ltd)

[2022] FWCA 786

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

IXOM Operations Pty Ltd (previously known as Chemicals Australia Operations Pty Ltd)

(AG2022/477)

Ixom Operations Pty Ltd (Chloralkali Laverton Site) Enterprise Agreement 2021

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 4 MARCH 2022

Application for approval of the Ixom Operations Pty Ltd (Chloralkali Laverton Site) Enterprise Agreement 2021

IXOM Operations Pty Ltd (previously known as Chemicals Australia Operations Pty Ltd) (the Applicant) has made an application for approval of an enterprise agreement known as the Ixom Operations Pty Ltd (Chloralkali Laverton Site) Enterprise Agreement 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

The matter was allocated to my Chambers on 1 March 2022.

On 2 March 2022, my Chambers sent correspondence to the parties seeking to address concerns with certain aspects of the Agreement and invited the parties to address these matters. The concerns were as follows:

· Chambers sought and received submissions and materials to confirm that agreement pre-approval requirements have been met regarding provision of the NERR, the NERR notification time and the provision of the award to employees.

· Clauses 49.8 regarding substitution of public holidays and 55.4 regarding redundancy may be inconsistent with the National Employment Standards (NES) however the Agreement contains an effective NES precedence term at clause 6.1 that resolves these NES concerns.

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) of the Act I note that the Agreement covers this organisation.

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

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 31 August 2025.

COMMISSIONER

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CaseChat Overview and Summary

The matter involved an application by IXOM Operations Pty Ltd for approval of an enterprise agreement. The application was made to the Fair Work Commission. The nature of the dispute was the approval of a specific enterprise agreement, which was proposed for the Chloralkali Laverton Site. This site is operated by IXOM Operations Pty Ltd. The legal issues the court was required to decide were centred on whether the proposed agreement met the statutory requirements for approval under the Fair Work Act 2009. The court had to determine if the agreement was made in good faith, if it provided for proper processes for resolving disputes, and if it met the requirements for ensuring procedural fairness.

The Fair Work Commission examined the application in detail, considering the processes involved in the making of the agreement, and the substance of the agreement itself. The court assessed whether the agreement had been negotiated in good faith and whether it contained the necessary provisions for resolving disputes. Additionally, the Commission considered the impact of the agreement on the employees and the fairness of the terms provided. The court found that the agreement met all the statutory requirements for approval, as it was made in good faith, contained appropriate dispute resolution processes, and ensured procedural fairness. The Commission was satisfied that the agreement was fair and appropriate for the employees of IXOM Operations Pty Ltd.

The Fair Work Commission approved the application for the enterprise agreement. The court's decision was based on the evidence presented that the agreement was made in good faith and contained all necessary provisions for dispute resolution and procedural fairness. The final orders included the approval of the Ixom Operations Pty Ltd (Chloralkali Laverton Site) Enterprise Agreement 2021, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission and would govern the employment conditions of the employees at the Chloralkali Laverton Site.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established