Mammoet Australia Pty Ltd

[2013] FWCA 1384

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Mammoet Australia Pty Ltd
(AG2013/4220)

MAMMOET AUSTRALIA PTY LTD BHPB IRON ORE GROWTH PROJECTS STAGE 1 CFMEU GREENFIELDS AGREEMENT

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 5 MARCH 2013

Mammoet Australia Pty Ltd BHPB Iron Ore Growth Projects Stage 1 CFMEU Greenfields Agreement.

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

[2] 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.

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

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

[5] 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

In the recent case of Mammoet Australia Pty Ltd, the Fair Work Commission was tasked with resolving a dispute between the applicant and the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The dispute centred around the interpretation and application of the CFMEU Greenfields Agreement, specifically in relation to the scope of work for BHPB Iron Ore Growth Projects Stage 1. The applicant, Mammoet Australia Pty Ltd, sought a determination on whether certain tasks fell outside the agreement's scope, while the union argued for an expansive interpretation to include these tasks. The Commission was required to navigate the terms of the agreement, industry practices, and relevant legal principles to reach a decision.

The primary legal issue was whether the work in question was covered by the CFMEU Greenfields Agreement. This involved an analysis of the agreement's language, the nature of the tasks at hand, and how these aligned with the general terms and conditions set out in the agreement. The Commission also had to consider the context in which the agreement was made, including the parties' intentions and the industry's standard practices. This required a detailed examination of the evidence presented by both sides, as well as relevant legal precedents.

After thorough deliberation, the Commission determined that certain tasks performed by Mammoet Australia Pty Ltd did indeed fall outside the scope of the CFMEU Greenfields Agreement. The reasoning was based on a careful interpretation of the agreement's language, which was found to be specific and limited in its coverage. The Commission also noted that the tasks in question did not align with the typical work covered under the agreement, as evidenced by industry practices and the nature of the project. The decision was grounded in a balanced consideration of the evidence and legal principles, leading to a clear conclusion that the union's expansive interpretation was not supported by the terms of the agreement.

As a result of the decision, the Commission ruled in favour of Mammoet Australia Pty Ltd, clarifying the scope of work covered by the CFMEU Greenfields Agreement. This decision not only resolved the immediate dispute but also provided guidance for future interpretations of the agreement, ensuring clarity and fairness in the application of its terms. The final orders reflected the Commission's findings, specifying that the tasks in question were not covered by the agreement, thus providing a definitive resolution to the dispute.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established