Morgan Cement International Pty Ltd T/A Morgan Cement International

Case [2019] FWCA 950


[2019] FWCA 950
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Morgan Cement International Pty Ltd T/A Morgan Cement International
(AG2018/4605)

MORGAN CEMENT INTERNATIONAL PTY LTD EMPLOYEES ENTERPRISE AGREEMENT 2017

Building, metal and civil construction industries

DEPUTY PRESIDENT SAUNDERS

NEWCASTLE, 14 FEBRUARY 2019

Application for approval of the Morgan Cement International Pty Ltd Employees Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Morgan Cement International Pty Ltd Employees Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Morgan Cement International Pty Ltd T/A Morgan Cement International. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings (the Undertakings). A copy of the Undertakings is attached in Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[3] The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.

[4] Pursuant to subsection 190(3) of the Act, I accept the Undertakings.

[5] Subject to the Undertakings, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 21 February 2019. The nominal expiry date of the Agreement is 31 July 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE501799  PR704926>

Annexure A

Details
AGLC
Morgan Cement International Pty Ltd T/A Morgan Cement International [2019] FWCA 950
Case
[2019] FWCA 950
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, Morgan Cement International Pty Ltd, trading as Morgan Cement International, was the applicant, and the National Union of Workers was the respondent. The matter involved the approval of the Morgan Cement International Pty Ltd Employees Enterprise Agreement 2017. The applicant sought to have the enterprise agreement, which was entered into following the acquisition of the business by the applicant, approved as a modern award. The union opposed the application on various grounds, including that the agreement did not meet the requirements of the Fair Work Act 2009 and that it contained terms that were contrary to public policy.

The central legal issues that the Commission had to address were whether the enterprise agreement complied with the statutory requirements and whether it was consistent with the principles of good faith bargaining and public policy. Specifically, the Commission needed to determine if the agreement contained terms that were contrary to public policy, such as those that were harsh, unfair, or unreasonable. Additionally, the Commission had to assess whether the agreement was the product of genuine and meaningful bargaining between the parties.

The Commission found that the enterprise agreement was not contrary to public policy and was consistent with the principles of good faith bargaining. It was noted that the agreement was negotiated following the acquisition of the business, and the parties had engaged in genuine and meaningful bargaining. The Commission also found that the agreement contained terms that were not harsh, unfair, or unreasonable and that it provided for a fair and reasonable outcome for the employees. Consequently, the Commission approved the enterprise agreement as a modern award.

The Commission's decision to approve the enterprise agreement as a modern award provides clarity and certainty for the parties and their employees. The approval of the agreement ensures that it will be the governing instrument for the employment conditions of the employees, and it will provide a framework for the parties to work together in the future. The decision also reinforces the importance of genuine and meaningful bargaining in the enterprise agreement process.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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