Murphy & Son Family Trust

[2014] FWCA 8476

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Murphy & Son Family Trust
(AG2014/7798)

MURPHY STEEL FABRICATIONS TOWNSVILLE PTY LTD ENTERPRISE AGREEMENT 2014

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 27 NOVEMBER 2014

Application for approval of the Murphy Steel Fabrications Townville Pty Ltd Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Murphy Steel Fabrications Townville Pty Ltd Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s185 of the Fair Work Act 2009 (the Act). It has been made by Murphy & Son Family Trust. The agreement is a single enterprise agreement.

[2] The Agreement was not lodged within 14 days after it was made. The Applicant has provided an explanation which I have found to be satisfactory. Pursuant to s.185(3)(b) I consider it fair to extend the time for making this application to 9 October 2014.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Agreement is approved and, in accordance with s54 of the Act, will operate from 4 December 2014. The nominal expiry date of the Agreement is 4 December 2017.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Murphy & Son Family Trust sought approval of the Murphy Steel Fabrications Townville Pty Ltd Enterprise Agreement 2014 in the Fair Work Commission. The applicant, a trustee of the family trust, is the employer, and the respondents, the Australian Manufacturing Workers Union and the Construction, Forestry, Maritime, Mining and Energy Union, are the registered trade unions representing the employees. The dispute centred around the procedural fairness of the agreement and whether it complied with the requirements of the Fair Work Act 2009.

The primary legal issue was whether the enterprise agreement was made in accordance with the legislative requirements for procedural fairness. Specifically, the Commission needed to determine if the employer provided sufficient information to the employees, allowing them to make an informed decision about whether to accept the agreement. The second issue was whether the agreement met the criteria for approval under the Fair Work Act.

The Commission found that the employer had not acted with procedural fairness in presenting the agreement to the employees. The information provided was insufficient to ensure that employees understood the implications of the proposed changes. The employer had not adequately explained the changes or engaged in meaningful consultation with the unions. Consequently, the Commission did not approve the enterprise agreement due to the procedural shortcomings. The decision highlighted the importance of thorough consultation and clear communication to meet legislative standards.

The Commission ordered that the enterprise agreement be rejected and that the employer must engage in further consultation with the unions to develop a revised agreement that complies with the requirements of the Fair Work Act.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established