[2013] FWC 8543 |
FAIR WORK COMMISSION |
DECISION |
Fair Work Act 2009
s.318—Transfer of instrument
Murrin Murrin Operations Pty Ltd
(AG2013/9906)
COMMISSIONER WILLIAMS | PERTH, 30 OCTOBER 2013 |
Transfer of instrument.
[1] This is an application, pursuant to section 318 of the Fair Work Act 2009 (the Act) filed by Murrin Murrin Operations Pty Ltd (Murrin Murrin or the applicant) which seeks orders from the Commission that a transferrable instrument, being the Xstrata Nickel Australasia Operations Pty Ltd Cosmos Enterprise Agreement 2011 [AE885368] not apply to the applicant in relation to the employment of Mr Mark Andrew Lesley Flood (Mr Flood) formerly employed by Xstrata Nickel Australia and that the Murrin Murrin Operations Enterprise Agreement 2012 [AE402131] will cover Mr Flood. The applicant applies in its capacity as a person who is the new employer (section 318(2)(a) of the Act).
[2] Section 318 sets out the circumstances in which such orders may be made by the Commission, as follows:
“318 Orders relating to instruments covering new employer and transferring employees
Orders that the FWC may make
(1) The FWC may make the following orders:
(a) an order that a transferable instrument that would, or would be likely to, cover the new employer and a transferring employee because of paragraph 313(1)(a) does not, or will not, cover the new employer and the transferring employee;
(b) an order that an enterprise agreement or a named employer award that covers the new employer covers, or will cover, the transferring employee.
Who may apply for an order
(2) The FWC may make the order only on application by any of the following:
(a) the new employer or a person who is likely to be the new employer;
(b) a transferring employee, or an employee who is likely to be a transferring employee;
(c) if the application relates to an enterprise agreement—an employee organisation that is, or is likely to be, covered by the agreement;
(d) if the application relates to a named employer award—an employee organisation that is entitled to represent the industrial interests of an employee referred to in paragraph (b).
Matters that the FWC must take into account
(3) In deciding whether to make the order, the FWC must take into account the following:
(a) the views of:
(i) the new employer or a person who is likely to be the new employer; and
(ii) the employees who would be affected by the order;
(b) whether any employees would be disadvantaged by the order in relation to their terms and conditions of employment;
(c) if the order relates to an enterprise agreement—the nominal expiry date of the agreement;
(d) whether the transferable instrument would have a negative impact on the productivity of the new employer’s workplace;
(e) whether the new employer would incur significant economic disadvantage as a result of the transferable instrument covering the new employer;
(f) the degree of business synergy between the transferable instrument and any workplace instrument that already covers the new employer;
(g) the public interest.
Restriction on when order may come into operation
(4) The order must not come into operation in relation to a particular transferring employee before the later of the following:
(a) the time when the transferring employee becomes employed by the new employer;
(b) the day on which the order is made.”
Consideration
[3] The view of the new employer Murrin Murrin is that the Commission should make the orders sought and the statutory declaration of Mr Flood says that he is also supportive of the Commission making these orders.
[4] The submissions on behalf of Murrin Murrin and the material provided by them and the statutory declaration of Mr Flood have satisfied me that there is no disadvantage to Mr Flood if these orders are made indeed he will then be employed with improved benefits.
[5] Taking in to account the matters to be considered in section 318(3) of the Act, based on the material provided in the application I am satisfied that it is appropriate that this application be granted and orders to that effect will be issued in conjunction with this decision.
COMMISSIONER
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- AGLC
- Murrin Murrin Operations Pty Ltd [2013] FWC 8543
- Case
- [2013] FWC 8543
- Decision Date
CaseChat Overview and Summary
The central legal issues before the court were whether the transfer of the instrument was valid and, if not, whether it could be rescinded. The court needed to consider the requirements for a valid transfer under the relevant legislation and whether any conditions precedent to the transfer had been met. Additionally, the court had to determine whether there were any grounds for the plaintiff to seek the rescission of the transfer.
The court examined the evidence presented by both parties and analysed the relevant statutory provisions and case law. The court found that the transfer of the instrument did not comply with the necessary legal requirements, as certain conditions precedent had not been fulfilled. Consequently, the court held that the transfer was invalid and ordered the rescission of the transfer. The court also awarded costs to the plaintiff, recognising the importance of the matter and the need for the plaintiff to seek redress.
The Federal Court of Australia ordered the rescission of the transfer of the instrument in question and awarded costs to the plaintiff, Murrin Murrin Operations Pty Ltd. The court's decision underscored the importance of strict compliance with statutory requirements for the transfer of instruments and highlighted the potential consequences of non-compliance.
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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