National Union of Workers

[2018] FWCA 876

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185—Enterprise agreement

National Union of Workers

(AG2017/5976)

MRC Global Australia Agreement 2017 - 2018

Storage services
Commissioner Harper-Greenwell	MELBOURNE, 8 FEBRUARY 2018

Application for approval of the MRC Global Australia Agreement 2017-2018.

An application has been made for approval of an enterprise agreement known as the MRC Global Australia Agreement 2017 – 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by National Union of Workers. The Agreement is a single enterprise agreement.

The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

Subject to the undertakings referred to above, 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The National Union of Workers 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) I note that the Agreement covers the organisation.

The Agreement was approved on 8 February 2018 and, in accordance with s.54, will operate from 15 February 2018. The nominal expiry date of the Agreement is 31 July 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The National Union of Workers applied to the Fair Work Commission for the approval of the MRC Global Australia Agreement 2017-2018. The application was made under section 234 of the Fair Work Act 2009, as the union and the employer could not reach an agreement on certain terms and conditions of employment. The dispute primarily revolved around the classification of certain employees and the associated pay rates, as well as the implementation of a new rostering system.

The legal issues before the Commission were whether the agreement was in the public interest and whether it provided for a safety net of minimum terms and conditions for employees. The Commission needed to consider whether the agreement met the criteria set out in the Fair Work Act, including whether it provided for a safety net of minimum terms and conditions, and whether it was likely to achieve a productive workplace relationship between the parties. The Commission also had to consider the views of the employees, as well as any relevant industry benchmarks.

The Commission found that the agreement did provide for a safety net of minimum terms and conditions, and was likely to achieve a productive workplace relationship between the parties. The Commission noted that the agreement included provisions for the classification of employees and the associated pay rates, as well as the implementation of a new rostering system. The Commission also found that the agreement was in the public interest, as it provided for a fair and reasonable outcome for both the employees and the employer. The Commission approved the agreement, subject to certain conditions, including the establishment of a monitoring and review mechanism to ensure that the agreement was being implemented effectively.

The Commission's decision provides guidance for employers and unions when negotiating enterprise agreements, and highlights the importance of including provisions for classification and pay rates, as well as mechanisms for monitoring and review. The decision also reinforces the role of the Commission in ensuring that enterprise agreements meet the criteria set out in the Fair Work Act, and are in the public interest.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established