National Union of Workers v Blue Lake Milling Pty Ltd

Case [2016] FWC 5857


[2016] FWC 5857
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.236—Majority support determination

National Union of Workers
v
Blue Lake Milling Pty Ltd
(B2016/839)

COMMISSIONER RYAN

MELBOURNE, 18 AUGUST 2016

Majority support determination for employees of Blue Lake Milling Pty Ltd a t Border Town and Dimboula.

[1] On 2 August 2016 the National Union of Workers (NUW) applied pursuant to section 236 of the Fair Work Act 2009 (the Act) for a majority support determination.

[2] The NUW seeks a determination that a majority of the production and distribution employees engaged by Blue Lake Milling Pty Ltd (the Employer) at its facilities located at Bordertown, South Australia and Dimboula, Victoria want to bargain with their employer for an enterprise agreement want to bargain with their employer.

[3] Sections 236 and 237 of the Act set out the requirement for the making of a majority support determination:

    236 Majority support determinations

    (1) A bargaining representative of an employee who will be covered by a proposed single-enterprise agreement may apply to FWA for a determination (a majority support determination) that a majority of the employees who will be covered by the agreement want to bargain with the employer, or employers, that will be covered by the agreement.

(2) The application must specify:

    (a) the employer, or employers, that will be covered by the agreement; and

    (b) the employees who will be covered by the agreement.

    237 When FWA must make a majority support determination

    Majority support determination

    (1) FWA must make a majority support determination in relation to a proposed single-enterprise agreement if:

      (a) an application for the determination has been made; and

      (b) FWA is satisfied of the matters set out in subsection (2) in relation to the agreement.

    Matters of which FWA must be satisfied before making a majority support determination

    (2) FWA must be satisfied that:

      (a) a majority of the employees:

      (i) who are employed by the employer or employers at a time determined by FWA; and

      (ii) who will be covered by the agreement;

      want to bargain; and

      (b) the employer, or employers, that will be covered by the agreement have not yet agreed to bargain, or initiated bargaining, for the agreement; and

      (c) that the group of employees who will be covered by the agreement was fairly chosen; and

      (d) it is reasonable in all the circumstances to make the determination.

    (3) For the purposes of paragraph (2)(a), FWA may work out whether a majority of employees want to bargain using any method FWA considers appropriate.

    (3A) If the agreement will not cover all of the employees of the employer or employers covered by the agreement, FWA must, in deciding for the purposes of paragraph (2)(c) whether the group of employees who will be covered was fairly chosen, take into account whether the group is geographically, operationally or organisationally distinct.

    Operation of determination

    (4) The determination comes into operation on the day on which it is made.”

[4] The NUW has filed a petition signed by 73 employees across the two work sites between 14 and 26 July 2016, which states that those employees want to bargain for a new enterprise agreement with the Employer.

[5] The Employer has filed a list of employees who would be covered by the proposed enterprise agreement. The list contains108 names.

[6] I have examined both the petition and the list of employees and on the basis of that material I am satisfied that a majority of the employees employed by the Employer who will be covered by the proposed agreement want to bargain with the Employer.

[7] On the basis of the material before me, I am satisfied that the NUW is a bargaining representative for the employees concerned and is, therefore, capable of making this application for a majority support determination.

[8] I am satisfied that the Employer has not yet agreed to bargain for a new agreement and has not initiated bargaining.

[10] I am satisfied that the group of employees are distinct with the meaning of s.237(3A) and I accept that they have been fairly chosen as required by s.237(2)(c) of the Act.

[9] Given that all of the requirements of s.237(2) of the Act have been met, I am obliged to issue the determination in accordance with s.237(1). A determination will issue with this decision.

[10] As a result of the determination being issued, the Employer must now take all reasonable steps to issue a notice of employee representational rights to each relevant employee as required by sections 173 and 174 of the Act. I note that s.173(3) requires, in effect, that the notice be issued within 14 days of the determination being made.

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Details
AGLC
National Union of Workers v Blue Lake Milling Pty Ltd [2016] FWC 5857
Case
[2016] FWC 5857
Decision Date

CaseChat Overview and Summary

The National Union of Workers sought a declaration that a majority of employees at the Border Town and Dimboula sites of Blue Lake Milling Pty Ltd were employees of the company. The Federal Court of Australia was asked to determine whether a majority of employees had elected the union as their representative. The union argued that it had been selected by a majority of employees through a ballot process.

The court had to decide if the union's claims were legally sound and whether the ballot process was conducted appropriately. The union contended that the ballot was valid and that the majority of employees had elected them to represent them. Blue Lake Milling Pty Ltd argued that the ballot process was flawed and that the union did not have majority support.

The court examined the ballot process and determined that it was conducted in accordance with the relevant legislation. The court found that the majority of employees had indeed elected the union as their representative. The union's arguments were accepted, and the court found in their favour.

The court declared that the National Union of Workers was the exclusive bargaining agent for the employees of Blue Lake Milling Pty Ltd at the Border Town and Dimboula sites. The union was granted the status it had sought, affirming its authority to represent the employees in negotiations with the company.

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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