DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Northern Cement Ltd
(AG2018/6735)

NORTHERN CEMENT (MATARANKA) ENTERPRISE AGREEMENT 2018

Cement and concrete products
COMMISSIONER LEE	MELBOURNE, 25 JANUARY 2019

Application for approval of the Northern Cement (Mataranka) Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Northern Cement (Mataranka) Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Northern Cement Ltd. The Agreement is a single enterprise agreement.

[2] The Employer 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.

[3] 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.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 February 2018. The nominal expiry date of the Agreement is 30 June 2021.

COMMISSIONER

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Annexure A

In the Fair Work Commission, Northern Cement Limited applied for the approval of the Northern Cement (Mataranka) Enterprise Agreement 2018. The application was brought under section 234 of the Fair Work Act 2009. The applicant, Northern Cement Limited, is an employer engaged in the cement manufacturing industry and has a workplace at Mataranka, Northern Territory. The application followed a process of bargaining between the employer and the employees, represented by the Building and Construction General On-Site Union, resulting in the proposed agreement. The dispute centred on whether the agreement complied with the legal standards for enterprise agreements as prescribed by the Fair Work Act.

The legal issues the court had to address included whether the agreement met the requirements of the Act, particularly with respect to the terms and conditions of employment, and whether the process through which the agreement was reached was procedurally fair. The court examined the content of the agreement to ensure it did not adversely affect employees’ minimum entitlements, contained no provisions that were contrary to public policy, and was not discriminatory. Additionally, the court considered whether the agreement was made in good faith and whether appropriate steps were taken to inform and consult employees about the agreement.

In delivering the decision, the Commission carefully reviewed the proposed agreement against the legal criteria. The Commission found that the agreement was comprehensive and covered a wide range of employment terms and conditions. It noted that the agreement provided for fair and reasonable terms, including provisions for wages, hours of work, and other conditions that were in line with industry standards. The Commission was satisfied that the process of reaching the agreement was fair and that employees had been adequately informed and consulted. As a result, the Commission approved the agreement, finding it to be a lawful and appropriate enterprise agreement.

The final orders of the Commission included the approval of the Northern Cement (Mataranka) Enterprise Agreement 2018, which will now govern the employment terms and conditions between Northern Cement Limited and its employees at the Mataranka workplace. The approved agreement will come into effect from the date of the decision and will be applicable to all employees covered by the agreement. The Commission’s approval ensures that the agreement is legally binding and that both the employer and employees are subject to the terms set out in the agreement.

Northern Cement Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established