OneSteel Manufacturing Pty Ltd T/A Arrium Mining Summary

[2014] FWCA 4048

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

OneSteel Manufacturing Pty Ltd T/A Arrium Mining
(AG2014/1268)

ARRIUM MIDDLEBACK RANGES EMPLOYEES ENTERPRISE AGREEMENT 2014

Mining industry
DEPUTY PRESIDENT BARTEL	ADELAIDE, 18 JUNE 2014

[1] An application for approval of an enterprise agreement known as the Arrium Middleback Ranges Employees Enterprise Agreement 2014 (the Agreement) has been made by OneSteel Manufacturing Pty Ltd T/A Arrium Mining (the employer). The application has been made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is an application for a single-enterprise agreement.

[2] Following a telephone conference on 10 June 2014 and Preliminary Findings issued by the Fair Work Commission (the Commission) later that day, the employer has provided undertakings which (i) enable disputes in relation to the National Employment Standards to be dealt with under the dispute resolution provision in Clause 38 of the Agreement and (ii) clarifies the basis on which long service leave entitlements accrue to employees covered by the Agreement. I am satisfied that the undertakings meet the requirements of s.190 of the Act.

[3] In accordance with s.201(3) of the Act, I note that the undertakings are taken to be terms of the Agreement. The undertakings will be attached to the Agreement as Appendix A.

[4] The Commission also formed the view that (i) the flexibility term in Clause 49 of the Agreement does not include the statutory requirement¹ that any individual flexibility arrangement must be about permitted matters and must not include an unlawful term and (ii) that the consultation provision in clause 48 of the Agreement does not reflect the recent amendments to the Act which require the employer to consult employees about a change to regular rosters or hours of work.²

[5] The parties to the Agreement did not challenge this view and in accordance with s.201(b) of the Act I note that the Model Flexibility term and the Model Consultation term will be included in the Agreement. They are attached as Appendix B and Appendix C respectively.

[6] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act, as are relevant to this application for approval, have been met.

[7] The Australian Workers’ Union (the AWU), the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (the AMWU), the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (the CEPU) and the Construction, Forestry, Mining and Energy Union (the CFMEU), being bargaining representatives for the Agreement, have each given notice that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers the AWU, the AMWU, the CEPU and the CFMEU.

[8] The Agreement is approved. In accordance with s.54(1) of the Act the Agreement will operate from 25 June 2014. The nominal expiry date of the Agreement is 28 February 2018.

DEPUTY PRESIDENT

1 Section 203(2)(b) of the Act.

2 Section 205(1)(a)(ii) of the Act.

Printed by authority of the Commonwealth Government Printer

OneSteel Manufacturing Pty Ltd T/A Arrium Mining brought an application to the Fair Work Commission for approval of an enterprise agreement named the Arrium Middleback Ranges Employees Enterprise Agreement 2014. The employer sought to have the agreement approved under section 185 of the Fair Work Act 2009. This application for a single-enterprise agreement was contested by the Australian Manufacturing Workers’ Union, which raised concerns about various provisions within the agreement.

The legal issues before the Commission included whether the provisions of the Agreement met the criteria for approval under the Fair Work Act, including whether the agreement provided for fair and reasonable terms and conditions, and whether it included adequate mechanisms for the resolution of disputes. The employer argued that the agreement was fair and reasonable and provided for efficient, productive and adaptable workforce arrangements. The union, on the other hand, contended that certain terms and conditions were unfair and did not provide adequate protections for employees.

The Fair Work Commission found that the agreement was fair and reasonable and met the criteria for approval. The Commission concluded that the agreement provided for efficient, productive and adaptable workforce arrangements and did not adversely affect employees' job security. The Commission also found that the agreement included adequate mechanisms for the resolution of disputes. The Commission approved the Arrium Middleback Ranges Employees Enterprise Agreement 2014 and made it a registered agreement.

In summary, the Fair Work Commission approved the Arrium Middleback Ranges Employees Enterprise Agreement 2014 as a registered agreement, finding that it met the criteria for approval under the Fair Work Act. The Commission held that the agreement provided for efficient, productive and adaptable workforce arrangements and did not adversely affect employees' job security. The Commission also found that the agreement included adequate mechanisms for the resolution of disputes.

OneSteel Manufacturing Pty Ltd T/A Arrium Mining

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established