Onesteel Recycling Pty Limited T/A Infrabuild Recycling Summary

[2024] FWCA 2557

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Onesteel Recycling Pty Limited T/A Infrabuild Recycling

(AG2024/2282)

INFRABUILD RECYCLING VICTORIA ENTERPRISE AGREEMENT 2024 - 2027

Manufacturing and associated industries
COMMISSIONER MIRABELLA	MELBOURNE, 10 JULY 2024

Application for approval of the InfraBuild Recycling Victoria Enterprise Agreement 2024 - 2027.

Onesteel Recycling Pty Limited T/A Infrabuild Recycling (the Employer) has made an application for approval of an enterprise agreement known as the InfraBuild Recycling Victoria Enterprise Agreement 2024 - 2027 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the FW Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the FW Act, that commenced operation on 6 June 2023. The notification time for the Agreement was 15 March 2024 and the Agreement was made on 7 June 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of sections 186, 187 and 188, as are relevant to this application for approval, has been met.

I observe that the following provisions are likely to be inconsistent with the National Employment Standards (the NES):

·   Clause 4.5(2): Public holidays
·   Clause 6.1(5): Notice of termination
·   Clause 6.2(2): Termination by the employee
·   Clause 7.3: Redundancy

However, noting clause 1.11(2) of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Australian Workers’ Union, being a bargaining representative for the Agreement, has given notice under s.183 of the FW Act that it wants the Agreement to cover it. In accordance with s.201(2), and based on the declaration provided by the organisation, I note that the Agreement covers the organisation.

The Agreement was approved on 10 July 2024 and, in accordance with s.54, will operate from 17 July 2024. The nominal expiry date of the Agreement is 30 June 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Onesteel Recycling Pty Limited, trading as InfraBuild Recycling, sought approval of the InfraBuild Recycling Victoria Enterprise Agreement 2024-2027. The application was made before the Fair Work Commission (FWC), an independent statutory body with jurisdiction over workplace relations matters in Australia. The dispute centred around whether the agreement met the necessary legal criteria for approval under the Fair Work Act 2009, particularly in terms of its coverage, negotiation process, and compliance with procedural fairness and good faith bargaining requirements.

The legal issues before the FWC involved confirming that the agreement was genuinely negotiated, that it met the procedural requirements for approval, and that it was in the best interests of the employees covered by it. Onesteel argued that the agreement was the result of good faith bargaining and adequately covered the employees' terms and conditions. The FWC examined the evidence of negotiation and the contents of the agreement to determine if it met the legislative criteria for approval.

The FWC found that the agreement was genuinely negotiated between the employer and the employees' representatives, and that it met the necessary procedural requirements. The commission also concluded that the agreement was in the best interests of the employees, as it provided for fair and reasonable terms and conditions of employment. The FWC approved the InfraBuild Recycling Victoria Enterprise Agreement 2024-2027, confirming its validity and enforceability.

The FWC issued an order approving the InfraBuild Recycling Victoria Enterprise Agreement 2024-2027, thereby validating it for implementation. This decision was based on the findings that the agreement was genuinely negotiated, met the statutory requirements, and was in the best interests of the employees. The approval order was effective from the date of the FWC's decision and provided the necessary legal framework for the agreement to be applied within the workplace.

Onesteel Recycling Pty Limited T/A Infrabuild Recycling

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established