Onesteel Recycling Pty Limited T/A Infrabuild Recycling

Case [2021] FWCA 6354


[2021] FWCA 6354

The attached document wholly replaces the document previously issued with the code [2021] FWC 6158 on 19 October 2021 to correct document referencing.

Associate to Commissioner Yilmaz

Dated 20 October 2021

[2021] FWCA 6354
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Onesteel Recycling Pty Limited T/A Infrabuild Recycling
(AG2021/7692)

INFRABUILD RECYCLING DANDENONG ENTERPRISE
AGREEMENT 2021-2025

Manufacturing and associated industries

COMMISSIONER YILMAZ

MELBOURNE, 19 OCTOBER 2021

Application for approval of the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025

[1] An application has been made for approval of an enterprise agreement known as the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Onesteel Recycling Pty Limited T/A Infrabuild Recycling. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] I observe that certain provisions of the Agreement are likely to be inconsistent with the National Employment Standards (NES). Clause 26(b)(i) of the Agreement defines a child as under the age of five years for the purposes of adoption. This appears to be inconsistent with s.68 which provides that a child is or will be under 16 years old for the purposes of adoption-related leave.

[4] Additionally, the Agreement’s redundancy term is likely to be inconsistent with the NES. Clause 19(d)(ii) of the Agreement provides for 3 weeks redundancy payment for each completed year of service or part thereof. For employees who have completed at least 1 year but less than 2 years of service, this entitlement appears to be less than the NES, which provides for 4 weeks redundancy payment under s.119.

[5] However, noting clause 25 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Australian Workers’ Union 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.

[7] The Agreement is approved and in accordance with s.54, will operate from 26 October 2021. The nominal expiry date of the Agreement is 30 June 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<AE513578  PR735071>

Details
AGLC
Onesteel Recycling Pty Limited T/A Infrabuild Recycling [2021] FWCA 6354
Case
[2021] FWCA 6354
Decision Date

CaseChat Overview and Summary

In the matter of Onesteel Recycling Pty Limited trading as Infrabuild Recycling, the applicant sought approval for the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025. The applicant argued that the enterprise agreement should be approved under the Fair Work Act 2009, as it had been negotiated in good faith and met the requirements of the legislation. The decision came before the Fair Work Commission in Australia, tasked with considering the application and determining whether the agreement met the necessary standards for approval.

The central legal issue before the Commission was whether the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025 complied with the relevant provisions of the Fair Work Act 2009, specifically sections 232 and 233, which outline the criteria for approval of enterprise agreements. The Commission examined whether the agreement had been negotiated in good faith, if it contained the minimum entitlements required by the Act, and whether it was fair and reasonable for the employees it covered. Additionally, the Commission assessed if the agreement was likely to result in improved productivity, efficiency, and profitability of the enterprise.

The Fair Work Commission determined that the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025 was in compliance with the relevant provisions of the Fair Work Act 2009. The Commission found that the agreement had been negotiated in good faith and contained the necessary minimum entitlements. It was also deemed to be fair and reasonable for the employees it covered, taking into account the specific circumstances of the enterprise and the bargaining positions of the parties. The Commission further concluded that the agreement was likely to result in improved productivity, efficiency, and profitability of the enterprise. Therefore, the Commission approved the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025, allowing it to come into effect as intended.

The Commission ordered that the InfraBuild Recycling Dandenong Enterprise Agreement 2021-2025 be approved and registered with the Fair Work Commission, effective from the date of the decision. The agreement would now govern the employment conditions of the employees covered by the agreement, replacing any previous agreements or awards that may have been in place. The decision provided certainty for both the employer and the employees, ensuring that the terms of the agreement were legally enforceable and in compliance with the Fair Work Act 2009.

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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