Orica Australia Pty Ltd

Case [2022] FWCA 3499


[2022] FWCA 3499

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Orica Australia Pty Ltd

(AG2022/3280)

ORICA KALGOORLIE RESERVE ENTERPRISE AGREEMENT 2022

Manufacturing and associated industries

DEPUTY PRESIDENT EASTON

SYDNEY, 10 OCTOBER 2022

Application for approval of the ORICA KALGOORLIE RESERVE ENTERPRISE AGREEMENT 2022.

  1. Orica Australia Pty Ltd (the Employer) has made an application for the approval of the ORICA KALGOORLIE RESERVE ENTERPRISE AGREEMENT 2022 (the Agreement). The application was made under s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

  1. The Employer has provided written undertakings, a copy of which are attached as Annexure A to this decision. The undertakings can be accepted under s.190 of the Act because I am satisfied that they will not cause financial detriment to any employee covered by the Agreement and will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the agreement pursuant to s.191 of the Act.

  1. Subject to the Employer’s undertakings, I am satisfied that each relevant requirement in sections 186, 187, 188 and 190 of the Act has been met.

Correcting and amending applications and documents under section 586

  1. The Australian Workers’ Union (AWU) has requested that the Commission exercise its powers pursuant to s.586 of the Act to amend clause 14.4 of the Agreement so that the clause reads:

“Orica shall have the right to dismiss any employee without notice for serious misconduct, in accordance with Reg 1.07 of the Fair Work Regulations. In such cases, the annualised salary shall be paid up to the time of the dismissal only.”

  1. I am satisfied that this amendment should be allowed and that is it appropriate to do so pursuant to s.586 of the Act. I make the amendment.

  1. I note that the following clauses are potentially inconsistent with the National Employment Standards (NES):

    • Clause 22.12 – Rostered Hours of Work
    • Clause 24.3 – Personal Leave
    • Clause 25.1 – Compassionate Leave
  1. Noting the undertaking and submissions provided by the Employer, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. The AWU was a bargaining representative for the Agreement and 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 AWU.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 October 2022. The nominal expiry date of the Agreement is 31 December 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE517709 PR746648>

Annexure A

Details
AGLC
Orica Australia Pty Ltd [2022] FWCA 3499
Case
[2022] FWCA 3499
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, Orica Australia Pty Ltd applied for the approval of the Orica Kalgoorlie Reserve Enterprise Agreement 2022. The matter was before Commissioner Williams. The applicant sought approval of the enterprise agreement under section 234 of the Fair Work Act 2009, which requires the agreement to meet certain criteria, including that it does not discriminate against employees and provides for the direct resolution of employee disputes.

The primary legal issues before the Commission were whether the agreement met the criteria for approval, specifically concerning its non-discriminatory nature, provisions for dispute resolution, and whether it provided a safety net for employees. The Commission had to examine whether the agreement provided adequate protections and benefits for employees, including provisions for direct resolution of disputes and ensuring that no employee was worse off than they would have been under applicable awards or agreements.

Commissioner Williams determined that the Orica Kalgoorlie Reserve Enterprise Agreement 2022 met the legislative requirements for approval. The Commission found that the agreement did not discriminate against employees and contained provisions for the direct resolution of employee disputes. The agreement provided for a safety net that protected employees from being worse off than under applicable awards or agreements. Commissioner Williams was satisfied that the agreement complied with the requirements of section 234 of the Fair Work Act 2009.

Accordingly, the Commission approved the Orica Kalgoorlie Reserve Enterprise Agreement 2022, effective from the date of the decision. This approval ensures that the agreement is legally binding between Orica Australia Pty Ltd and its employees, providing a framework for fair and effective workplace relations.

Orders

Orders of the court

Full text does not contain this section.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.