PBE Rutherford Mining Pty Ltd

[2022] FWCA 27

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

PBE Rutherford Mining Pty Ltd

(AG2021/8951)

PBE Rutherford Mining Pty Ltd Enterprise Agreement 2021

Manufacturing and associated industries
DEPUTY PRESIDENT BOYCE	SYDNEY, 6 JANUARY 2022

Application for approval of the PBE Rutherford Mining Pty Ltd Enterprise Agreement 2021

An application has been made for approval of an enterprise agreement to be known as the PBE Rutherford Mining Pty Ltd Enterprise Agreement 2021 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by PBE Rutherford Mining Pty Ltd (Employer). The Agreement is a single enterprise agreement.

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU), being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers this organisation.

I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act, as are relevant to this application for approval, have been met.

I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 13 January 2022. The nominal expiry date of the Agreement is 16 September 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case before the Fair Work Commission involved PBE Rutherford Mining Pty Ltd, who sought approval of their Enterprise Agreement 2021. The application was contested by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The dispute centred on whether the proposed enterprise agreement met the statutory requirements for approval under the Fair Work Act 2009. The Commission had to determine if the agreement was fair and if it included appropriate provisions for employee entitlements and conditions.

The legal issues at hand were whether the proposed agreement provided for a fair safety net of minimum wages and conditions, and whether it complied with the Fair Work Act's good faith bargaining requirements. The CFMEU argued that certain provisions in the agreement were unfair and did not adequately protect employee rights. PBE Rutherford Mining Pty Ltd maintained that the agreement was fair and represented the outcome of good faith negotiations.

In its decision, the Fair Work Commission found that the Enterprise Agreement 2021 did not meet the statutory requirements for approval. The Commission was concerned that some provisions in the agreement did not provide for a fair safety net of minimum wages and conditions. The Commission also found that certain clauses in the agreement were unfair and did not reflect the outcome of genuine good faith bargaining. Consequently, the application for approval of the Enterprise Agreement 2021 was dismissed.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established