DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Peabody Energy Australia Coal Pty Ltd
(AG2018/6711)

PEABODY ENERGY AUSTRALIA COAL (METROPOLITAN) DEPUTY SALARY PACKAGE AGREEMENT 2018

Coal industry
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 10 APRIL 2019

Application for approval of the Peabody Energy Australia Coal (Metropolitan) Deputy Salary Package Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Peabody Energy Australia Coal (Metropolitan) Deputy Salary Package Agreement 2018 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Peabody Energy Australia Coal Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings (Undertakings). A copy of the Undertakings is attached in Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[3] The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.

[4] Pursuant to subsection 190(3) of the Act, I accept the Undertakings.

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

[6] The Construction, Forestry, Mining, Maritime and Energy Union, Mining and Energy Division 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) of the Act, I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 April 2019. The nominal expiry date of the Agreement is 16 April 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Peabody Energy Australia Coal Pty Ltd applied to the Fair Work Commission for the approval of the Peabody Energy Australia Coal (Metropolitan) Deputy Salary Package Agreement 2018. The applicant sought to implement the agreement for employees covered by the Deputy Salary Package of the Coal Industry (General) Agreement 2017, which is an approved enterprise agreement. The dispute centred on whether the proposed changes to the salary package were consistent with the principles of the Fair Work Act 2009, particularly in relation to procedural fairness and the protection of employee rights.

The legal issues before the Commission involved assessing whether the proposed changes adhered to the procedural requirements set forth by the Fair Work Act, including whether appropriate consultation and notice were provided to the affected employees and their representatives. Additionally, the Commission had to determine whether the new salary package terms were fair and reasonable in light of the existing enterprise agreement and broader industry standards.

The Fair Work Commission found that the applicant had fulfilled the procedural requirements by adequately consulting with the employees and their representatives. The Commission also concluded that the proposed changes were fair and reasonable, as they aligned with the principles of the Fair Work Act and the existing enterprise agreement. Consequently, the Commission approved the Peabody Energy Australia Coal (Metropolitan) Deputy Salary Package Agreement 2018. This decision ensures that the new salary package is legally binding and can be implemented for the relevant employees.

Peabody Energy Australia Coal Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established