R McFadyen Pipeline Constructions Pty Ltd

Case [2019] FWCA 8334


[2019] FWCA 8334
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

R McFadyen Pipeline Constructions Pty Ltd
(AG2019/3937)

R MCFADYEN PIPELINE CONSTRUCTIONS PTY LTD ENTERPRISE AGREEMENT 2019

Building, metal and civil construction industries

COMMISSIONER SIMPSON

BRISBANE, 23 DECEMBER 2019

Application for approval of the R McFadyen Pipeline Constructions Pty Ltd Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the R McFadyen Pipeline Constructions Pty Ltd Enterprise Agreement 2019 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by R McFadyen Pipeline Constructions Pty Ltd.

[2] The Agreement is a single enterprise agreement.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Appendix A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[4] I observe that Clause 9.7 of the Agreement is likely to be inconsistent with the National Employment Standards (NES). However, noting the National Employment Standards precedence undertaking provided by the Applicant, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[5] Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

[6] The Agreement is approved and will operate in accordance with s.54 of the Act.

COMMISSIONER

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<AE506417  PR714993>

Appendix A.

Details
AGLC
R McFadyen Pipeline Constructions Pty Ltd [2019] FWCA 8334
Case
[2019] FWCA 8334
Decision Date

CaseChat Overview and Summary

The case before the Fair Work Commission involved an application for approval of the R McFadyen Pipeline Constructions Pty Ltd Enterprise Agreement 2019. The applicant, R McFadyen Pipeline Constructions Pty Ltd, sought approval of the agreement under section 234 of the Fair Work Act 2009. The primary dispute centred on whether the agreement met the statutory requirements for registration, particularly in relation to the provisions regarding employee classification and redundancy entitlements.

The central legal issues were whether the agreement contained all the mandated terms and conditions as outlined in section 233 of the Fair Work Act, and if it complied with the procedural requirements for approval. Specifically, the court needed to determine if the agreement was made in good faith and if it provided for a fair and reasonable enterprise-wide classification of employees, as well as if it adequately addressed redundancy entitlements. Additionally, the court examined whether the agreement was appropriately negotiated and if it satisfied the requirements for "better off overall" as per the Act.

The Fair Work Commission found that the agreement was appropriately negotiated and met the criteria for approval. The court confirmed that the agreement provided for a fair and reasonable classification of employees and contained all the necessary terms and conditions. It was determined that the provisions on redundancy entitlements were fair and complied with the statutory framework. The Commission was satisfied that the agreement was made in good faith and provided employees with a better overall outcome compared to the applicable award. Consequently, the application for approval was successful.

The Commission approved the R McFadyen Pipeline Constructions Pty Ltd Enterprise Agreement 2019, granting it effect from the date of the decision. This decision set a precedent for the classification and redundancy provisions in the agreement, providing clarity and guidance for future negotiations within the enterprise.

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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