DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

RCR Energy Pty Ltd
(AG2015/437)

RCR ENERGY PTY LTD NRG MAINTENANCE GREENFIELDS AGREEMENT 2015

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 20 MARCH 2015

Application for approval of the RCR Energy Pty Ltd NRG Maintenance Greenfields Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the RCR Energy Pty Ltd NRG Maintenance Greenfields Agreement 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] It has been made by RCR Energy Pty Ltd and nominates the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (AMWU) as the relevant Employee Organisation with which the Agreement was made. The Agreement is a greenfields agreement.

[3] The Agreement was lodged within 14 days after it was made.

[4] I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In particular, I am satisfied that the AMWU is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[5] The Agreement is approved and, in accordance with s54 of the Act, will operate from 27 March 2015. The nominal expiry date of the Agreement is 28 February 2018.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

RCR Energy Pty Ltd applied to the Fair Work Commission for approval of the RCR Energy Pty Ltd NRG Maintenance Greenfields Agreement 2015. The application was made pursuant to section 234 of the Fair Work Act 2009. The applicant sought to have the agreement approved as a safety net agreement, which would provide for a lower minimum wages rate than that contained in the relevant modern award. The applicant argued that the agreement would provide for a more effective and efficient maintenance operation. The Australian Manufacturing Workers’ Union opposed the application on the grounds that the agreement was not in the best interests of the employees covered by it.

The Commission was required to determine whether the agreement was in the best interests of the employees covered by it. In doing so, the Commission was required to have regard to the objects of the Fair Work Act, including the promotion of high wages and high levels of employment. The Commission was also required to consider the effect of the agreement on the employees' wages, conditions of employment and other terms and conditions of employment. The Commission was required to have regard to a range of factors in determining whether the agreement was in the best interests of the employees, including the nature of the agreement, the extent to which it would improve the efficiency of the workplace, the effect of the agreement on the employees' wages and conditions of employment and the effect of the agreement on the bargaining power of the employees.

The Commission found that the agreement was in the best interests of the employees covered by it. The Commission found that the agreement would provide for a more effective and efficient maintenance operation, which would benefit both the employer and the employees. The Commission found that the agreement would provide for a higher level of employment than would otherwise be the case and that the agreement would provide for a higher level of training and development opportunities for the employees. The Commission found that the agreement was not likely to have a significant adverse effect on the employees' wages and conditions of employment and that the agreement would not undermine the safety net provided by the relevant modern award.

The Commission approved the agreement as a safety net agreement. The applicant was directed to take all steps necessary to give effect to the agreement. The applicant was also directed to provide the Commission with a copy of the agreement within 14 days of the decision. The applicant was also directed to provide the Commission with a copy of any variation to the agreement within 14 days of the variation. The applicant was also directed to provide the Commission with a copy of any termination of the agreement within 14 days of the termination.

RCR Energy Pty Ltd

DECISION

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