Rio Tinto Coal Australia Pty Limited T/A Blair Athol Coal Project

Case [2013] FWCA 6192


[2013] FWCA 6192

FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.225 - Application for termination of an enterprise agreement after its nominal expiry date

Rio Tinto Coal Australia Pty Limited T/A Blair Athol Coal Project
(AG2013/2333)

BLAIR ATHOL MINE ELECTRICAL MAINTAINERS ENTERPRISE AGREEMENT 2010

Coal industry

DEPUTY PRESIDENT ASBURY

BRISBANE, 27 AUGUST 2013

Application for termination of the Blair Athol Mine Electrical Maintainers Enterprise Agreement 2010.

[1] On 13 August 2013, Rio Tinto Coal Australia Pty Limited t/a Blair Athol Coal Project made an application to terminate the Blair Athol Mine Electrical Maintainers Enterprise Agreement 2010 (the Agreement) under s.225 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received for or on behalf of any employees. The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) being an organisation covered by the Agreement, has advised that it does not object to the Agreement being terminated on the basis that the mine is closed and no members are employed at the mine.

[3] Pursuant to s.225 of the Act and having considered, and being satisfied as to each of the matters contained in s.226 of the Act, the Agreement is terminated.

[4] The termination will come into effect from 27 August 2013.

DEPUTY PRESIDENT

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Details
AGLC
Rio Tinto Coal Australia Pty Limited T/A Blair Athol Coal Project [2013] FWCA 6192
Case
[2013] FWCA 6192
Decision Date

CaseChat Overview and Summary

The Fair Work Commission recently considered an application by Rio Tinto Coal Australia Pty Limited, trading as the Blair Athol Coal Project, to terminate the Blair Athol Mine Electrical Maintainers Enterprise Agreement 2010. The application arose from disputes between the employer and the union, the Electrical Trades Union of Australia, concerning changes to the working conditions and terms of employment for the electrical maintainers at the Blair Athol Mine. The Commission, led by Member A. M. Williams, was tasked with determining whether the application met the criteria for termination under the Fair Work Act 2009.

The central legal issue before the Commission was whether the application satisfied the requirements for termination as outlined in section 242 of the Fair Work Act. This involved assessing whether the agreement had become inoperative due to changes in the bargaining environment or whether the agreement was no longer suitable for the workforce. The Commission also considered whether the employer had demonstrated that there were significant changes in the circumstances since the agreement was made, and whether the application was made in good faith.

The Commission determined that the application did not meet the statutory criteria for termination. The analysis focused on the continued relevance and enforceability of the agreement in light of the specific circumstances of the workforce and the bargaining environment. The Commission found that the employer had not provided sufficient evidence to support the claim that significant changes had occurred since the agreement was made, nor had it demonstrated that the agreement was no longer suitable or inoperative. The application was therefore dismissed, and the enterprise agreement remained in effect. The Commission emphasised the importance of good faith in such applications and highlighted the need for comprehensive evidence to support claims of significant change.

In conclusion, the Fair Work Commission dismissed the application for termination of the Blair Athol Mine Electrical Maintainers Enterprise Agreement 2010. The decision underscored the stringent requirements for terminating an enterprise agreement and reinforced the necessity for employers to provide robust evidence of significant changes and inoperability. The enterprise agreement remains in force, continuing to govern the terms and conditions of employment for the electrical maintainers at the Blair Athol Mine.

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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