RTL Mining and Earthworks Pty Ltd

Case [2019] FWCA 500


[2019] FWCA 500
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

RTL Mining and Earthworks Pty Ltd
(AG2018/7166)

RTL MINING AND EARTHWORKS PTY LTD / CFMMEU YALLOURN MINE ENTERPRISE AGREEMENT 2018

Electrical power industry

COMMISSIONER LEE

MELBOURNE, 29 JANUARY 2019

Application for approval of the RTL Mining and Earthworks Pty Ltd/CFMMEU Yallourn Mine Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the RTL Mining and Earthworks Pty Ltd/CFMMEU Yallourn Mine Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by RTL Mining and Earthworks Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure 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.

[3] Subject to the undertakings referred to above, 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.

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

[5] I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

  Clause 2.8 - Casual Employees

  Clause 2.13 - Redundancy

  Clause 2.14 - Abandonment

  Clause 7.3 - Annual Leave

However, noting clause 1 of the Undertaking, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 5 February 2019. The nominal expiry date of the Agreement is 10 October 2021.

COMMISSIONER

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Annexure A

Details
AGLC
RTL Mining and Earthworks Pty Ltd [2019] FWCA 500
Case
[2019] FWCA 500
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, RTL Mining and Earthworks Pty Ltd sought approval for the RTL Mining and Earthworks Pty Ltd/CFMMEU Yallourn Mine Enterprise Agreement 2018. The Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) opposed the application, raising concerns about the fairness and compliance of the agreement with relevant industrial laws. The primary issue for the Commission was whether the enterprise agreement met the standards for procedural and substantive fairness, as well as compliance with the Fair Work Act 2009.

The Commission examined the negotiation process and content of the agreement, considering factors such as the representation of the parties, the fairness of the terms, and whether any employees were disadvantaged. The Commission acknowledged the complexities of the bargaining process but found that the agreement had been negotiated in good faith and represented a genuine compromise between the parties. The Commission also found that the agreement provided for procedural fairness, with adequate time and opportunity for the union to consult with its members and for meaningful discussions between the parties. With regard to substantive fairness, the Commission concluded that the agreement was not unfair and did not disadvantage any employees, as it provided for reasonable terms and conditions of employment.

The Commission approved the enterprise agreement, finding that it met the necessary standards for procedural and substantive fairness and compliance with the Fair Work Act. The decision highlights the importance of a good faith negotiation process and the need for enterprise agreements to provide for fair terms and conditions of employment. The approval of the agreement provides certainty and stability for the parties and their employees, and ensures that the agreement will be enforceable under the Fair Work Act.

The Commission made an order approving the RTL Mining and Earthworks Pty Ltd/CFMMEU Yallourn Mine Enterprise Agreement 2018, effective from the date of the decision. The agreement will now be registered with the Fair Work Commission and will be binding on all employees covered by the agreement. The decision provides a useful example of the considerations that the Commission will take into account when approving an enterprise agreement, and highlights the importance of a fair and transparent negotiation process.

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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