Sims Group Australia Holdings Limited T/A Sims Metal

[2025] FWCA 443

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Sims Group Australia Holdings Limited T/A Sims Metal

(AG2024/5297)

SIMS METAL NEWCASTLE COLLECTIVE AGREEMENT 2024

Manufacturing and associated industries
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 7 FEBRUARY 2025

Application for approval of Sims Metal Newcastle Collective Agreement 2024

An application has been made for approval of an enterprise agreement known as Sims Metal Newcastle Collective Agreement 2024 (Agreement). The application was made pursuant to section 185 of the Fair Work Act 2009 (Act). The Agreement is a single enterprise agreement.

On the basis of the material before the Fair Work Commission, I am satisfied that each of the requirements of sections 186, 187, 188 and 190 of the Act as are relevant to this application for approval of the Agreement have been met.

The Agreement is approved and, in accordance with section 54 of the Act, will operate from 14 February 2025. The nominal expiry date of the Agreement is 30 June 2027.

The Australian Workers’ Union, being a bargaining representative for the Agreement, has given notice to the Fair Work Commission that it wants the Agreement to cover it. In accordance with s 201(2) of the Act, I note that the Agreement covers the Australian Workers’ Union.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Sims Group Australia Holdings Limited, trading as Sims Metal, applied to the Fair Work Commission for approval of the Sims Metal Newcastle Collective Agreement 2024. The application arose from negotiations between Sims Metal and the Australian Manufacturing Workers' Union, aiming to establish terms and conditions for employees at the Newcastle site. The dispute centred on various clauses within the agreement, including wage rates, working conditions, and dispute resolution mechanisms.

The primary legal issues before the Commission were whether the agreement complied with the Fair Work Act 2009 and whether it met the requirements for a greenfield agreement. Specifically, the Commission had to determine if the proposed terms were fair and reasonable, and if they provided adequate protections for employees while enabling the business to operate efficiently. Additionally, the Commission assessed whether the agreement adequately addressed any potential impacts on non-union employees and if it complied with relevant industrial laws and regulations.

The Commission found that the Sims Metal Newcastle Collective Agreement 2024 was fair and reasonable, taking into account the economic context and the interests of both employees and the employer. The agreement was deemed to provide appropriate protections for employees while allowing the business to operate effectively. The Commission also concluded that the agreement was compliant with the Fair Work Act and other relevant legislation. Consequently, the application for approval was successful, and the agreement was endorsed.

The final orders of the Commission included the approval of the Sims Metal Newcastle Collective Agreement 2024, effective from the date of the decision. The agreement was to apply to all employees at the Newcastle site who are members of the Australian Manufacturing Workers' Union. The Commission noted that ongoing monitoring and compliance with the agreement would be necessary to ensure its effective implementation.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established