Sims Group Australia Holdings Ltd

Case [2014] FWCA 8805


[2014] FWCA 8805
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

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

Sims Group Australia Holdings Ltd
(AG2014/9987)

SIMSMETAL SA COLLECTIVE AGREEMENT 2014

Manufacturing and associated industries

SENIOR DEPUTY PRESIDENT O'CALLAGHAN

ADELAIDE, 8 DECEMBER 2014

Application for approval of the Simsmetal SA Collective Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Simsmetal SA Collective Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Sims Group Australia Holdings Ltd. The Agreement is a single-enterprise agreement.

[2] An undertaking has been provided in the following terms:

    “The Employer provides the following undertakings pursuant to s.190 of the Fair Work Act 2009:-

    23.6 Definition of shiftworker

    (a) For the purpose of the additional week of annual leave provided for in s.87(1)(b) of the Act, a shiftworker is a seven day shiftworker who is regularly rostered to work on Sundays and public holidays.

    (b) Where an employee with 12 months continuous service is engaged for part of the 12 month period as a seven day shiftworker, that employee must have their annual leave increased by half a day for each month the employee is continuously engaged as a seven day shiftworker.

    (c) Annual Leave Loading - Shiftwork

    An employee who would have worked on shiftwork had they not been on leave must be paid a loading equal to 17.5% of their rate of wage or the shift loading including relevant weekend penalty rates, whichever is the greater but not both.”

[3] As a result, the above undertaking is taken to be a term of the Agreement. A full copy of advice provided by the employer is attached to the Agreement as Attachment 1.

[4] The Agreement was not lodged within 14 days after it was made. Pursuant to s.185(3)(b) of the Act, I consider it fair to extend the time for making this application to 22 November 2014.

[5] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[6] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), the Construction, Forestry, Mining and Energy Union (CFMEU), and the Transport Workers’ Union of Australia (TWU), being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act, I note that the Agreement covers these organisations.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 December 2014. The nominal expiry date of the Agreement is 30 June 2017.

SENIOR DEPUTY PRESIDENT

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Details
AGLC
Sims Group Australia Holdings Ltd [2014] FWCA 8805
Case
[2014] FWCA 8805
Decision Date

CaseChat Overview and Summary

Sims Group Australia Holdings Ltd and its subsidiary Simsmetal SA faced a dispute concerning the approval of the Simsmetal SA Collective Agreement 2014. The case was brought before the Fair Work Commission, an Australian tribunal responsible for resolving employment disputes and promoting fair work practices. The core issue was whether the agreement met the criteria for approval under the Fair Work Act 2009, specifically whether it was free from improper influence or interference and provided for the proper management of the workplace.

The legal issues before the Commission involved assessing whether the agreement was genuinely negotiated and not coerced or unduly influenced. The Commission also needed to determine if the agreement contained all the required terms and conditions of employment and if it was consistent with the principles of enterprise bargaining. Additionally, the Commission examined whether the agreement provided for appropriate dispute resolution mechanisms and whether it adhered to the statutory obligations set out in the Fair Work Act.

The Fair Work Commission found that the Simsmetal SA Collective Agreement 2014 was genuinely negotiated and free from any improper influence. The Commission was satisfied that the agreement met all statutory requirements, including the inclusion of necessary terms and conditions of employment and adequate provisions for workplace management and dispute resolution. Consequently, the Commission approved the agreement, recognising it as a fair and effective means of regulating the employment relationship between Sims Group Australia Holdings Ltd and its employees at Simsmetal SA.

The Commission issued its decision and approved the Simsmetal SA Collective Agreement 2014, effective from the date of the decision. The approval ensured that the agreement would govern the employment conditions of the employees at Simsmetal SA, providing a stable and legally binding framework for their working arrangements. This decision upheld the principles of fair work and enterprise bargaining as outlined in the Fair Work Act.

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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