| [2015] FWCA 4842 |
| FAIR WORK COMMISSION |
DECISION |
Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement
Stanwell Corporation Limited
(AG2015/3632)
STANWELL POWER STATION ENTERPRISE AGREEMENT 2015
Electrical power industry | |
SENIOR DEPUTY PRESIDENT HARRISON | SYDNEY, 16 JULY 2015 |
Application for approval of the Stanwell Power Station Enterprise Agreement 2015.
[1] An application has been made for approval of an enterprise agreement known as the Stanwell Power Station Enterprise Agreement 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single-enterprise agreement.
[2] Subject to the comment I make in paragraphs [3] and [4] below, I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.
[3] The employer has provided an undertaking in relation to clause 5.7 (Annual Leave) of the Agreement. Pursuant to s.191(1) of the Act, the undertaking is taken to be a term of the Agreement. A copy of this undertaking is attached at Annexure A.
[4] Clause 1.3.8 of the Agreement (Consultation) does not fully meet the requirements of s.205(1)(a)(ii) or s.205(1A)(b) of the Act. Therefore, pursuant to s.205(2) of the Act, the model consultation term is taken to be a term of the Agreement. A copy of the model term is attached at Annexure B.
[5] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, the Association of Professional Engineers, Scientists and Managers, Australia, the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Australian Municipal, Administrative, Clerical and Services Union, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. As required by s.201(2), I note that the Agreement covers these organisations.
[6] The Agreement is approved. In accordance with s.54(1) of the Act, it will operate from 23 July 2015. The nominal expiry date of the Agreement is 1 March 2019.
SENIOR DEPUTY PRESIDENT
Annexure A
Annexure B
Schedule 2.3—Model consultation term
(regulation 2.09)
Model consultation term
(1) This term applies if the employer:
(a) has made a definite decision to introduce a major change to production, program, organisation, structure or technology in relation to its enterprise that is likely to have a significant effect on the employees; or
(b) proposes to introduce a change to the regular roster or ordinary hours of work of employees.
Major change
(2) For a major change referred to in paragraph (1)(a):
(a) the employer must notify the relevant employees of the decision to introduce the major change; and
(b) subclauses (3) to (9) apply.
(3) The relevant employees may appoint a representative for the purposes of the procedures in this term.
(4) If:
(a) a relevant employee appoints, or relevant employees appoint, a representative for the purposes of consultation; and
(b) the employee or employees advise the employer of the identity of the representative;
the employer must recognise the representative.
(5) As soon as practicable after making its decision, the employer must:
(a) discuss with the relevant employees:
(i) the introduction of the change; and
(ii) the effect the change is likely to have on the employees; and
(iii) measures the employer is taking to avert or mitigate the adverse effect of the change on the employees; and
(b) for the purposes of the discussion—provide, in writing, to the relevant employees:
(i) all relevant information about the change including the nature of the change proposed; and
(ii) information about the expected effects of the change on the employees; and
(iii) any other matters likely to affect the employees.
(6) However, the employer is not required to disclose confidential or commercially sensitive information to the relevant employees.
(7) The employer must give prompt and genuine consideration to matters raised about the major change by the relevant employees.
(8) If a term in this agreement provides for a major change to production, program, organisation, structure or technology in relation to the enterprise of the employer, the requirements set out in paragraph (2)(a) and subclauses (3) and (5) are taken not to apply.
(9) In this term, a major change is likely to have a significant effect on employees if it results in:
(a) the termination of the employment of employees; or
(b) major change to the composition, operation or size of the employer’s workforce or to the skills required of employees; or
(c) the elimination or diminution of job opportunities (including opportunities for promotion or tenure); or
(d) the alteration of hours of work; or
(e) the need to retrain employees; or
(f) the need to relocate employees to another workplace; or
(g) the restructuring of jobs.
Change to regular roster or ordinary hours of work
(10) For a change referred to in paragraph (1)(b):
(a) the employer must notify the relevant employees of the proposed change; and
(b) subclauses (11) to (15) apply.
(11) The relevant employees may appoint a representative for the purposes of the procedures in this term.
(12) If:
(a) a relevant employee appoints, or relevant employees appoint, a representative for the purposes of consultation; and
(b) the employee or employees advise the employer of the identity of the representative;
the employer must recognise the representative.
(13) As soon as practicable after proposing to introduce the change, the employer must:
(a) discuss with the relevant employees the introduction of the change; and
(b) for the purposes of the discussion—provide to the relevant employees:
(i) all relevant information about the change, including the nature of the change; and
(ii) information about what the employer reasonably believes will be the effects of the change on the employees; and
(iii) information about any other matters that the employer reasonably believes are likely to affect the employees; and
(c) invite the relevant employees to give their views about the impact of the change (including any impact in relation to their family or caring responsibilities).
(14) However, the employer is not required to disclose confidential or commercially sensitive information to the relevant employees.
(15) The employer must give prompt and genuine consideration to matters raised about the change by the relevant employees.
(16) In this term:
relevant employees means the employees who may be affected by a change referred to in subclause (1).
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- AGLC
- Stanwell Corporation Limited [2015] FWCA 4842
- Case
- [2015] FWCA 4842
- Decision Date
CaseChat Overview and Summary
The primary legal issue before the Commission was whether the proposed agreement met the requirements for approval under the Fair Work Act. This involved examining whether the agreement was a "better off overall test" agreement, meaning that it provided employees with a minimum of the national safety net entitlements and was not detrimental to the employees' overall pay and conditions. The Commission also needed to consider whether the agreement was fair and reasonable in all its terms and whether it complied with the relevant provisions of the Act and the National Employment Standards.
In determining the application, the Commission carefully reviewed the provisions of the agreement, taking into account submissions from the parties and the applicable legal framework. The Commission found that the agreement did indeed meet the better off overall test, as it provided employees with terms and conditions that were not less favourable than those provided for under the relevant awards or the National Employment Standards. Additionally, the Commission concluded that the agreement was fair and reasonable in all its terms. Consequently, the application for approval of the Stanwell Power Station Enterprise Agreement 2015 was successful.
The Commission approved the Stanwell Power Station Enterprise Agreement 2015, subject to certain conditions and requirements. This decision provided legal certainty for Stanwell Corporation Limited and its employees regarding the terms and conditions of employment under the new agreement.
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