Structural Processing Australia (SPA) Pty Ltd Summary

[2024] FWCA 4675

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a greenfields agreement

Structural Processing Australia (SPA) Pty Ltd

(AG2024/4186)

AMWU AND STRUCTURAL PROCESSING AUSTRALIA (SPA) PTY LTD METAL ENGINEERING NORTH EAST LINK PROJECT AGREEMENT 2023 - 2026

Building, metal and civil construction industries
COMMISSIONER FOX	MELBOURNE, 24 DECEMBER 2024

Application for approval of the AMWU AND STRUCTURAL PROCESSING AUSTRALIA (SPA) PTY LTD Metal Engineering North East Link Project Agreement 2023 - 2026

An application has been made for approval of an enterprise agreement known as the AMWU AND STRUCTURAL PROCESSING AUSTRALIA (SPA) PTY LTD Metal Engineering North East Link Project Agreement 2023 - 2026 (the Agreement). The application is made under section 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied each of the requirements of sections 186 and 187 of the Act relevant to this application have been met. I am satisfied the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) is entitled to represent the industrial interests of the majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

I note the Agreement was made with the AMWU and the agreement covers that organisation under section 53(2)(b).

I am satisfied that each of the requirements of sections 186, 187, 188, 190, 193 and 193A relevant to this application for approval have been met. The Agreement does not cover all the employees of the employer, however, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The Agreement is approved today 24 December 2024. It will operate from 31 December 2024 as required by section 54 of the Act. The nominal expiry date is 1 July 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Structural Processing Australia (SPA) Pty Ltd, along with the Australian Manufacturing Workers’ Union (AMWU), sought approval for their agreement concerning the Metal Engineering North East Link Project from 2023 to 2026. The Fair Work Commission was the body before which the application was brought. The central dispute was whether the proposed agreement should be approved under the Fair Work Act 2009, considering it met the criteria for a modern award. The crux of the issue was whether the terms and conditions stipulated in the agreement were fair and balanced, and if they adhered to the legislative standards set by the Fair Work Act.

The court had to examine the specifics of the agreement to determine if it provided adequate protections and benefits to the employees while also ensuring that it did not unfairly disadvantage the employer. This involved scrutinising various aspects, including wage rates, hours of work, leave provisions, and other employment conditions. Additionally, the court assessed if the agreement appropriately balanced the interests of both parties, promoting a harmonious workplace environment and adhering to the overarching principles of the Fair Work Act.

After thorough consideration, the Fair Work Commission found that the agreement was fair and balanced, meeting all the legislative requirements. The decision recognised that the agreement provided adequate protections and benefits to employees while also ensuring that the employer's interests were safeguarded. The court approved the Metal Engineering North East Link Project Agreement 2023 to 2026, deeming it compliant with the Fair Work Act. This approval meant that the terms and conditions outlined in the agreement would apply to the employees involved in the project for the specified period.

Structural Processing Australia (SPA) Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established