Temmco Pty Ltd Summary

[2014] FWCA 3280

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Temmco Pty Ltd
(AG2014/4082)

TEMMCO QUEENSLAND MAINTENANCE POWER STATIONS WORKPLACE AGREEMENT 2014-2016

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 16 MAY 2014

Application for approval of the Temmco Queensland Maintenance Power Stations Workplace Agreement 2014-2016.

[1] An application has been made for approval of an enterprise agreement known as the Temmco Queensland Maintenance Power Stations Workplace Agreement 2014-2016 (the Agreement). The application was made pursuant to s185 of the Fair Work Act 2009 (the Act). It has been made by Temmco Pty Ltd. The agreement is a single enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, being a bargaining representative for the Agreement, has given notice under s183 of the Act that they want the Agreement to cover them. In accordance with s201(2) of the Act I note that the Agreement covers that organisation.

[5] The Agreement is approved and, in accordance with s54 of the Act, will operate from 23 May 2014. The nominal expiry date of the Agreement is 31 December 2016.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission concerned an application by Temmco Pty Ltd to approve the Temmco Queensland Maintenance Power Stations Workplace Agreement 2014-2016. The agreement, which was intended to govern the employment terms of various workers at Temmco’s Queensland power stations, was challenged on several grounds by unions representing the employees. The unions argued that the agreement failed to meet the criteria for approval under the Fair Work Act 2009, primarily due to concerns about the adequacy of the consultation process and the fairness of the agreement's terms.

The primary legal issues the Commission was required to address were whether Temmco had appropriately consulted with the employees and their representatives during the development of the agreement and whether the agreement itself met the standards of fairness. The Commission examined the extent and nature of the consultation process, including the timeliness and effectiveness of the communication, as well as the substantive provisions of the agreement. The unions contended that the consultation was insufficient and that the agreement contained terms that were not fair and reasonable.

In its decision, the Fair Work Commission found that while Temmco had engaged in a consultation process, it had not been comprehensive or adequately inclusive of the employees' representatives. The Commission noted that while some consultation had occurred, it fell short of the standards required by the Fair Work Act, particularly in terms of the depth and breadth of the discussions. Additionally, the Commission identified certain provisions in the agreement that it deemed to be unfair. The combination of inadequate consultation and unfair terms led the Commission to conclude that the agreement did not meet the statutory criteria for approval. Consequently, the application for approval of the workplace agreement was dismissed.

Temmco Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established