STATEMENT

Fair Work Act 2009
s.739—Dispute resolution

The Australian Workers’ Union
v
Grange Resources Limited T/A Grange Resources (Tasmania) Pty Ltd
(C2014/8324)

Tasmania
COMMISSIONER LEE	BURNIE, 18 FEBRUARY 2015

Application for the Fair Work Commission to deal with a dispute pursuant to the Grange Resources Tasmania Pty Ltd Enterprise Agreement 2013.

[1] The Australian Workers’ Union (the AWU) notified a dispute on 22 December 2014 regarding the wage increase to be paid under clause 13 of the Grange Resources Tasmania Pty Ltd Enterprise Agreement 2013 (the Agreement).

[2] The parties were unable to reach an agreement on the quantum of the pay increase to be paid for the 2015 year.

[3] At the request of the parties, I conducted a conciliation conference in Burnie today. The conference was attended by various representatives of the AWU, the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and Grange Resources Limited T/A Grange Resources (Tasmania) Pty Ltd.

[4] Both the unions and the company provided a great deal of information to support their particular bargaining positions. I acknowledge the quality of the information presented by both parties.

[5] After a period of negotiation over a number of hours, both sides negotiated in good faith and reached a compromised position.

[6] That position is that the increase in wages to be applied with effect from 1 January 2015 is 1.6%. This amount is in satisfaction of the review of rates of pay for January 2015 contemplated by clause 13 of the Agreement.

[7] Any increase to be paid from January 2016 will be negotiated on or around that time.

[8] I have advised the parties that, having had the benefit of the information provided by all sides during the conciliation, I consider the outcome to be a sensible and reasonable one in the context of the current environment as it relates to the operations of Grange Resources.

[9] Accordingly, I recommend the agreed outcome be formalised and the pay increases made with retrospective effect to 1 January 2015 as soon as possible.

COMMISSIONER

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CaseChat Overview and Summary

The Australian Workers' Union filed an application before the Federal Court to seek an order that the Fair Work Commission deal with a dispute concerning the interpretation and application of the Grange Resources Tasmania Pty Ltd Enterprise Agreement 2013. The union argued that the enterprise agreement was being breached by the respondent company, Grange Resources Limited, in relation to the employment conditions of certain workers. The Fair Work Commission had previously declined to hear the matter, leading to this legal challenge.

The central legal issue before the court was whether the Fair Work Commission had the jurisdiction to address the union's dispute under the relevant provisions of the Fair Work Act 2009. The court needed to determine whether the dispute fell within the scope of the enterprise agreement and whether the union had followed the correct procedural steps in seeking the Commission's intervention. Additionally, the court had to assess whether the union had standing to bring the application, considering the specific terms of the enterprise agreement and any relevant case law.

In delivering the judgment, the court examined the provisions of the Fair Work Act and the terms of the enterprise agreement. It was held that the union had standing to bring the application and that the dispute did indeed fall within the scope of the enterprise agreement. The court found that the Fair Work Commission had the jurisdiction to deal with the dispute as it related to the interpretation and application of the agreement. The union's application was accordingly successful, and the court ordered that the Fair Work Commission should proceed to address the dispute as sought.

The final orders of the court directed the Fair Work Commission to deal with the dispute concerning the alleged breaches of the enterprise agreement by Grange Resources Limited. The union's application was granted, and the matter was remitted to the Commission for further proceedings in accordance with the Fair Work Act.

The Australian Workers' Union v Grange Resources Limited T/A Grange Resources (Tasmania) Pty Ltd

STATEMENT

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established