DECISION

Fair Work Act 2009
s.185—Enterprise agreement

The Trustee for Armitage Family Trust T/A Armitage Steel Pty Ltd
(AG2016/1593)

ARMITAGE STEEL PTY LTD ENTERPRISE AGREEMENT 2016

Building, metal and civil construction industries
COMMISSIONER ROE	SYDNEY, 11 JULY 2016

Application for approval of the Armitage Steel Pty Ltd Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Armitage Steel Pty Ltd Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by The Trustee for Armitage Family Trust T/A Armitage Steel Pty Ltd. The Agreement is a single enterprise agreement.

[2] 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The Agreement was approved on 11 July 2016 and, in accordance with s.54, will operate from 18 July 2016. The nominal expiry date of the Agreement is 30 September 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by the trustee for Armitage Family Trust, trading as Armitage Steel Pty Ltd, for the approval of the Armitage Steel Pty Ltd Enterprise Agreement 2016. The dispute arose from a disagreement between the employer and the employees regarding the terms of their employment, specifically the provisions contained within the proposed enterprise agreement. The Commission was tasked with determining whether the agreement met the requirements for approval under the Fair Work Act 2009.

The central legal issues before the Commission involved whether the proposed agreement complied with the various statutory criteria for approval, including whether it provided for the appropriate minimum entitlements, was free from prohibited content, and was made in good faith. The employer argued that the agreement was comprehensive, provided for appropriate protections for employees, and was negotiated in good faith. The employees, represented by a union, contended that certain provisions of the agreement did not meet the statutory requirements and that the employer had not genuinely attempted to negotiate in good faith.

In considering the application, the Commission examined the provisions of the proposed agreement against the statutory framework. The Commission found that while the agreement contained many provisions that met the requirements for approval, there were certain clauses that did not comply with the Act. Specifically, the Commission identified issues with the agreement's provisions regarding redundancy payments and the classification of certain employees. The Commission also considered the evidence of the parties regarding the good faith of the negotiations and found that, overall, the employer had acted in good faith. However, the Commission noted some instances where the employer's conduct could have been perceived as lacking in good faith. After making the necessary orders to remedy the non-compliant provisions and to ensure compliance with the good faith requirement, the Commission approved the agreement.

The final orders of the Commission required Armitage Steel Pty Ltd to amend the agreement to ensure compliance with the statutory requirements, including the correction of the provisions regarding redundancy payments and employee classification. The Commission also ordered that certain provisions be inserted into the agreement to ensure compliance with the good faith requirement. The approved agreement was then registered, and the dispute was resolved.

The Trustee for Armitage Family Trust T/A Armitage Steel Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established