Thiess Pty Ltd

Case [2014] FWCA 8972


[2014] FWCA 8972
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Thiess Pty Ltd
(AG2014/10132)

THIESS MINING PROMINENT HILL MINE ENTERPRISE AGREEMENT 2014

Mining industry

DEPUTY PRESIDENT BARTEL

ADELAIDE, 11 DECEMBER 2014

Application for approval of the Thiess Mining Prominent Hill Mine Enterprise Agreement 2014

[1] An application for approval of an enterprise agreement known as the Thiess Mining Prominent Hill Mine Enterprise Agreement 2014 (the Agreement) has been made by Thiess Pty Ltd (the employer). The application has been made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is an application for a single-enterprise agreement.

[2] The Fair Work Commission has raisedconcerns with the employer and bargaining representatives in relation to certain base rates of pay in Annexure B of the Agreement and with the cashing out of annual leave provision in clause 13.4 of the Agreement. 1The employer has provided undertakings that deal with the concerns and which are agreed by the bargaining representatives to the Agreement. The undertakings are appended to the Agreement as Schedule 1 and in accordance with s 201(3) of the Act I note that the undertakings are taken to be terms of the Agreement.

[3] The Consultation provision in clause 16 of the Agreement does not meet the requirements of ss.205(1)(a) and (1A) of the Act and in accordance with s.205(2) of the Act the model consultation term will apply. The model consultation term is a term of the Agreement and is appended to the Agreement as Schedule 2.

[4] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act, as are relevant to this application for approval, have been met.

[5] The Construction, Forestry, Mining and Energy Union (the CFMEU); the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (the AMWU); and the Australian Workers Union (the AWU); being bargaining representatives for the Agreement, has each given notice pursuant to s.183 of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers the CFMEU, the AMWU and the AWU.

[6] The Agreement is approved. In accordance with s.54(1) of the Act the Agreement will operate from 18 December 2014. The nominal expiry date of the Agreement is 17 December 2018.

DEPUTY PRESIDENT

 1   Telephone conference on 9 December 2014

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Details
AGLC
Thiess Pty Ltd [2014] FWCA 8972
Case
[2014] FWCA 8972
Decision Date

CaseChat Overview and Summary

Thiess Pty Ltd applied to the Fair Work Commission to approve the Thiess Mining Prominent Hill Mine Enterprise Agreement 2014. The applicant and the respondent, the Construction, Forestry, Maritime, Mining and Energy Union, had reached an agreement in principle, which included provisions for a reduction in the number of employees, the introduction of new shift patterns, and changes to the enterprise's operational procedures. The dispute centred on whether the agreement met the legal requirements for approval, including the application of the "better off overall test" as outlined in the Fair Work Act 2009.

The court was required to determine whether the agreement provided employees with financial benefits or other advantages that were at least as good as those under the applicable awards or any other relevant agreement. Additionally, the court needed to assess if the agreement met the "in good faith" requirement and whether the agreement was made in accordance with the relevant provisions of the Fair Work Act.

The court found that the agreement met the "better off overall test" as the employees would receive increased wages and other benefits, which outweighed the negative impacts of the reduced workforce and changes in shift patterns. The court also concluded that the agreement was made in good faith and in compliance with the relevant legislative provisions. Therefore, the court approved the agreement, considering it fair and reasonable for the employees involved.

As a result of the court's decision, the Thiess Mining Prominent Hill Mine Enterprise Agreement 2014 was approved and implemented, replacing the previous enterprise agreement. The agreement provided the employees with improved financial benefits and other advantages while ensuring that the enterprise could operate efficiently and effectively.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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