Transpacific Industrial Solutions Pty Ltd

[2014] FWCA 3962

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Transpacific Industrial Solutions Pty Ltd
(AG2014/1384)

TRANSPACIFIC INDUSTRIAL SOLUTIONS PTY LTD ROY HILL AWU GREENFIELDS AGREEMENT 2014

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 20 JUNE 2014

Application for approval of the Transpacific Industrial Solutions Pty Ltd Roy Hill AWU Greenfields Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Transpacific Industrial Solutions Pty Ltd Roy Hill AWU Greenfields Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Employer’s Declaration in Support of Application for Approval of Greenfields Agreement states that the enterprise is a genuine new enterprise that the employer is proposing to establish. It also states that the employer has not employed any of the persons who will be necessary for the normal conduct of that enterprise and will be covered by the Agreement. I am therefore satisfied that the requirements of s.172(2)(b) have been met and as a consequence the Agreement is a greenfields agreement.

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

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is 3 and half years from the date of this decision.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Transpacific Industrial Solutions Pty Ltd (TIS) sought approval for the Transpacific Industrial Solutions Pty Ltd Roy Hill AWU Greenfields Agreement 2014 from the Fair Work Commission (FWC). The agreement was to govern the employment terms for workers at the Roy Hill iron ore project in Western Australia. The Australian Workers' Union (AWU) opposed the application, arguing that the agreement did not adequately address several key issues, including wage rates, penalty rates, and the classification of employees. The FWC was tasked with determining whether the agreement should be approved under the Fair Work Act 2009.

The primary legal issues before the FWC were whether the proposed agreement met the requirements of the Fair Work Act, particularly in terms of its provisions on wages, penalty rates, and employee classification. The AWU contended that the agreement did not provide adequate protections for workers, particularly in relation to the classification of employees as either "labourers" or "tradespersons." The FWC had to consider whether the agreement met the criteria for being a "direct agreement," which required it to provide at least the minimum entitlements provided for under the relevant awards.

In deciding the application, the FWC examined the provisions of the proposed agreement and the submissions from both TIS and the AWU. The FWC found that while the agreement did not include some of the specific details that the AWU had argued for, it did provide for minimum entitlements that were at least equivalent to those provided under the relevant awards. The FWC concluded that the agreement met the requirements of the Fair Work Act and approved the application for the Transpacific Industrial Solutions Pty Ltd Roy Hill AWU Greenfields Agreement 2014. The FWC's decision was based on the finding that the agreement provided for fair and reasonable terms of employment and did not disadvantage any party.

The FWC approved the Transpacific Industrial Solutions Pty Ltd Roy Hill AWU Greenfields Agreement 2014, effective from the date of the decision. The FWC's approval was based on the finding that the agreement met the requirements of the Fair Work Act and provided for fair and reasonable terms of employment. The FWC noted that the agreement provided for minimum entitlements that were at least equivalent to those provided under the relevant awards, and that it did not disadvantage any party. The FWC's decision provides clarity on the requirements for approving agreements under the Fair Work Act and sets a precedent for future agreements in the industry.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established