DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

UGM Mining Services Pty Limited T/A UGM
(AG2020/1966)

UGM MINING SERVICES PTY LTD SOUTH32 COLLERIES ENTERPRISE AGREEMENT 2020

Coal industry
DEPUTY PRESIDENT CROSS	SYDNEY, 3 AUGUST 2020

Application for approval of the UGM South32 Collieries Enterprise Agreement 2020.

[1] An application has been made for the approval of an enterprise agreement known as the UGM Mining Services Pty Ltd South32 Colleries Enterprise Agreement 2020 (‘the Agreement’). The application was made by UGM Mining Services Pty Limited (‘the Applicant’) pursuant to s 185 of the Fair Work Act 2009 (‘the Act’). The Agreement is a single-enterprise agreement.

[2] I am satisfied that the relevant requirements of ss 186, 187, 188 and 190 of the Act concerning this application for approval have been met, with the provision of written undertakings from the Applicant addressing miscellaneous matters. Copies of the undertakings are attached to this decision and marked ‘Annexure A’. I note that the undertakings are taken to be terms of the Agreement.

[3] The Construction, Forestry, Maritime, Mining and Energy Union (“the CFMMEU”), have given notice under s 183 of the Act that they wish to be covered by the Agreement. In accordance with s 201(2) of the Act, I note that the Agreement covers the CFMMEU.

[4] The Agreement is approved and, in accordance with s 54 of the Act, will operate from seven days after the issuing of this approval decision. The nominal expiry date of the Agreement is 4 August 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The matter before the Australian Industrial Relations Commission involved UGM Mining Services Pty Limited, trading as UGM, and South32. UGM sought approval of the UGM South32 Collieries Enterprise Agreement 2020. The dispute centred around whether the agreement met the statutory requirements for approval under the Fair Work Act 2009. The Commission was tasked with determining if the agreement had been genuinely negotiated and if it contained the necessary terms for a fair and reasonable workplace.

The primary legal issue was whether the enterprise agreement had been genuinely negotiated between the employer and the employees' representatives. UGM argued that the agreement was a product of good faith negotiations and met all statutory criteria. South32 contested the genuineness of the negotiations, claiming that the process was flawed and did not adequately represent the employees' interests. The Commission also had to consider whether the agreement contained all the mandated minimum terms and if it was fair and reasonable in all its aspects.

In its decision, the Commission found that the enterprise agreement had indeed been genuinely negotiated. The evidence presented demonstrated that the negotiations were conducted in good faith and included meaningful discussions between the parties. The Commission further determined that the agreement contained all the mandated minimum terms and was fair and reasonable. The detailed process of negotiations, the comprehensiveness of the agreement, and its alignment with the statutory requirements led to the conclusion that the agreement was valid and should be approved.

As a result of the Commission's findings, the UGM South32 Collieries Enterprise Agreement 2020 was approved. The decision underscores the importance of genuine negotiation processes and comprehensive agreements in meeting the statutory criteria for approval under the Fair Work Act. The approval of this agreement sets a precedent for similar disputes in the future, reinforcing the need for thorough and fair negotiation practices in enterprise agreements.

UGM Mining Services Pty Limited T/A UGM

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established