DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Wambo Coal Pty Limited T/A Peabody Energy Australia
(AG2018/7093)

WAMBO COAL, COAL HANDLING & PREPARATION PLANT ENTERPRISE AGREEMENT 2018

Coal industry
COMMISSIONER JOHNS	SYDNEY, 4 MARCH 2019

Application for approval of the Wambo Coal, Coal Handling & Preparation Plant Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Wambo Coal, Coal Handling & Preparation Plant Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Wambo Coal Pty Limited T/A Peabody Energy Australia. The Agreement is a single enterprise agreement.

[2] The Employer has provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement.

[3] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] The Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 11 March 2019. The nominal expiry date of the Agreement is 1 December 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, Wambo Coal Pty Limited, trading as Peabody Energy Australia, applied for the approval of the Wambo Coal, Coal Handling & Preparation Plant Enterprise Agreement 2018. The matter arose due to a dispute concerning the terms and conditions of employment for the workers under the proposed agreement. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009, particularly in relation to the provisions that ensure fair and reasonable terms and conditions for employees.

The primary legal issue before the Commission was whether the proposed enterprise agreement provided for fair and reasonable terms and conditions of employment. This involved assessing if the agreement met the "better off overall test" (BOOT), which requires that employees be no worse off financially under the new agreement than they would be under the applicable award or existing enterprise agreement. The Commission also had to consider if the agreement contained terms that were consistent with the objectives of the Act, such as promoting high levels of employment, job security, and productivity.

The Fair Work Commission found that the proposed agreement met the requirements for approval under the Fair Work Act. The Commission determined that employees would not be worse off financially and that the agreement included terms that promoted job security and productivity. Furthermore, the Commission was satisfied that the agreement contained appropriate mechanisms for resolving disputes and ensuring that employees' rights were protected. Consequently, the Commission approved the Wambo Coal, Coal Handling & Preparation Plant Enterprise Agreement 2018.

The Commission ordered that the Wambo Coal, Coal Handling & Preparation Plant Enterprise Agreement 2018 be approved and registered with the Fair Work Commission. This approval ensures that the terms and conditions of employment for the workers under the agreement are legally binding and enforceable. The decision highlights the importance of ensuring that enterprise agreements align with the objectives of the Fair Work Act while also providing fair and reasonable terms for employees.

Wambo Coal Pty Limited T/A Peabody Energy Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established