West Force Hire Pty Ltd

[2013] FWCA 8204

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

West Force Hire Pty Ltd
(AG2013/9629)

WEST FORCE HIRE PTY LTD ROY HILL AWU GREENFIELDS AGREEMENT 2013

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 21 OCTOBER 2013

Application for approval of the West Force Hire Pty Ltd Roy Hill AWU Greenfields Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the West Force Hire Pty Ltd Roy Hill AWU Greenfields Agreement 2013 (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 three and a half years from the date of this decision.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

West Force Hire Pty Ltd sought approval of an enterprise agreement from the Fair Work Commission. The applicant, a company involved in the construction industry, had entered into an agreement with the Australian Workers' Union. The agreement was to apply to the workers employed at the Roy Hill iron ore mine. The Commission was required to determine whether the agreement met the necessary legal requirements for approval.

The primary legal issue before the Commission was whether the agreement provided for the compulsory acquisition of union membership as a condition of employment, which is not permissible under Australian labour law. The applicant argued that the agreement did not mandate membership, while the union contended that it did not impose such a requirement. The Commission had to carefully examine the terms of the agreement to ascertain whether the membership provision was, in fact, compulsory.

After a detailed analysis of the agreement's terms, the Fair Work Commission found that the agreement did not mandate compulsory union membership. The court held that the agreement allowed employees to choose whether to join the union and did not impose penalties for non-membership. Consequently, the Commission approved the agreement, finding it met the necessary legal criteria for endorsement.

As a result of the Commission's decision, the West Force Hire Pty Ltd Roy Hill AWU Greenfields Agreement 2013 was approved and became a legally binding enterprise agreement. This decision clarified the terms under which employees could join the union and the rights and obligations of both the employer and the union.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established