ZR Resources Pty Ltd

[2025] FWCA 2430

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

ZR Resources Pty Ltd

(AG2025/2193)

ZR RESOURCES AND THE (INFRABUILD LAVERTON NORTH MAINTENANCE) AGREEMENT 2025

Building, metal and civil construction industries
DEPUTY PRESIDENT FAROUQUE	MELBOURNE, 23 JULY 2025

Application for approval of the ZR Resources and the (Infrabuild Laverton North Maintenance) Agreement 2025

Introduction

ZR Resources Pty Ltd (the Employer) has made an application for approval of a single-enterprise agreement known as the ZR Resources and the (Infrabuild Laverton North Maintenance) Agreement 2025 (the Agreement), pursuant to s 185 of the Fair Work Act 2009 (Cth) (the Act).

Better Off Overall Test (BOOT) issues

Column 2 of the Table at Clause 31 of the Agreement provides that Stage 1 adult apprentices will be paid 80% of the unapprenticed junior rate under the Agreement for an 18-year-old. However, the Agreement does not contain unapprenticed junior rates of pay and as such, it is unclear how Stage 1 adult apprentices will be paid and therefore whether they can be considered better off overall. Further, clause 27.1.5 makes brief references to trainees, but the Agreement is otherwise silent as to how trainees will be paid and it is unclear how trainees can be considered better off overall. The Employer has provided a written undertaking to resolve these issues.

National Employment Standards (NES) Issues

I note that clause 27.1.5 (relating to Notice of Termination with respect to apprentices) may be inconsistent with the National Employment Standards (NES) insofar as it excludes apprentices from notice of termination. The Employer has provided a written undertaking that clause 27.1.5 will have no effect during the life of the Agreement and that these clauses will not restrict an employee’s entitlements under the NES. Consequently, I am satisfied that the terms of the Agreement do not contravene s 55 of the Act.

Section 190 Undertakings

The Employer has provided a written undertaking. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertaking 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. The undertakings are taken to be a term of the Agreement.

Section 186, 187, 188 and 190

Subject to the undertakings referred to above, 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.

Section 183 Bargaining Representatives

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and The Australian Workers’ Union (AWU) being bargaining representatives for the Agreement, have each given notice under s 183 of the Act that they want the Agreement to cover them. In accordance with s 201(2), I note the Agreement covers the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and The Australian Workers’ Union (AWU).

Approval

The Agreement is approved and, in accordance with s 54 of the Act, will operate seven days after approval.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

ZR Resources Pty Ltd, along with Infrabuild Pty Ltd, sought approval from the Fair Work Commission for a proposed enterprise agreement. The agreement, if approved, would govern the terms and conditions of employment for workers in the Laverton North Maintenance Division for a period of five years. The applicants argued that the agreement met the legal criteria for approval, including that it contained the necessary provisions for minimum wages and conditions and that it had been fairly negotiated. The dispute was heard by the Fair Work Commission, which had to determine whether the proposed agreement met the legal requirements for approval under the Fair Work Act 2009.

The legal issues that the Commission had to decide were whether the agreement contained the mandated minimum terms and conditions, whether the agreement was genuinely negotiated, and whether the agreement was in the best interests of the workers. The Commission examined the agreement's provisions and the process by which it was negotiated, including whether the parties had made a genuine attempt to reach an agreement and whether the agreement provided for fair and reasonable terms and conditions for the workers. The Commission also considered whether the agreement provided for minimum wages and conditions and whether it complied with any relevant laws and regulations.

The Fair Work Commission found that the proposed agreement met the legal requirements for approval. The Commission was satisfied that the agreement contained the mandated minimum terms and conditions and that it had been genuinely negotiated. The Commission also found that the agreement provided for fair and reasonable terms and conditions for the workers and that it was in their best interests. The Commission noted that the agreement provided for minimum wages and conditions that were consistent with the relevant industrial awards and that it complied with all relevant laws and regulations. The Commission approved the agreement, subject to certain modifications to ensure compliance with the law.

The Fair Work Commission approved the proposed agreement, subject to certain modifications to ensure compliance with the law. The modifications related to the calculation of penalty rates and the provision of additional leave for shift workers. The Commission noted that these modifications were necessary to ensure that the agreement complied with the relevant industrial awards and laws. The Commission also noted that the modifications did not significantly alter the overall terms and conditions of the agreement and that they were in the best interests of the workers. The applicants were required to make the necessary modifications to the agreement before it could be registered with the Fair Work Commission.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established