The EU objected to the approval of the operating services agreements because: the agreements underseed up to $50,000 on BHP coal mines directly employed, reduced crucial rights such as accident compensation and allowed workers to be transferred to one of the company`s mines across the country. What is the position of the RG agreements in relation to BHP`s location agreements? May 11, 2020The Australian union CFMEU Mining and Energy has appealed the approval of two enterprise agreements for workers employed by BHP`s internal human resources service provider Operations Services. The Fair Work Commission as a whole has granted CFMEU Mining and Energy`s appeal against the Commission`s approval of two enterprise agreements – the production of R OS and the maintenance contracts of R OS. According to the coal-mining union, BHP should apologise to its employees after the entire Fair Work Commission brought down Greater Australia`s attempt to call on its internal workforce that employs temporary workers. For months, the miner tried to allay the Commission`s concerns in order to obtain the approval of both agreements. Adam Hatcher, Vice-President of Fair Labour, and Vice-President Anna Booth said in a final ruling this week that BHP had not received the appropriate level of approval from the staff concerned prior to the agreements and therefore did not receive legal approval. The Commissioners agree with us that there is no real correspondence with workers and that the agreements should not pass the “best overall test” compared to the Black Coal Mining Industry Award. “The payment and terms of the services transaction agreements were well below the overtime and conditions for permanent miners at BHP`s sites, which have been negotiated for decades. It goes without saying that Operations Services employs employees under individual contracts, but these contracts must comply with the corresponding enterprise agreement for the site on which they work. BHP will continue to try to recruit about 100 new employees a week for its controversial Operations Services division, although the Fair Work Commission on Friday cancelled the employment contracts that underpin the new department. In a decision issued yesterday, the Fair Labour Committee as a whole said that two agreements on operations services had not actually been concluded and therefore could not be approved. However, unions have fought the model and said the new agreements have underestimated direct workers in BHP`s coal industry by up to $50,000 a year and eliminated crucial rights. The union initiative focused on BHP`s metallurgical coal mines at Bowen Basin in Queesnland, where CFMEU argued that Operational Services workers should receive the same wages and conditions for other higher workers.
Despite other comments from BHP over the past four months, the miner did not dispel the Commissioners` concerns that Operations Services staff were not overall “better off” compared to existing mining employment contracts.