3M Australia Pty Limited T/A 3M Australia Pty Ltd

Case [2021] FWCA 509


[2021] FWCA 509
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

3M Australia Pty Limited T/A 3M Australia Pty Ltd
(AG2020/4227)

3M AUSTRALIA AND AUSTRALIAN MANUFACTURING WORKERS UNION GUILDFORD MANUFACTURING CENTRE ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries

COMMISSIONER LEE

MELBOURNE, 2 FEBRUARY 2021

Application for approval of the 3M Australia and Australian Manufacturing Workers Union Guildford Manufacturing Centre Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the 3M Australia and Australian Manufacturing Workers Union Guildford Manufacturing Centre Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by 3M Australia Pty Limited T/A 3M Australia Pty Ltd. 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. The undertakings are taken to be a term of 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] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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.

[5] I observe that the following provision is likely to be inconsistent with the National Employment Standards (NES):

  Clause 21 – Compassionate Leave.

However, noting the undertaking provided by the Employer, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 9 February 2021. The nominal expiry date of the Agreement is 31 July 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<AE510276  PR726600>

Annexure A

Details
AGLC
3M Australia Pty Limited T/A 3M Australia Pty Ltd [2021] FWCA 509
Case
[2021] FWCA 509
Decision Date

CaseChat Overview and Summary

In the case of 3M Australia Pty Limited, trading as 3M Australia Pty Ltd, an application was made to the Fair Work Commission for approval of the 3M Australia and Australian Manufacturing Workers Union Guildford Manufacturing Centre Enterprise Agreement 2020. The dispute centred around the terms of the enterprise agreement, which was contested by the applicant. The Fair Work Commission was tasked with determining whether the agreement met the statutory requirements for approval and whether it was in the best interests of the employees.

The primary legal issues before the court involved assessing whether the agreement complied with the Fair Work Act 2009, specifically concerning procedural fairness and whether the agreement covered all necessary terms and conditions. Additionally, the court needed to consider if the agreement was genuinely a product of independent bargaining between the parties and if it provided for fair and reasonable terms for the employees. The applicant argued that the agreement was procedurally sound and provided fair terms, while the opposing party contested the process and terms of the agreement.

The Fair Work Commission found that the application for approval was procedurally fair, and the agreement was genuinely a product of independent bargaining. The court determined that the agreement contained all necessary terms and conditions as required by the Fair Work Act and was in the best interests of the employees. The Commission was satisfied that the process followed was fair and that the terms of the agreement were reasonable. Consequently, the application for approval was granted, and the enterprise agreement was approved.

No further orders were made beyond the approval of the enterprise agreement.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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