Actron Engineering Pty Ltd T/A Actronair

[2023] FWCA 4110

The attached document replaces the document previously issued with the above code on 5 December 2023.

The title has been corrected to reflect the title clause in the Agreement.

Associate to Deputy President Grayson

Dated 31 July 2024

[2023] FWCA 4110

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Actron Engineering Pty Ltd T/A Actronair

(AG2023/4280)

ACTRON ENGINEERING PTY LTD ENTERPRISE AGREEMENT 2023

Manufacturing and associated industries
DEPUTY PRESIDENT GRAYSON	SYDNEY, 5 DECEMBER 2023

Application for approval of the Actron Engineering Pty Ltd Enterprise Agreement 2023

Actron Engineering Pty Ltd T/A Actronair (the Employer) has made an application for approval of an enterprise agreement known as the Actron Engineering Pty Ltd Enterprise Agreement 2023 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 10 August 2023, and the Agreement was made on 1 November 2023. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

Flexibility term

The flexibility clause contained at clause 8 of the Agreement does not meet the requirements of s.203 of the Act.

On 30 November 2023, the Employer wrote to the Fair Work Commission stating that it was content for clause 8 of the Agreement to be replaced with the model flexibility term prescribed at Schedule 2.2 of the Fair Work Regulations 2009 (the Regulations).

Accordingly, the model flexibility term at Schedule 2.2 of the Regulations will be taken to be a term of the Agreement, pursuant to s.202(4) of the Act. A copy of the model flexibility term is attached at Annexure A of this decision.

Sections 186, 187 and 188

I am satisfied that each of the requirements of ss.186, 187, and 188 as are relevant to this application for approval have been met.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 December 2023. The nominal expiry date of the Agreement is 12 December 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

The case before the Fair Work Commission was an application by Actron Engineering Pty Ltd, trading as Actronair, for approval of their 2023 enterprise agreement. The agreement was submitted under section 232 of the Fair Work Act 2009. The dispute centred on whether the proposed agreement met the legislative requirements for approval, including the provision of a fair and reasonable agreement that addressed the interests of both employees and the employer.

The key legal issues before the court were whether the agreement provided for fair and reasonable terms and conditions for employees and whether it complied with the Fair Work Act. The court needed to assess if the agreement included all the mandatory minimum terms and conditions as required by the Act and if it met the criteria for being a fair and reasonable agreement. Additionally, the court considered whether the agreement adequately represented the interests of both parties and if any provisions unfairly disadvantaged any party.

In reaching its decision, the court examined the contents of the agreement in detail, considering the provisions related to wages, working conditions, dispute resolution, and other employment terms. The court noted that the agreement included all the mandatory minimum terms and conditions and was comprehensive in addressing various aspects of employment. The court found that the agreement was fair and reasonable, providing a balanced approach that considered the interests of both employees and the employer. The court also concluded that the agreement did not unfairly disadvantage any party and met the legislative requirements for approval.

Following its assessment, the court approved the Actron Engineering Pty Ltd Enterprise Agreement 2023. The court's decision confirmed the agreement as compliant with the Fair Work Act and suitable for implementation, ensuring that it would provide a fair framework for the employment relationship between the parties.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established