DECISION

Fair Work Act 2009
s.185—Enterprise agreement

AGI Engineering Wollongong Pty Limited
(AG2018/5365)

AGI ENGINEERING WOLLONGONG PTY LIMITED ENTERPRISE AGREEMENT 2018-2021

Manufacturing and associated industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 8 MAY 2019

Application for approval of the AGI Engineering Wollongong Pty Limited Enterprise Agreement 2018-2021

[1] AGI Engineering Wollongong Pty Limited has made an application for approval of an enterprise agreement known as the AGI Engineering Wollongong Pty Limited Enterprise Agreement 2018-2021 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). 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.

[3] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, 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] Pursuant to s 205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] 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) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[6] The Agreement was approved on 8 May 2019 and, in accordance with s 54, will operate from 15 May 2019. The nominal expiry date of the Agreement is 31 December 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicant, AGI Engineering Wollongong Pty Limited, sought approval of their Enterprise Agreement 2018-2021 under the Fair Work Act 2009. The application was brought before the Fair Work Commission (FWC), an Australian federal court with jurisdiction over workplace relations matters. The agreement in question was made between the company and the Construction, Forestry, Maritime, Mining and Energy Union, representing the employees. The nature of the dispute was whether the agreement met the statutory requirements for approval, including being "better off overall" for the employees.

The key legal issues before the court involved whether the proposed agreement provided employees with a sufficient improvement in their conditions compared to their previous agreements. The court had to consider various factors, including wage increases, changes to working conditions, and any other benefits or detriments that would affect the employees' overall financial position. Additionally, the court needed to determine whether the agreement complied with the "better off overall test" as stipulated by the Fair Work Act.

In reaching its decision, the FWC examined the specifics of the proposed agreement, including the financial and non-financial benefits provided to the employees. The court found that the agreement provided for wage increases, improvements in working conditions, and additional benefits that outweighed any potential detriments. The FWC concluded that the agreement met the "better off overall" test and was thus fair and reasonable. The court approved the agreement, finding that it was in the best interests of the employees and compliant with the statutory requirements. The final orders included the approval of the Enterprise Agreement 2018-2021 between AGI Engineering Wollongong Pty Limited and the Construction, Forestry, Maritime, Mining and Energy Union.

AGI Engineering Wollongong Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established