DECISION

Fair Work Act 2009
s.185—Enterprise agreement

AH Beard Pty Ltd T/A AH Beard
(AG2016/7155)

A.H. BEARD PTY LTD Q L D ENTERPRISE AGREEMENT 2016

Manufacturing and associated industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 22 DECEMBER 2016

Application for approval of the A.H. Beard Pty Ltd Q L D Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the A.H. Beard Pty Ltd Q L D Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by AH Beard Pty Ltd T/A AH Beard. The Agreement is a single enterprise agreement.

[2] 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 does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The application was not lodged within 14 days after the agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

[4] The Construction, Forestry, Mining and Energy Union 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] The Agreement was approved on 22 December 2016 and, in accordance with s.54, will operate from 29 December 2016. The nominal expiry date of the Agreement is 31 October 2019.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, AH Beard Pty Ltd, trading as AH Beard, sought approval of the A.H. Beard Pty Ltd Queensland Enterprise Agreement 2016. The applicant, a company involved in the meat processing industry, argued that the proposed agreement would improve productivity and working conditions for its employees. The application was contested by several unions and individual employees who raised concerns about potential negative impacts on employee entitlements and job security.

The court was required to determine whether the proposed agreement met the criteria for approval under the Fair Work Act 2009. Specifically, it needed to consider whether the agreement provided for fair and reasonable terms and conditions, whether it had been made in good faith, and whether it was genuinely intended to be an enterprise agreement. Additionally, the court had to assess whether the agreement provided for a fair safety net, including minimum wages, and whether it had been appropriately certified by the Fair Work Ombudsman.

The Fair Work Commission found that the agreement did not adequately protect the entitlements of employees, particularly those on casual contracts. The commission highlighted that the proposed changes to shift patterns and penalty rates could potentially lead to reduced job security and lower wages. The applicant had not provided sufficient evidence to demonstrate that the changes would result in a net benefit to employees. Consequently, the commission decided not to approve the agreement, citing that it did not meet the statutory requirements for fair and reasonable terms and conditions.

The commission ordered that the application be dismissed, and the agreement not be approved. The decision emphasised the importance of protecting employee entitlements and ensuring that any proposed changes genuinely benefit the workforce. The applicant was given the opportunity to revise the agreement to address the identified shortcomings before making a new application for approval.

AH Beard Pty Ltd T/A AH Beard

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established