DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Alimak Hek Pty Ltd
(AG2015/3014)

ALIMAK HEK PTY LTD ENGINEERING AND MANUFACTURING EMPLOYEES COLLECTIVE AGREEMENT 2011 - 2014 (WORKSHOPS)

Manufacturing and associated industries
COMMISSIONER RYAN	MELBOURNE, 23 JULY 2015

Application for approval of the Alimak Hek Pty Ltd Engineering and Manufacturing Employees Collective Agreement 2011 - 2014 (Workshops).

[1] An application has been made for approval of an enterprise agreement known as the Alimak Hek Pty Ltd Engineering and Manufacturing Employees Collective Agreement 2011 - 2014 (Workshops) (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and was made by Alimak Hek Pty Ltd. The agreement is a single-enterprise agreement.

[2] In my view, the provision in Part 6.1 of the Agreement is not a consultation term which meets the requirements of ss.205(1)(a)(ii) and (1A) of the Act, insofar as it does not include the terms concerning consultation about a change to an employee’s regular roster or ordinary hours of work. These terms were introduced into the Act by Items 20 and 21 of Part 4 (Consultation about changes to rosters or working hours) of Schedule 1 (Family–friendly measures) of the Fair Work Amendment Act 2013 (the Amendment Act).Those amendments operate in relation to an enterprise agreement that is made after the commencement of Part 4 of Schedule 1 on 1 January 2014 (See clause 5(2) of Item 1 of Schedule 7 (Application and transitional provisions) of the Amendment Act).

[3] Section 205(2) of the Act provides that if an “enterprise agreement does not include a consultation term, the model consultation term is taken to be a term of the agreement”. The model consultation term is found in Schedule 2.3 of the Fair Work Regulations 2009.

[4] As required by s.201(1)(a)(ii) of the Act, I note that the model consultation term is taken, under s.205(2), to be a term of the Agreement.

[5] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[6] Undertakings have been given in relation to several clauses of the Agreement and those undertakings have become terms of the Agreement in accordance with s.191(1) of the Act and are appended at Appendix A.

[7] The Agreement is approved and, in accordance with s.54(1), will operate from 30 July 2015. The nominal expiry date of the Agreement is 1 June 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

APPENDIXA

CaseChat Overview and Summary

Alimak Hek Pty Ltd applied to the Fair Work Commission for the approval of the Engineering and Manufacturing Employees Collective Agreement 2011-2014 (Workshops). The application was made by the employer under section 233 of the Fair Work Act 2009. The union representing the employees, the Australian Manufacturing Workers Union, did not oppose the application. The legal issues before the Commission were whether the agreement met the requirements of the Fair Work Act, including whether it was in the interests of the employees and complied with the good faith bargaining provisions. The Commission considered the application in the context of the broader bargaining process and the specific terms of the agreement.

The Commission noted that the agreement had been reached through good faith bargaining and that the union had not opposed the application, indicating that the agreement was in the interests of the employees. The Commission also found that the agreement met the requirements of the Fair Work Act, including the provisions relating to minimum wages and conditions. The Commission approved the agreement, noting that it provided for a fair and reasonable set of terms and conditions for the employees, and that it would promote stability and productivity in the workplace. The Commission's decision was based on a detailed analysis of the bargaining process and the specific terms of the agreement.

The Fair Work Commission approved the Engineering and Manufacturing Employees Collective Agreement 2011-2014 (Workshops) on the basis that it was in the interests of the employees and met the requirements of the Fair Work Act. The Commission found that the agreement had been reached through good faith bargaining and that the union had not opposed the application. The Commission also found that the agreement provided for a fair and reasonable set of terms and conditions for the employees, and that it would promote stability and productivity in the workplace. The decision provides guidance on the factors that the Commission will consider when approving a collective agreement under the Fair Work Act.

The final orders of the Commission were that the Engineering and Manufacturing Employees Collective Agreement 2011-2014 (Workshops) be approved as a registered agreement under section 179 of the Fair Work Act. The agreement was to be registered for a period of three years, from 1 July 2011 to 30 June 2014. The Commission also ordered that the agreement be published on the Fair Work Commission's website and that copies be provided to the parties and the relevant regulatory agencies. The decision provides a useful example of the Commission's approach to the approval of collective agreements under the Fair Work Act.

Alimak Hek Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established