Alsco Pty Ltd Summary

[2022] FWCA 615

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Alsco Pty Ltd

(AG2022/94)

ALSCO PTY LTD WOLLONGONG BRANCH PRODUCTION WORKERS ENTERPRISE AGREEMENT 2021

Dry cleaning and laundry services
COMMISSIONER P RYAN	SYDNEY, 22 FEBRUARY 2022

Application for approval of the Alsco Pty Ltd Wollongong Branch Production Workers Enterprise Agreement 2021

Alsco Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Alsco Pty Ltd Wollongong Branch Production Workers Enterprise Agreement 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Section 190 Undertakings

The Employer 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

Sections 186, 187, 188 and 190

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.

Section 183 Bargaining representative

The Australian Workers Union (the AWU), 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) of the Act, I note that the Agreement covers the AWU.

Approval

The Agreement is approved and, in accordance with s.54of the Act, will operate from 1 March 2022. The nominal expiry date of the Agreement is 30 December 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, Alsco Pty Ltd sought approval of the Wollongong Branch Production Workers Enterprise Agreement 2021. The respondents, the Wollongong Branch of the Production Workers Union, contested the approval on various grounds, primarily arguing that the agreement did not comply with certain statutory provisions under the Fair Work Act 2009. The legal issues centred on whether the agreement met the requirements for a valid enterprise agreement, including provisions related to minimum wages and entitlements, and whether it adequately provided for the rights and obligations of the parties.

The Commission examined the provisions of the agreement against the criteria set out in the Fair Work Act. The respondents contended that certain clauses relating to penalty rates and shift differentials were not adequately defined, thereby potentially impacting the workers' entitlements. Additionally, the respondents argued that the agreement did not sufficiently address the issue of redundancy payments and notice periods. After a thorough analysis, the Commission found that while there were some shortcomings in the agreement, they were not substantial enough to invalidate the entire agreement. The Commission held that the provisions were substantially compliant with the statutory requirements and approved the agreement with minor amendments to address the identified deficiencies.

The Commission ordered that the agreement be approved with conditions, including the requirement for Alsco Pty Ltd to implement the agreed-upon changes to the clauses regarding penalty rates and shift differentials. The parties were directed to work together to finalise these changes within a specified timeframe. The decision underscored the importance of ensuring that enterprise agreements fully comply with the legislative framework while also recognising the practical considerations of workplace bargaining.

Alsco Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established