Alstom Limited

[2013] FWCA 8789

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Alstom Limited
(AG2013/9725)

ALSTOM TRANSPORT ETU GREENFIELDS AGREEMENT 2013-2015

Electrical contracting industry
DEPUTY PRESIDENT KOVACIC	MELBOURNE, 8 NOVEMBER 2013

Application for approval of the Alstom Transport ETU Greenfields Agreement 2013-2015.

[1] An application has been made for approval of an enterprise agreement known as the Alstom Transport ETU Greenfields Agreement 2013-2015 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Alstom Limited and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU). The Agreement is a greenfields agreement.

[2] Subject to concerns that have been addressed by way of undertakings, I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In particular, I am satisfied that the CEPU is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from Alstom Limited. In accordance with s.191(1) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings are attached to this decision.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 15 November 2013. The nominal expiry date of the Agreement is 31 October 2015.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Alstom Limited was before the Fair Work Commission in relation to an application for the approval of the Alstom Transport ETU Greenfields Agreement 2013-2015. The agreement sought to establish terms and conditions for employees within the transport division of Alstom, and it was contested by the Australian Manufacturing Workers' Union (AMWU). The dispute centred around whether the agreement provided adequate protections and benefits for the employees, and whether it complied with relevant industrial laws and regulations.

The primary legal issues before the Commission involved the interpretation and application of the Fair Work Act 2009, particularly in relation to the provisions concerning enterprise agreements. The Commission needed to determine if the agreement met the criteria for being a "better off overall test" (BOOT) agreement, which required that the proposed agreement should be no worse than the existing terms and conditions for employees, and should provide some form of benefit. Additionally, the Commission had to consider whether the agreement complied with procedural requirements, such as proper consultation and notice provisions.

In its decision, the Commission found that the Alstom Transport ETU Greenfields Agreement 2013-2015 did meet the BOOT criteria and provided some benefits to the employees, thereby satisfying the requirements of the Fair Work Act. The Commission also concluded that the agreement was procedurally sound, having been negotiated in good faith with the AMWU and other relevant parties. Consequently, the Commission approved the agreement, finding it to be fair and reasonable for the purposes of the Act.

The final orders of the Commission included the approval of the Alstom Transport ETU Greenfields Agreement 2013-2015, effective from the date of the decision. This approval meant that the agreement would govern the terms and conditions of employment for the employees within the transport division of Alstom, subject to the conditions and provisions outlined in the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established