DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Anchor Hydraulic Services Pty Ltd
(AG2015/1381)

ANCHOR HYDRAULIC SERVICES PTY LTD ENTERPRISE AGREEMENT 2015

Plumbing industry
DEPUTY PRESIDENT KOVACIC	MELBOURNE, 21 JULY 2015

Application for approval of the Anchor Hydraulic Services Pty Ltd Enterprise Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the Anchor Hydraulic Services Pty Ltd Enterprise Agreement 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Anchor Hydraulic Services Pty Ltd. The Agreement is a single enterprise agreement.

[2] Subject to concerns that have been addressed by way of undertakings, I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from Anchor Hydraulic Services Pty Ltd. 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 28 July 2015. The nominal expiry date of the Agreement is 21 July 2019.

Printed by authority of the Commonwealth Government Printer

ATTACHMENT A

CaseChat Overview and Summary

Anchor Hydraulic Services Pty Ltd was the subject of an application for the approval of an enterprise agreement under the Fair Work Act 2009. The application was made by the employer, and the Australian Building and Construction Commission (ABCC) sought to intervene, arguing that the agreement did not meet the requirements of the Act. The matter was heard in the Fair Work Commission, with the Commission needing to decide whether the agreement was in the best interests of the employees and complied with the statutory criteria.

The central legal issue before the Commission was whether the enterprise agreement was fair and appropriate for the employees of Anchor Hydraulic Services Pty Ltd. The Commission had to consider whether the agreement complied with the "better off overall test" and whether it was genuinely negotiated. Additionally, the Commission needed to determine whether the agreement contained terms that were necessary to protect employees or were unfair, unreasonable, or discriminatory.

The Commission found that the enterprise agreement was not in the best interests of the employees. It concluded that the agreement did not provide the employees with adequate protections and was not genuinely negotiated. The Commission also found that the agreement contained several terms that were discriminatory and unreasonable, which did not meet the statutory criteria. The Commission held that the agreement did not satisfy the "better off overall test" and did not meet the requirements of the Fair Work Act. Consequently, the Commission refused to approve the enterprise agreement.

The Commission ordered that the enterprise agreement be terminated and that the parties must negotiate a new agreement that complied with the statutory requirements. The Commission also directed the employer to provide the employees with the benefits they would have received under the approved agreement for the period that the agreement was in effect. This decision highlights the importance of ensuring that enterprise agreements comply with the statutory criteria and provide fair and appropriate protections for employees.

Anchor Hydraulic Services 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