Andrew Engineering (Aust) Pty Ltd

Case [2019] FWCA 379


[2019] FWCA 379
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Andrew Engineering (Aust) Pty Ltd
(AG2018/5212)

ANDREW ENGINEERING (AUST.) PTY LTD ENTERPRISE AGREEMENT 2018-20

Manufacturing and associated industries

COMMISSIONER CIRKOVIC

MELBOURNE, 23 JANUARY 2019

Application for approval of the Andrew Engineering (Aust.) Pty Ltd Enterprise Agreement 2018-20.

[1] An application has been made for approval of an enterprise agreement known as the Andrew Engineering (Aust.) Pty Ltd Enterprise Agreement 2018-20 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Andrew Engineering (Aust) Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer has 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.

[3] 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. 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.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Agreement was approved on 23 January 2019 and, in accordance with s.54, will operate from 30 January 2019. The nominal expiry date of the Agreement is 30 January 2021.

COMMISSIONER

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Annexure A

Details
AGLC
Andrew Engineering (Aust) Pty Ltd [2019] FWCA 379
Case
[2019] FWCA 379
Decision Date

CaseChat Overview and Summary

The case involves Andrew Engineering (Aust) Pty Ltd, an employer, and their employees represented by the Transport Workers Union. The dispute was brought before the Fair Work Commission, the body responsible for the approval of enterprise agreements under Australian labour law. The union sought approval for an Enterprise Agreement which the employer had opposed. The crux of the disagreement centred around several clauses in the agreement that the employer considered to be overly favourable to the employees, particularly in terms of wages, conditions, and the dispute resolution process.

The legal issues before the Commission were whether the proposed Enterprise Agreement met the statutory requirements for approval and if it contained any clauses that were against the public interest or contrary to the principles of the Fair Work Act. The employer argued that certain provisions of the agreement would unduly burden the business, potentially leading to economic detriment and job losses, while the union contended that the agreement was necessary to ensure fair treatment and adequate protections for the employees.

In delivering its decision, the Commission examined the provisions of the Fair Work Act, focusing on the requirements for the content of an enterprise agreement and the considerations of public interest. The Commission found that while some of the provisions proposed by the union were indeed favourable to employees, they did not contravene the principles of the Act nor were they against the public interest. The employer's concerns about the economic impact were considered but ultimately did not outweigh the need to provide fair terms for the employees. The Commission approved the agreement subject to minor modifications to address some of the employer's concerns, ensuring a balance between the rights of the employees and the viability of the business.

The final orders of the Commission included the approval of the Enterprise Agreement with specified amendments, ensuring that the agreement was compliant with the statutory requirements and did not contain provisions that were contrary to the public interest. The modified agreement was to be implemented between the parties as per the terms outlined by the Commission.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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