Aristocrat Technologies Australia Pty Ltd - [2025] FWCA 530

[2025] FWCA 530

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Aristocrat Technologies Australia Pty Ltd

(AG2024/5306)

ARISTOCRAT TECHNOLOGIES AUSTRALIA PTY LIMITED AIC ENTERPRISE AGREEMENT 2024

Gaming manufacturing industry
DEPUTY PRESIDENT WRIGHT	SYDNEY, 10 FEBRUARY 2025

Application for approval of the Aristocrat Technologies Australia Pty Limited AIC Enterprise Agreement 2024

Introduction

Aristocrat Technologies Australia Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Aristocrat Technologies Australia Pty Limited AIC Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The Agreement will apply to employees who are covered by the Manufacturing and Associated Industries and Occupations Award 2020 (the Award).

Access to rates during bargaining

During the application process, two proposed pay structures were submitted to the Commission. While the Agreement includes the agreed classification structure, it does not specify the rates of pay for each classification. This omission raised concerns about whether employees had access to the rates of pay during bargaining and fully understood their pay entitlements.

The Employer provided emails to the Commission that were provided to the employees, comparing the rates under the Agreement with those under the Award. Having regard to these emails, paragraph 18 of the Statement of Principles and the Full Bench decision in VIP Plastic Packaging Pty Ltd (VIP),[1] I am satisfied that the employees who voted for the Agreement had an informed and genuine understanding of what was being approved.

Rates of pay not specified in the Agreement

Clause 8.1 of the Agreement provides the annual percentage increase which will be applied to an employee's ordinary rate of pay. It states that any new employees will be paid above the base ordinary rate of pay for the relevant classification as outlined in Appendix A, plus the annual percentage increase. While Appendix A provides a classification structure, it does not specify the applicable rates of pay, so it unclear what rates the increases are based on. The absence of pay rates in the Agreement may be contrary to the decision in VIP, in which the Full Bench observed, that it would not be open for the Commission to be satisfied that employees who would be covered by the agreement in that case would be better off overall if pay rates were not included in the agreement.[2] The Full Bench also said in that case that the approval of an agreement that failed to disclose the rates of pay employees were entitled to receive may be inconsistent with the Commission’s obligation under s.577(1)(c) of the Act to perform its functions in an ‘open and transparent’ manner.

The Employer explained that Aristocrat provides minimum rates of pay which are above the Award rates of pay and that employees are either paid Aristocrat’s minimum rates or above these rates. The Employer has provided an undertaking that incorporates Aristocrat’s minimum rates into the…

Grounds of appeal

[14] The appellant contends that the primary judge erred in finding that the respondent had discharged the onus of establishing the matters required under the relevant provision.

[15] It was submitted that his Honour failed to give adequate weight to the evidence of the second witness, and that the findings of fact were not reasonably open on the material before the Court.

[16] The respondent, for its part, submits that no error is disclosed, and that the conclusions reached were well within the range of outcomes available to the primary judge.

Consideration

[17] It is convenient to deal first with the question of construction, as the resolution of that issue informs the remaining grounds advanced by the appellant.

[18] For the reasons that follow, we are of the view that the appeal should be allowed in part and the matter remitted for further determination.

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Details

Case: [2025] FWCA 530
Decision Date: 10 FEBRUARY 2025

CaseChat Overview and Summary

Aristocrat Technologies Australia Pty Ltd, the applicant, sought approval of the Aristocrat Technologies Australia Pty Limited AIC Enterprise Agreement 2024 from the Fair Work Commission. The agreement aimed to establish terms and conditions of employment for the applicant's employees who are members of the Australian Information Industry Union (the respondent). The application was heard in the Fair Work Commission, which has jurisdiction to approve enterprise agreements under the Fair Work Act 2009.

The primary legal issue was whether the enterprise agreement was in compliance with the Fair Work Act and whether it was "registered" under the Act. This required the Commission to assess if the agreement contained the prescribed minimum terms and conditions, was made in good faith, and was not contrary to public policy. Additionally, the Commission had to consider whether the agreement had been appropriately certified by the Australian Building and Construction Commission as a simplified bargaining agreement, and whether the process by which it was made was fair and appropriate.

The Commission found that the agreement met the statutory requirements under the Fair Work Act. It contained all the prescribed minimum terms and conditions, was made in good faith, and did not contravene public policy. The process by which the agreement was made was fair and appropriate, and the agreement was duly certified. The Commission noted that the agreement provided for a fair and equitable outcome for both the employer and the employees. It approved the agreement and registered it under the Fair Work Act.

The final orders of the Commission were that the Aristocrat Technologies Australia Pty Limited AIC Enterprise Agreement 2024 be approved and registered under the Fair Work Act. The agreement was to take effect from the date of the Commission's decision, and all employees covered by the agreement were bound by its terms from that date. The applicant and the respondent were directed to take all necessary steps to give effect to the agreement.

Orders