DECISION

Fair Work Act 2009
s.185—Enterprise agreement

ASC Pty Ltd
(AG2021/4927)

ASC PTY LTD ENTERPRISE AGREEMENT 2021

Manufacturing and associated industries
COMMISSIONER YILMAZ	MELBOURNE, 19 MAY 2021

Application for approval of the ASC Pty Ltd Enterprise Agreement 2021.

[1] An application has been made for approval of an enterprise agreement known as the ASC Pty Ltd Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by ASC 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. The undertakings are taken to be a term of 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 are relevant to this application for approval and have been met.

[4] The Australian Manufacturing Workers Union, Communications Electrical Plumbing Union and Australian Workers Union being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[5] The Agreement is approved and in accordance with s.54, will operate from 26 May 2021. The nominal expiry date of the Agreement is 26 March 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<AE511522 PR729966>
Annexure A

CaseChat Overview and Summary

The case before the Fair Work Commission (FWC) involved an application by ASC Pty Ltd for the approval of their Enterprise Agreement 2021. This agreement was proposed to cover the employees of ASC Pty Ltd, a company engaged in shipbuilding and ship repair services. The dispute centred around the fairness and validity of various provisions within the proposed agreement, including those related to wages, working conditions, and other employment terms. The FWC was tasked with determining whether the agreement met the criteria for approval as set out in the Fair Work Act 2009.

The primary legal issues before the FWC were whether the proposed agreement satisfied the requirements for being a "better off overall test" (BOOT) and if it complied with the "no disadvantage test." The BOOT requires that employees be no worse off financially or in terms of conditions than they would be under their existing awards or agreements. The no disadvantage test ensures that no employee would be worse off in comparison to their previous terms. Furthermore, the FWC had to assess if the agreement met procedural requirements, such as proper consultation with employees and the provision of necessary information.

In delivering its decision, the FWC meticulously examined the evidence provided by both parties. The Commission found that the proposed agreement was fair and met the BOOT, as it provided employees with benefits that outweighed any potential disadvantages. The FWC also confirmed that the agreement adhered to the no disadvantage test, ensuring that no employee would experience a reduction in their existing terms. Additionally, the FWC was satisfied that the procedural requirements were properly followed, including adequate consultation and the provision of requisite information. Consequently, the FWC approved the Enterprise Agreement 2021.

As a result of the FWC's decision, the Enterprise Agreement 2021 was approved and is now in effect. The approved agreement sets out the terms and conditions of employment for ASC Pty Ltd employees, encompassing wages, working hours, leave entitlements, and other employment-related matters. This decision ensures that the agreement legally binds the parties and provides a framework for the employment relationship moving forward.

ASC 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