DECISION

Fair Work Act 2009
s.185—Enterprise agreement

AustChrome Pty Ltd
(AG2015/7243)

AUSTCHROME PTY LTD ENTERPRISE AGREEMENT 2015

Vehicle industry
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 19 FEBRUARY 2016

Application for approval of the AustChrome Pty Ltd Enterprise Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the AustChrome 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 AustChrome Pty Ltd. The agreement is a single enterprise agreement.

[2] On the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[3] 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.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[5] The Agreement was approved on 19 February 2016 and, in accordance with s.54, will operate from 26 February 2016. The nominal expiry date of the Agreement is 30 June 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

AustChrome Pty Ltd sought approval of its 2015 Enterprise Agreement from the Fair Work Commission (FWC). The applicant is an employer, while the respondent, the Australian Manufacturing Workers' Union (AMWU), represents the employees. The dispute centred on the interpretation and approval of various provisions within the Enterprise Agreement.

The central legal issues before the FWC were whether the provisions of the Enterprise Agreement complied with the Fair Work Act 2009 (FW Act). Specifically, the FWC had to determine whether the agreement met the 'better off overall test' (BOOT) and whether it adhered to the requirements for a 'single interest' bargaining. The FWC also had to consider whether the agreement contained any unlawful content that would render it invalid.

The FWC carefully reviewed each provision of the Enterprise Agreement, ensuring that it provided a fair and reasonable outcome for both parties. The FWC found that the agreement generally met the BOOT, as it provided employees with improved conditions compared to the applicable award. The FWC also concluded that the agreement was the product of single interest bargaining and did not contain any unlawful content. Consequently, the FWC approved the AustChrome Pty Ltd Enterprise Agreement 2015.

As a result of the FWC's decision, the Enterprise Agreement was approved, and it became legally binding on both AustChrome Pty Ltd and its employees represented by the AMWU.

AustChrome 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