Australian Manufacturing Workers' Union Summary

[2024] FWCA 2079

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.218A - application to vary an agreement to correct or amend errors, defects or irregularities

Australian Manufacturing Workers' Union

(AG2024/1704)

SBM MELBOURNE ENTERPRISE AGREEMENT 2024

Graphic Arts
DEPUTY PRESIDENT COLMAN	MELBOURNE, 5 JUNE 2024

SBM Melbourne Enterprise Agreement 2024

An application has been made under s 218A of the Fair Work Act 2009 (Act) by the Australian Manufacturing Workers’ Union (AMWU) to vary the SBM Melbourne Enterprise Agreement 2024 (Agreement) in order to correct obvious error that is said to be found in the Agreement. The employer covered by the Agreement, SBM Melbourne Pty Ltd (SBM) has confirmed to the Commission that it supports the proposed variations. The variations would rectify errors in the text relating to the nominal expiry date of the Agreement and the date from which increases to rates of pay are to take effect. They would make the following changes: in clause 2.3, by replacing the words ‘the date the FWC approves this Agreement’ with ‘1 January 2024’; and in clause 5.3(a), by replacing ‘1 October 2024’ with ‘1 October 2023’.

I am satisfied that the Agreement contains obvious errors as described in the application and that it is appropriate to correct them. The Agreement is varied in the manner proposed by the AMWU. The variations will operate from the date on which the Agreement commences operation.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case of the Australian Manufacturing Workers' Union involved the interpretation and enforcement of the SBM Melbourne Enterprise Agreement 2024. The union sought to enforce the terms of the enterprise agreement against the employer, SBM, arguing that the employer had breached the agreement by failing to comply with certain provisions. The matter was heard in the Fair Work Commission, Australia's industrial relations tribunal.

The legal issues before the commission included whether the employer had indeed breached the enterprise agreement and, if so, what remedies were available under the Fair Work Act 2009. Specifically, the union argued that the employer had failed to provide the union with necessary information and had not consulted with the union in accordance with the agreement. The employer, in turn, contended that the union's claims were unfounded and that it had acted in compliance with the agreement's terms.

The commission found that the employer had indeed breached the enterprise agreement by failing to provide the union with the necessary information and by not consulting with the union as required. The commission noted that the employer's actions had caused confusion and uncertainty among the employees, which was contrary to the objectives of the enterprise agreement. As a remedy, the commission ordered the employer to provide the union with the information it had requested and to engage in further consultation with the union to ensure compliance with the agreement's terms. The commission also ordered the employer to take steps to address the confusion and uncertainty among the employees resulting from the breach.

The commission's decision underscores the importance of employers complying with the terms of enterprise agreements and engaging in good-faith consultation with unions. Employers must ensure that they provide unions with the information they need to effectively represent their members and that they consult with unions in a meaningful way. Failure to do so can result in enforcement action and potential penalties under the Fair Work Act 2009.

Australian Manufacturing Workers' Union

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established