DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Australian Textile Mills Pty Ltd
(AG2015/2335)

AUSTRALIAN TEXTILE MILLS TEXTILES ENTERPRISE AGREEMENT 2015

Clothing industry
DEPUTY PRESIDENT GOSTENCNIK	MELBOURNE, 15 MAY 2015

Application for approval of the Australian Textile Mills Textiles Enterprise Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the Australian Textile Mills Textiles 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 Australian Textile Mills 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] The Textile, Clothing and Footwear Union of Australia 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.

[4] The Agreement was approved on 15 May 2015 and, in accordance with s.54, will operate from 22 May 2015. The nominal expiry date of the Agreement is 25 January 2018.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Australian Textile Mills Pty Ltd, sought approval of the Australian Textile Mills Textiles Enterprise Agreement 2015 from the Fair Work Commission. The application was contested by several unions, including the Textile, Clothing and Footwear Union of Australia. The central dispute revolved around the terms and conditions set forth in the proposed agreement, particularly those concerning wages, working hours, and employee benefits. The Fair Work Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009, specifically in relation to the ‘better off overall test’ and whether it provided for fair and reasonable terms and conditions of employment.

The court had to examine several key legal issues. Firstly, it needed to ascertain if the proposed agreement provided employees with terms and conditions that were at least as good as those provided under the relevant awards. Secondly, the court had to evaluate whether the agreement was in the interests of promoting higher wages and better working conditions. The central contention was whether the agreement provided employees with better terms and conditions than what they would have under their awards, thereby satisfying the ‘better off overall test’. Additionally, the court had to consider if the agreement was procedurally sound, ensuring that it was made in good faith and that proper consultation processes were followed.

In its decision, the Fair Work Commission found that the proposed agreement did indeed provide employees with terms and conditions that were at least as good as those provided under the relevant awards. The commission determined that the agreement satisfied the ‘better off overall test’ as it offered improvements in wages, leave provisions, and other benefits. The commission also found that the agreement was made in good faith and that the requisite consultation processes were adequately followed. Consequently, the commission approved the Australian Textile Mills Textiles Enterprise Agreement 2015, finding it to be fair and reasonable for the purposes of the Fair Work Act 2009.

Australian Textile Mills 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