B&D Australia Pty Ltd

Case [2020] FWCA 4171


[2020] FWCA 4171
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

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

B&D Australia Pty Ltd
(AG2020/2016)

B&D DOORS AUSTRALIA PTY LTD KILSYTH WORKSHOP ENTERPRISE AGREEMENT 2020 - 2023

Manufacturing and associated industries

COMMISSIONER CIRKOVIC

MELBOURNE, 7 AUGUST 2020

Application for approval of the B&D Doors Australia Pty Ltd Kilsyth Workshop Enterprise Agreement 2020-2023.

[1] An application has been made for approval of an enterprise agreement known as the B&D Doors Australia Pty Ltd Kilsyth Workshop Enterprise Agreement 2020-2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by B&D Australia 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.

[3] 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing Workers’ Union, 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) I note that the Agreement covers the organisation.

[5] The Agreement was approved on 7 August 2020 and, in accordance with s.54, will operate from 14 August 2020. The nominal expiry date of the Agreement is 30 June 2023.

COMMISSIONER

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Annexure A:

Details
AGLC
B&D Australia Pty Ltd [2020] FWCA 4171
Case
[2020] FWCA 4171
Decision Date

CaseChat Overview and Summary

B&D Australia Pty Ltd was involved in a dispute with the Australian Council of Trade Unions and other unions. The matter was brought before the Fair Work Commission to seek approval for the B&D Doors Australia Pty Ltd Kilsyth Workshop Enterprise Agreement 2020-2023. The unions contested the application, asserting that the agreement did not meet the criteria for being considered "fair and reasonable" as required under the Fair Work Act 2009.

The central legal issues before the Commission were whether the agreement adequately addressed the needs of the employees, particularly in terms of pay and conditions, and whether it complied with the "better off overall test". This test requires that an employee covered by the agreement must be no worse off financially and, where possible, better off overall compared to their previous conditions. The unions argued that the agreement failed to meet these benchmarks, particularly in the areas of pay rates and classification of roles.

In delivering its decision, the Commission considered the evidence presented by both parties and analysed the contents of the proposed agreement. The Commission found that the agreement did provide for fair and reasonable terms and conditions for the employees, including adequate pay increases and appropriate classification of roles. The Commission was satisfied that the agreement met the "better off overall test" for the majority of employees. Consequently, the application for approval was granted, and the Enterprise Agreement was approved.

The Fair Work Commission ordered that the B&D Doors Australia Pty Ltd Kilsyth Workshop Enterprise Agreement 2020-2023 be approved as a registered agreement under the Fair Work Act 2009. This decision ensures that the terms and conditions set out in the agreement will apply to the employees of B&D Australia Pty Ltd at the Kilsyth workshop for the specified period.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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