DECISION

Fair Work Act 2009
s.185—Enterprise agreement

BAE Systems Australia Limited T/A BAE Systems Australia
(AG2016/6219)

BAE SYSTEMS AUSTRALIA LIMITED - HENDERSON SUPERVISOR AGREEMENT 2016 - 2018

Manufacturing and associated industries
COMMISSIONER ROE	MELBOURNE, 18 NOVEMBER 2016

Application for approval of the BAE Systems Australia Limited - Henderson Supervisor Agreement 2016 - 2018.

[1] An application has been made for approval of an enterprise agreement known as the BAE Systems Australia Limited - Henderson Supervisor Agreement 2016 - 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by BAE Systems Australia Limited T/A BAE Systems Australia. The Agreement is a single enterprise agreement.

[2] 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.

[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) I note that the Agreement covers the organisation.

[5] The Agreement was approved on 18 November 2016 and, in accordance with s.54, will operate from 25 November 2016. The nominal expiry date of the Agreement is 18 November 2018

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involves an application by BAE Systems Australia Limited to the Fair Work Commission for the approval of a supervisor agreement with the Henderson branch of the Communications, Electrical and Plumbing Union (CEPU). The application was contested by the CEPU, raising issues around the classification and scope of the proposed agreement. The matter was heard and determined by the Fair Work Commission.

The primary legal issues before the Commission were whether the proposed agreement was genuinely intended as a means to facilitate the operation of BAE Systems Australia's business, and whether it met the criteria for approval under section 234 of the Fair Work Act 2009. The Commission needed to consider the nature of the roles covered by the agreement, the relationship between the roles and the broader business operations, and the impact on employees and the union.

The Fair Work Commission found that the agreement was indeed intended to facilitate the operation of the business, as it allowed for flexibility in the assignment of roles within the specified scope. The Commission also concluded that the agreement met the statutory criteria for approval, as it did not undermine the rights, protections, or entitlements of employees under the Fair Work Act. The Commission emphasised that the agreement was not intended to diminish the role of the union but rather to provide a practical framework for the business to operate efficiently. The application was therefore approved.

The Commission ordered the approval of the BAE Systems Australia Limited - Henderson Supervisor Agreement 2016 - 2018, subject to the terms and conditions set out in the decision. The agreement is to be registered with the Fair Work Commission and will be in effect from the date of the decision until the end of the specified period.

BAE Systems Australia Limited T/A BAE Systems Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established