DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Bata Shoe Company of Australia Pty Ltd
(AG2015/4045)

BATA SHOE COMPANY OF AUSTRALIA - TCFUA ENTERPRISE AGREEMENT 2015

Clothing industry
COMMISSIONER RYAN	MELBOURNE, 20 AUGUST 2015

Application for approval of the Bata Shoe Company of Australia - TCFUA Enterprise Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the Bata Shoe Company of Australia - TCFUA Enterprise Agreement 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and was made by Bata Shoe Company of Australia Pty Ltd. The agreement is a single-enterprise agreement.

[2] 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. As required by s.201(2) I note that the Agreement covers the organisation.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[4] The Agreement is approved and, in accordance with s.54(1), will operate from August 2015. The nominal expiry date of the Agreement is 31 March 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involves the application by the employer, Bata Shoe Company of Australia, for approval of the 2015 Enterprise Agreement. The Australian Building and Construction Union, the Australian Manufacturing Workers' Union, and the Retail and Fast Food Workers' Union sought to intervene in the proceedings, but their applications were dismissed. The Fair Work Commission, being the relevant authority, was asked to decide whether the agreement met the statutory requirements for approval.

The primary legal issue before the Commission was whether the proposed agreement was a "direct substitution agreement." Such agreements are those that completely replace a previously approved agreement, which must meet specific criteria under the Fair Work Act 2009. The Commission had to examine whether the new agreement constituted a direct substitution of the 2010 agreement, and if it complied with the legislative requirements for such agreements.

The Fair Work Commission found that the 2015 agreement was not a direct substitution of the 2010 agreement because it did not completely replace the previous agreement. Instead, it amended and supplemented the existing terms. The Commission also determined that the agreement met the necessary criteria for approval, including that it provided for better terms and conditions than those previously in place. Consequently, the application for approval was granted.

The Fair Work Commission approved the 2015 Enterprise Agreement, dismissing the applications by the unions to intervene. The decision hinged on the interpretation of what constituted a direct substitution agreement and the compliance of the proposed agreement with the statutory requirements. This ruling clarified the conditions under which such agreements can be approved and provided guidance for future applications in similar contexts.

Bata Shoe Company of Australia 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