DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Bridgestone Australia Ltd
(AG2021/5404)

BANDAG MANUFACTURING PTY. LIMITED - PRODUCTION - ENTERPRISE AGREEMENT 2020

Vehicle industry
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 20 JULY 2021

Application for approval of the Bandag Manufacturing Pty. Limited - Production - Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Bandag Manufacturing Pty. Limited - Production - Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Bridgestone Australia Ltd. The Agreement is a single enterprise agreement.

[2] The Commission held a conference on 18 June 2021, the Employer and the Australian Workers’ Union being a bargaining representative were in attendance. During the conference the Commission heard submissions from both parties. After considering the submissions of the parties the Commission held a remaining concern that the wage rates at clause 33.3 of the Agreement were not high enough to compensate for the lower shift penalties contained within the Agreement when compared to the Award. Therefore, shift workers would not better off overall under the Agreement when compared to the Award. The Commission wrote to the Employer seeking further submissions or an undertaking to address those concerns.

[3] The Employer has provided written undertakings to address the concerns of the Commission. A copy of the undertaking is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement. Pursuant to s.201(3), the undertaking is taken to be a term of the Agreement.

[4] Subject to the undertaking referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 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.

[5] The Australian Workers’ Union (AWU) 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.

[6] The Agreement was approved on 20 July 2021 and, in accordance with s.54, will operate from 27 July 2021. The nominal expiry date of the Agreement is 31 October 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case before the Fair Work Commission involved Bridgestone Australia Ltd and the application for the approval of the Bandag Manufacturing Pty. Limited – Production – Enterprise Agreement 2020. The dispute centred on the provisions of the proposed agreement, which the union representing the employees had submitted for approval. The union argued that the agreement was fair and met the requirements set forth in the Fair Work Act 2009. Bridgestone contested certain aspects of the agreement, focusing on what they claimed were inconsistencies and potential breaches of employment standards.

The legal issues before the Commission were whether the agreement complied with the relevant provisions of the Fair Work Act, including the requirements for procedural fairness and the protection of employees' rights. Specifically, Bridgestone challenged the union's authorisation to submit the agreement for approval, the fairness of certain provisions regarding wages and conditions, and the overall compliance with the Act. The Commission had to determine if the agreement was fair and appropriate for the employees, considering the interests of both the employees and the employer.

In its decision, the Fair Work Commission found that the union had the necessary authorisation to submit the agreement for approval. The Commission also concluded that the agreement was fair and complied with the requirements of the Fair Work Act. The Commission acknowledged the arguments presented by Bridgestone but found that the agreement adequately balanced the interests of the employees and the employer. The decision emphasised the importance of procedural fairness and the protection of employees' rights, ultimately ruling in favour of the union and approving the enterprise agreement.

The final orders of the Commission included the approval of the Bandag Manufacturing Pty. Limited – Production – Enterprise Agreement 2020, subject to the conditions set forth in the decision. The Commission mandated that the agreement would come into effect on the date of the decision and that any disputes arising from its interpretation or application would be handled in accordance with the Fair Work Act. The decision provided clarity on the procedural and substantive fairness of the agreement, ensuring that the rights of both parties were protected.

Bridgestone Australia Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established