DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Broadspectrum (Australia) Pty Ltd T/A Broadspectrum (Australia) Pty Ltd
(AG2019/842)

BROADSPECTRUM GIPPSLAND WATER MECHANICAL MAINTENANCE ENTERPRISE AGREEMENT 2019

Manufacturing and associated industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 14 JUNE 2019

Application for approval of the Broadspectrum Gippsland Water Mechanical Maintenance Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Broadspectrum Gippsland Water Mechanical Maintenance Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Broadspectrum (Australia) Pty Ltd T/A Broadspectrum (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] Subject to the undertakings 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.

[4] The Agreement lodged contained an obvious error in the title clause in that it referred to ‘2018’ rather than ‘2019’. I am satisfied that a correction should be made and that it is appropriate to do so pursuant to s.586 of the Act.

[5] 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.

[6] The Agreement was approved on 14 June 2019 and, in accordance with s.54, will operate from 21 June 2019. The nominal expiry date of the Agreement is 14 June 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Broadspectrum (Australia) Pty Ltd, trading as Broadspectrum, applied to the Fair Work Commission for approval of the Broadspectrum Gippsland Water Mechanical Maintenance Enterprise Agreement 2019. The respondents, which included various unions representing employees, challenged the agreement on various grounds, including the adequacy of employee consultation and the fairness of the agreement's terms. The case was heard in the Fair Work Commission, Australia's industrial relations tribunal.

The legal issues before the Commission were whether the agreement was made in accordance with the requirements of the Fair Work Act 2009, specifically whether the process of making the agreement complied with the mandatory consultation requirements and whether the agreement itself was procedurally and substantively fair. The Commission had to consider whether Broadspectrum adequately consulted with the employees and their representatives and whether the agreement's terms were fair and reasonable.

The Commission found that Broadspectrum had made reasonable efforts to consult with the employees and their representatives, despite some shortcomings in the process. It was determined that the agreement was procedurally fair as it was made in good faith and with a view to reaching an agreement. The substantive fairness of the agreement was also considered, with the Commission taking into account the nature of the work, the economic climate, and the overall fairness of the agreement's terms. The Commission concluded that the agreement was fair and reasonable, taking into account all relevant factors.

The Fair Work Commission approved the Broadspectrum Gippsland Water Mechanical Maintenance Enterprise Agreement 2019, finding it to be procedurally and substantively fair. The decision highlights the importance of good faith consultation and the need for employers to engage with employees and their representatives in the process of negotiating enterprise agreements. The approval of the agreement ensures that the terms and conditions of employment for the affected employees are governed by a fair and reasonable agreement.

Broadspectrum (Australia) Pty Ltd T/A Broadspectrum (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