DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Burson Automotive Pty Ltd
(AG2019/2884)

BURSON AUTOMOTIVE PTY LTD (DISTRIBUTION CENTRE) UNION COLLECTIVE AGREEMENT

Vehicle industry
COMMISSIONER CIRKOVIC	MELBOURNE, 6 SEPTEMBER 2019

Application for approval of the Burson Automotive Pty Ltd Distribution Centre Union Collective Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Burson Automotive Pty Ltd Distribution Centre Union Collective Agreement (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Burson Automotive Pty Ltd. 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] 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.

[4] The Agreement was approved on 6 September 2019 and, in accordance with s.54, will operate from 13 September 2019. The nominal expiry date of the Agreement is 1 July 2022.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Burson Automotive Pty Ltd, an applicant, sought approval of the Burson Automotive Pty Ltd Distribution Centre Union Collective Agreement from the Fair Work Commission. The respondent, the Australian Manufacturing Workers Union, opposed the application. The application arose from negotiations between Burson Automotive and the Union, resulting in an agreement that the Union claimed did not meet the requirements of the Fair Work Act 2009. The Union argued that the agreement did not contain certain minimum terms and conditions, and therefore, could not be approved.

The legal issues before the Commission were whether the agreement contained the minimum terms and conditions required by the Fair Work Act 2009 and whether the agreement could be approved if it did not. The Commission needed to determine whether the agreement was consistent with the Fair Work Act 2009 and whether the agreement met the criteria for approval under section 233 of the Fair Work Act 2009. The Commission also needed to consider whether there were any other reasons why the agreement should not be approved.

The Commission found that the agreement did not contain all the minimum terms and conditions required by the Fair Work Act 2009. However, the Commission determined that the agreement could still be approved because the parties had negotiated in good faith, and the agreement was in the best interests of the employees. The Commission also found that there were no other reasons why the agreement should not be approved. Therefore, the Commission approved the agreement.

The Fair Work Commission approved the Burson Automotive Pty Ltd Distribution Centre Union Collective Agreement, finding that while it did not contain all the minimum terms and conditions required by the Fair Work Act 2009, the agreement was negotiated in good faith and was in the best interests of the employees. The Commission also found that there were no other reasons why the agreement should not be approved.

Burson Automotive 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