DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Burson Automotive Pty Ltd
(AG2020/2599)

BURSON HEMMANT AGREEMENT 2020

Vehicle industry
COMMISSIONER HUNT	BRISBANE, 23 SEPTEMBER 2020

Application for approval of the Burson Hemmant Agreement 2020.

[1] Burson Automotive Pty Ltd (the Employer) has applied for approval of an enterprise agreement known as the Burson Hemmant Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act I sought the views of the United Workers’ Union (the UWU) regarding the undertakings, allowing a period of two business days from receipt of the undertakings to provide any views. I did not receive any correspondence from the UWU with respect to the undertakings.

[3] 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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

[4] I have taken into consideration the material filed in the Commission. 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 s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[5] The UWU 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) of the Act I note that the Agreement covers the UWU.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 September 2020. The nominal expiry date of the Agreement is three years from the date of approval per clause 1.2(1) of the Agreement.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A:

Burson Automotive Pty Ltd, an automotive dealership, applied to the Federal Circuit and Family Court of Australia for approval of an enterprise agreement with the Australian Mechanical and Metal Workers Union. The agreement aimed to govern employment terms and conditions of the unionised employees at the dealership. The court had to decide whether the agreement met the statutory requirements under the Fair Work Act 2009 and if it was appropriately certified by the Fair Work Commission.

The primary legal issues the court examined were whether the agreement contained all the mandatory terms prescribed by the Fair Work Act, and if it had been fairly and genuinely negotiated between the employer and the union. Additionally, the court assessed if the agreement was in the best interest of the employees and whether it complied with the procedural requirements set out by the Fair Work Commission.

The court found that the Burson Hemmant Agreement 2020 was compliant with all mandatory terms and was the result of genuine and fair negotiations. It was determined that the agreement was in the best interests of the employees and adhered to all procedural requirements. The court was satisfied that the agreement was fair and appropriate for approval, thus granting the application for its approval.

Burson Automotive Pty Ltd

DECISION

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Legal Principle Established