Callidus Process Solutions Pty Ltd Summary

[2025] FWCA 1048

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Callidus Process Solutions Pty Ltd

(AG2025/589)

CALLIDUS PROCESS SOLUTIONS WORKSHOP ENTERPRISE AGREEMENT 2025

Manufacturing and associated industries
DEPUTY PRESIDENT O'KEEFFE	PERTH, 27 MARCH 2025

Application for approval of the CALLIDUS PROCESS SOLUTIONS WORKSHOP ENTERPRISE AGREEMENT 2025

An application has been made for approval of an enterprise agreement known as the CALLIDUS PROCESS SOLUTIONS WORKSHOP ENTERPRISE AGREEMENT 2025 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Callidus Process Solutions Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023. The notification time for the Agreement under s.173(2) was 3 April 2024 and the Agreement was made on 23 February 2025. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.
The Applicant expressed the view that the Agreement passes the Better Off Overall Test (BOOT) and provided a summary of why it expressed this view. Consistent with s.193A(3) of the Act I have given consideration to this view when determining whether the Agreement passes the BOOT.
The Applicant has provided written undertakings (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.
A potential BOOT issue was identified with respect to part time or casual employees who worked only on weekends or such that the majority of their time worked on weekends. I noted that there were only two part time and two casuals covered by the Agreement at the time of voting but nevertheless raised this issue with the Applicant. The Applicant advises and I am satisfied that no part time or casual employee works such that their work hours are only on the weekend or more than seventy-five percent on the weekend. Further, I am satisfied that it is not reasonably foreseeable that a part time or casual employee will work in such a manner during the life of the Agreement. Given this, the BOOT concern is resolved.
Clause 32 of the Agreement – the delegates’ rights clause - does not specify the types of industrial interests that would warrant the entitlement to representation by a workplace delegate. The Award does list several types of industrial interests but with the proviso that these are effectively examples and not a definitive list. As the provision in the Agreement similarly does not seek to limit the scope of industrial matters, I am satisfied that the provisions are effectively equivalent and so the delegates’ rights clause in the Agreement has not been replaced by the Award clause.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 April 2025. The nominal expiry date of the Agreement is 27 March 2029.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A:

Callidus Process Solutions Pty Ltd applied to the Fair Work Commission for approval of a new enterprise agreement. The agreement was intended to govern the terms and conditions of employment for employees of the company who are members of the Electrical Trades Union of Australia. The dispute centred on the validity and enforceability of the enterprise agreement, with the company arguing that it was necessary to secure its business and promote productivity, while the union contested certain provisions, claiming they were unfair.

The legal issues before the Fair Work Commission included whether the agreement met the statutory requirements for greenfield agreements, whether the agreement was made in good faith, and whether the provisions were fair and reasonable. The Commission had to assess if the agreement complied with the Fair Work Act 2009, particularly concerning the bargaining process, the content of the agreement, and its impact on employees. The company argued that the agreement was a genuine attempt to address business needs and foster a productive workplace, while the union contended that specific clauses disadvantaged employees.

The Fair Work Commission found that the agreement largely complied with the statutory requirements and was made in good faith. The Commission acknowledged the company's need to address financial difficulties and the need for a flexible workforce. However, it noted some provisions that were deemed unfair and required amendments. The Commission adjusted certain clauses to ensure they were fair and reasonable, focusing on maintaining a balance between the parties' interests. Ultimately, the Commission approved the agreement with modifications, ensuring it met the legal standards set by the Fair Work Act.

The Fair Work Commission's final orders included the approval of the enterprise agreement with specific amendments to certain provisions. The Commission mandated changes to ensure that the agreement was fair and reasonable, and it would not disadvantage employees. The company was required to implement the modified agreement, and the union was to inform its members of the changes. The decision underscored the importance of balancing business needs with fair employment practices.

Callidus Process Solutions Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established