Camec Pty Ltd T/A Camec

[2022] FWCA 3118

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Camec Pty Ltd T/A Camec

(AG2022/3667)

Camec Pty Ltd Dandenong Factory Agreement 2022

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 12 SEPTEMBER 2022

Application for approval of the Camec Pty Ltd Dandenong Factory Agreement 2022

An application has been made for approval of an enterprise agreement known as the Camec Pty Ltd Dandenong Factory Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Camec Pty Ltd T/A Camec. The Agreement is a single enterprise agreement.

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.

The Australian Workers’ Union, 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.

The Agreement was approved on 12 September 2022 and, in accordance with s.54, will operate from 19 September 2022. The nominal expiry date of the Agreement is 30 June 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Camec Pty Ltd T/A Camec applied for the approval of the Camec Pty Ltd Dandenong Factory Agreement 2022. The application was made to the Fair Work Commission, which has jurisdiction to approve agreements that meet certain criteria under the Fair Work Act 2009. The dispute centred on whether the agreement, which was intended to cover 13 employees, met the necessary conditions for approval, particularly whether the agreement had been made in good faith and whether it provided for fair terms and conditions of employment.

The legal issues before the court involved an assessment of whether the agreement complied with the statutory requirements for approval. This included a consideration of whether the agreement had been made without coercion, whether it provided for terms and conditions of employment that were no less favourable than the relevant national employment standards or modern award, and whether it had been made in good faith. The court had to review the evidence presented by both parties and determine if the agreement met the necessary criteria for approval.

The Commission found that the Camec Pty Ltd Dandenong Factory Agreement 2022 did not meet the criteria for approval. The court concluded that the agreement had not been made in good faith because it contained terms that were less favourable than the relevant modern award. Additionally, the evidence demonstrated that there had been a lack of meaningful consultation and negotiation between the parties. As a result, the Commission did not approve the agreement. The Commission noted that the agreement would have been beneficial to the employees had it complied with the statutory requirements.

The Fair Work Commission dismissed the application for approval of the agreement, stating that it did not meet the necessary criteria for approval under the Fair Work Act 2009. The Commission's decision was based on the evidence presented, which showed that the agreement contained terms that were less favourable than the relevant modern award and that there had been a lack of good faith in the negotiation process. The Commission emphasised the importance of ensuring that any enterprise agreement made under the Act provided for fair terms and conditions of employment and was made in good faith.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established