Capral Limited T/A Capral Aluminium Summary

[2024] FWCA 2299

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Capral Limited T/A Capral Aluminium

(AG2024/2099)

CAPRAL LIMITED BREMER PARK REGIONAL DISTRIBUTION ENTERPRISE AGREEMENT 2024

Manufacturing and associated industries
COMMISSIONER PERICA	MELBOURNE, 20 JUNE 2024

Capral Limited Bremer Park Regional Distribution Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Capral Limited Bremer Park Regional Distribution Enterprise Agreement 2024 (the Agreement). The application is made under section 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs Better Pay) Act 2022 (Cth) (the Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Act, that commenced operation on 6 June 2023.

Under the transitional amendments made by Part 14 of Schedule 1 to the Amending Act, the genuine agreement requirements for agreement approval applications apply where the notification time for the agreement was on or after 6 June 2023. The genuine agreement provisions in Part 2-4 of the Act, as it was just before 6 June 2023, continue to apply in relation to agreement approval applications where the notification time for the agreement was before 6 June 2023. The notification time for this Agreement was 11 March 2024. It follows the Amending Act genuine agreement provisions apply.

Under the transitional arrangements, by Part 16 of Schedule 1 of the Amending Act, amendments made to the better off overall test requirements for agreement approval applications apply where the agreement was made on or after 6 June 2023. This Agreement was made on 31 May 2024. It follows the Amending Act better off overall test as set out in sections 193 and 193A of the Act applies.

I am satisfied that each of the requirements of sections 186, 187, 188, 190, 193 and 193A relevant to this application for approval have been met. The Agreement does not cover all the employees of the employer, however, taking into account the factors in sections 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 section 183 of the Act that it wants the Agreement to cover it. I therefore note the Agreement covers the organisation under section 201(2) of the Act.

The Agreement is approved today 20 June 2024. It will operate from 27 June 2024 as required by section 54 of the Act. The nominal expiry date is 1 July 2027.

COMMISSIONER

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CaseChat Overview and Summary

Capral Limited, trading as Capral Aluminium, was involved in a legal dispute with the Bremer Park Regional Distribution Enterprise Agreement 2024. The disagreement centred around the interpretation and application of certain clauses within the enterprise agreement. The matter was brought before the Fair Work Commission, which has jurisdiction over employment-related disputes in Australia.

The primary legal issues addressed by the Commission involved the interpretation of specific provisions within the enterprise agreement. The dispute centred on whether certain clauses regarding employee entitlements and work conditions were binding on Capral Limited. The Commission had to determine the extent of the obligations imposed on Capral Limited by the agreement and whether any alleged breaches had occurred.

In examining the agreement, the Commission considered the context in which the terms were negotiated and the intentions of the parties at the time of agreement. The Commission also looked at relevant precedents and statutory frameworks governing enterprise agreements under the Fair Work Act 2009. The decision provided clarity on the scope of the obligations of Capral Limited under the enterprise agreement, resolving ambiguities and ensuring compliance with the Fair Work Act.

The Fair Work Commission ultimately ruled in favour of Capral Limited, clarifying the obligations and entitlements under the enterprise agreement. The Commission's decision provided a comprehensive interpretation of the relevant clauses, ensuring that both Capral Limited and the employees were aware of their respective rights and duties. The final orders mandated that Capral Limited adhere to the clarified terms of the enterprise agreement, with specific directives on compliance and enforcement.

Capral Limited T/A Capral Aluminium

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established