| [2024] FWCA 928 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
Capral Limited T/A Capral Aluminium
(AG2024/473)
CAPRAL LIMITED BREMER PARK PRODUCTION EMPLOYEES ENTERPRISE AGREEMENT 2023
| Manufacturing and associated industries | |
| DEPUTY PRESIDENT DOBSON | BRISBANE, 14 MARCH 2024 |
Application for approval of the Capral Limited Bremer Park Production Employees Enterprise Agreement 2023
An application has been made for approval of an enterprise agreement known as the Capral Limited Bremner Park Production Employees Enterprise Agreement 2023 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Capral Limited (the Applicant). The Agreement is a single enterprise agreement.
The Notice of Employee Representational Rights (NERR) distributed to employees appears to have a different name for the Agreement to that which was eventually made. However, I am satisfied that the Agreement would have been genuinely agreed to but for the minor procedural departure from the prescribed form requirements of the NERR under s.174(1A) of the Act and that the employees covered by the Agreement were not likely to have been disadvantaged by this. Accordingly, I exercise the discretion conferred by s.188(5) of the Act.[1]
The Applicant has provided written undertakings. 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.
The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.
Pursuant to s.190(3) of the Act, I accept the undertakings.
Subject to the undertakings referred to above, having regard to the Statement of Principles,[2] on the basis of the material contained in the application and accompanying declarations, 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 does not contain a model consultation term compliant with the Act. Pursuant to section 205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.
I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):
· Clause 44 – Public Holidays
· Clause 48(a) – Compassionate Leave
· Clause 59(d) – Redundancy Pay.
However, noting clause 4 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.
The Australian Workers Union (AWU) lodged a Form F18 statutory declaration giving 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 the Agreement covers the AWU.
The Agreement is approved and will operate in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 30 October 2026.
DEPUTY PRESIDENT
[1] Huntsman Chemical Company Australia Pty Limited T/A RMAX Rigid Cellular Plastics & Others[2019] FWCFB 318 [117].
[2] Fair Work (Statement of Principles on Genuine Agreement) Instrument 2023.
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- AGLC
- Capral Limited T/A Capral Aluminium [2024] FWCA 928
- Case
- [2024] FWCA 928
- Decision Date
CaseChat Overview and Summary
The primary legal issue before the Commission was whether the proposed enterprise agreement provided employees with a better deal than their existing industrial awards. This involved assessing if the agreement contained terms that were no less favourable than the applicable awards and whether the agreement met the threshold for being "better off overall" for the employees. Additionally, the Commission had to consider whether the agreement contained any terms that would be contrary to public policy or would undermine the operation of the industrial awards.
The Fair Work Commission, after carefully examining the terms of the proposed agreement and the existing awards, determined that the agreement provided employees with a better deal overall. The Commission found that the proposed agreement contained provisions that were no less favourable than the applicable awards and, in some instances, provided employees with enhanced benefits. The Commission was satisfied that the agreement met the "better off overall test" and did not contain any terms that were contrary to public policy or undermined the existing industrial awards.
The Commission approved the Capral Limited Bremer Park Production Employees Enterprise Agreement 2023, subject to the conditions and requirements outlined in the Fair Work Act 2009. The approval ensures that the agreement will provide the employees with a fair and favourable set of terms and conditions of employment, while also maintaining the integrity of the existing industrial awards.
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