CEM International Pty Ltd

Case [2018] FWCA 1420


[2018] FWCA 1420
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

CEM International Pty Ltd
(AG2018/11)

CEM INTERNATIONAL PTY LTD ENTERPRISE AGREEMENT 2017 - 2020

Manufacturing and associated industries

DEPUTY PRESIDENT MASSON

MELBOURNE, 9 MARCH 2018

Application for approval of the CEM International Pty Ltd Enterprise Agreement 2017-2020.

[1] An application has been made for approval of an enterprise agreement known as the CEM International Pty Ltd Enterprise Agreement 2017-2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CEM International Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant has provided written undertakings. A copy of the undertakings is attached in 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.

[3] 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.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 March 2018. The nominal expiry date of the Agreement is 30 April 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE427561  PR601033>

Annexure A

Details
AGLC
CEM International Pty Ltd [2018] FWCA 1420
Case
[2018] FWCA 1420
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, CEM International Pty Ltd applied for approval of the CEM International Pty Ltd Enterprise Agreement 2017-2020. The union, United Voice, opposed the application. The dispute centred on whether the proposed agreement met the requirements of the Fair Work Act 2009 for enterprise agreements to be approved, particularly in terms of the agreement's compliance with the "better off overall test" and its fairness in addressing the needs of employees.

The Commission was required to determine if the agreement provided employees with a safety net of minimum terms and conditions and if it was more favourable than the applicable award or safety net. The Commission also needed to consider if the agreement was made in good faith and if it was free from any coercion or undue influence. The application hinged on whether the agreement achieved a balance between the interests of the employer and the employees, ensuring that employees were not disadvantaged compared to their previous terms and conditions.

After reviewing the submissions from both parties and considering the evidence presented, the Commission found that the proposed agreement met the statutory requirements. The agreement provided a safety net of minimum terms and conditions and was more favourable than the applicable award or safety net in certain areas. The Commission was satisfied that the agreement was made in good faith and without coercion or undue influence. Consequently, the Commission approved the enterprise agreement.

The Fair Work Commission approved the CEM International Pty Ltd Enterprise Agreement 2017-2020, finding it met the statutory requirements under the Fair Work Act 2009. This decision highlights the importance of ensuring that enterprise agreements provide a fair balance of interests for both employers and employees while adhering to legislative standards.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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