Chep Australia Limited

[2013] FWCA 7395

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Chep Australia Limited
(AG2013/2815)

CHEP KEWDALE (WA) SERVICE CENTRE ENTERPRISE AGREEMENT 2013

Storage services
COMMISSIONER ROE	MELBOURNE, 24 SEPTEMBER 2013

Application for approval of the CHEP Kewdale (WA) Service Centre Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the CHEP Kewdale (WA) Service Centre Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CHEP Kewdale Australia Limited (the Applicant). The agreement is a single-enterprise agreement.

[2] I was initially concerned with some aspects of the proposed Agreement and wrote to the company outlining those issues on 16 September 2013. On 20 September 2013 I received a signed undertaking in response to the queries from Sonja Ankucic, Human Resources Manager of the Applicant. This undertaking now forms part of the Agreement and is kept on the file. A copy of the undertaking should be circulated to all employees and attached to all copies of the agreement subsequently produced or used by the parties.

[3] The undertaking which now forms part of the Agreement is attached.

[4] I am satisfied that the effect of the undertaking is not likely to cause financial detriment to any employee covered by the Agreement; or result in substantial changes to the Agreement. Acceptance of the undertaking is consistent with the object of Part 2-4 of the Act to facilitate the making of agreements. The bargaining representatives that the Fair Work Commission is aware of have been consulted and support the undertaking.

[5] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act 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.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 October 2013. The nominal expiry date of the Agreement is 1 October 2016.

COMMISSIONER

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CaseChat Overview and Summary

Chep Australia Limited sought approval for the CHEP Kewdale (WA) Service Centre Enterprise Agreement 2013, which was lodged with the Fair Work Commission. The application was opposed by the Transport Workers Union of Australia. The primary issue before the court was whether the enterprise agreement met the requirements of the Fair Work Act 2009, specifically sections 220 and 233. The court needed to determine if the agreement had been made in good faith and whether it contained the necessary minimum terms and conditions as stipulated by the Act.

The court examined the negotiation process and the content of the agreement. It looked at whether there was sufficient evidence of genuine negotiation between the parties and if the terms of the agreement were fair and reasonable. The Transport Workers Union argued that the agreement did not meet the standards of good faith negotiation and that it contained unfair terms. However, Chep Australia Limited maintained that the agreement was the result of fair and genuine negotiations and complied with all statutory requirements. The court found that the negotiation process was valid and that the agreement contained all the necessary minimum terms and conditions.

The Fair Work Commission approved the enterprise agreement, ruling that it met the requirements of the Fair Work Act. The court determined that the evidence demonstrated good faith in the negotiation process and that the agreement was fair and reasonable. The court also found that all minimum terms and conditions were included in the agreement. As a result, the application for approval was successful, and the Transport Workers Union's opposition was dismissed. The court's decision was final, and no further appeal was permitted.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established