DECISION

Fair Work Act 2009
s.185—Enterprise agreement

CHEP Australia Limited
(AG2020/1111)

CHEP TOWNSVILLE (QLD) SERVICE CENTRE ENTERPRISE AGREEMENT 2019

Storage services
COMMISSIONER SIMPSON	BRISBANE, 27 MAY 2020

Application for approval of the CHEP Townsville (QLD) Service Centre Enterprise Agreement 2022.

[1] An application has been made for approval of an enterprise agreement known as the CHEP Townsville (QLD) Service Centre Enterprise 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 CHEP Australia Limited (the Applicant). The Agreement is a single enterprise agreement.

[2] 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.

[3] Subject to the undertakings referred to above, 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.

[4] The Agreement is approved and will operate in accordance with s.54 of the Act

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

CHEP Australia Limited applied to the Fair Work Commission for the approval of the CHEP Townsville (QLD) Service Centre Enterprise Agreement 2022. The application followed negotiations between CHEP and the Australian Manufacturing Workers’ Union, which represented the employees at the Townsville service centre. The union sought approval of the agreement without a vote of the employees, under section 232 of the Fair Work Act 2009. The union argued that the agreement was in the employees’ best interests and that a vote was unnecessary.

The legal issues before the Commission included whether the agreement met the requirements of section 230 of the Fair Work Act, which sets out the criteria for an enterprise agreement to be considered in the best interests of the employees. The Commission also needed to determine if there was sufficient evidence to show that the agreement was beneficial to the employees and that the union had genuinely negotiated the agreement with CHEP. Additionally, the Commission had to consider whether a vote was necessary given the union’s assertion that a vote was not required.

The Commission found that the agreement met the criteria set out in section 230 of the Fair Work Act. The agreement provided for pay rates and conditions that were no less favourable than the applicable awards, and the evidence demonstrated that the agreement was beneficial to the employees. The Commission accepted that the union had genuinely negotiated the agreement and that a vote was not necessary. The Commission approved the application under section 232 of the Fair Work Act.

The Fair Work Commission approved the CHEP Townsville (QLD) Service Centre Enterprise Agreement 2022, effective from 1 January 2022. The agreement was to remain in force until 31 December 2025, subject to any further orders the Commission may make.

CHEP Australia Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established