DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Chubb Fire & Security Pty Ltd
(AG2016/1740)

CHUBB FIRE AND SECURITY REGIONAL QUEENSLAND VEHICLE FIRE SUPPRESSION ENTERPRISE AGREEMENT 2016-2019

Manufacturing and associated industries
COMMISSIONER LEE	MELBOURNE, 26 AUGUST 2016

Application for approval of the Chubb Fire and Security Regional Queensland Vehicle Fire Suppression Enterprise Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the Chubb Fire and Security Regional Queensland Vehicle Fire Suppression Enterprise Agreement 2016-2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Chubb Fire & Security 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] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] 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.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 2 September 2016. The nominal expiry date of the Agreement is 1 September 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of the Fair Work Commission, the applicant was Chubb Fire & Security Pty Ltd, seeking approval of the Chubb Fire and Security Regional Queensland Vehicle Fire Suppression Enterprise Agreement 2016-2019. The respondent was the Australian Manufacturing Workers’ Union, which represented a group of employees in the vehicle fire suppression sector. The dispute centred on the terms and conditions of employment, particularly those relating to wages, hours of work, and other employment-related matters. The application was heard in the Fair Work Commission, which has the jurisdiction to approve enterprise agreements under the Fair Work Act 2009.

The primary legal issue the Commission needed to resolve was whether the agreement complied with the requirements of the Fair Work Act. Specifically, the Commission had to determine if the agreement met the procedural requirements for an enterprise agreement, and if it complied with the "better off overall test" (BOOT). This test requires that the terms of the agreement must be at least as good as the applicable award or registered agreement, or provide for terms that are better for the employees. The Commission also had to ensure that the agreement was made in good faith and that the process by which it was negotiated and agreed upon was fair.

The Fair Work Commission found that the Chubb Fire and Security Regional Queensland Vehicle Fire Suppression Enterprise Agreement 2016-2019 complied with the procedural requirements of the Fair Work Act. It also concluded that the agreement passed the better off overall test, as it provided terms that were at least as good as, and in some cases better than, those provided by the applicable award. The Commission was satisfied that the agreement was made in good faith and that the process by which it was negotiated and agreed upon was fair. The Commission noted that the agreement included provisions for fair and reasonable wages, adequate leave entitlements, and provisions for resolving disputes. The Commission was also satisfied that the agreement included appropriate mechanisms for ongoing consultation between the employer and employees.

In light of the findings, the Fair Work Commission approved the Chubb Fire and Security Regional Queensland Vehicle Fire Suppression Enterprise Agreement 2016-2019. The agreement was deemed to be a lawful and binding agreement between the employer and the employees covered by the agreement. The Commission’s approval meant that the terms of the agreement would apply to the employees from the date of the Commission’s decision. The Commission’s decision provided certainty and stability to the parties and helped to ensure that the employees would receive fair and reasonable terms of employment.

Chubb Fire & Security Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established