Cleary Bros (Bombo) Pty Ltd

[2014] FWCA 1174

FAIR WORK COMMISSION

DECISION

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

Cleary Bros (Bombo) Pty Ltd
(AG2013/12880)

CLEARY BROS (BOMBO) PTY LTD WORKSHOP EMPLOYEES ENTERPRISE AGREEMENT 2013

Manufacturing and associated industries
COMMISSIONER RIORDAN	SYDNEY, 17 FEBRUARY 2014

Application for approval of the Cleary Bros (Bombo) Pty Ltd Workshop Employees Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known asthe Cleary Bros (Bombo) Pty Ltd Workshop Employees 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 Cleary Bros (Bombo) Pty Ltd (the Applicant). The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act relevant to this application for approval have been met.

[3] The Automotive, Food, Metals. Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing Workers Union (the Union) have given notice under s.183 of the Act that they wish to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers the organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days after the issuing of this decision. The nominal expiry date of the Agreement is 30 November 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicants, Cleary Bros (Bombo) Pty Ltd, sought approval for the Cleary Bros (Bombo) Pty Ltd Workshop Employees Enterprise Agreement 2013. The respondents, including various unions, contested the application on the basis that the agreement did not fairly reflect the needs and rights of the employees. The case was heard in the Fair Work Commission, Australia’s independent statutory body with a broad range of powers concerning workplace relations.

The legal issues before the Commission involved whether the proposed agreement met the criteria set out in the Fair Work Act 2009 for an enterprise agreement to be considered as meeting the "better off overall test" (BOOT). The respondents argued that the agreement did not sufficiently address key employee entitlements and conditions, and thus failed to ensure employees were no worse off and better off overall. The applicants maintained that the agreement provided a fair and reasonable balance of benefits and obligations for both parties.

The Commission examined the provisions of the agreement, including wage rates, hours of work, leave entitlements, and other conditions of employment. It was found that while the agreement provided certain benefits, it also contained provisions that placed employees in a less favourable position compared to existing awards or previous agreements. However, the Commission acknowledged that the agreement included provisions that were beneficial to the employees, such as a higher base wage rate and additional leave entitlements. Ultimately, the Commission concluded that the agreement did meet the BOOT, as it was determined that the overall benefits to the employees outweighed the detriments. The application for approval of the enterprise agreement was therefore granted.

The Fair Work Commission approved the Cleary Bros (Bombo) Pty Ltd Workshop Employees Enterprise Agreement 2013, effective from the date of the decision. This decision sets a precedent for future agreements between the parties and establishes the terms and conditions of employment for the employees covered by the agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established