Coates Hire Operations Pty Ltd T/A Coates Summary

[2022] FWCA 498

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Coates Hire Operations Pty Ltd T/A Coates

(AG2021/9307)

Coates Hire Operations Pty Limited National Agreement 2021

Manufacturing and associated industries
COMMISSIONER O'NEILL	MELBOURNE, 15 FEBRUARY 2022

Application for approval of the Coates Hire Operations Pty Limited National Agreement 2021

Coates Hire Operations Pty Ltd has applied for approval of an enterprise agreement known as the Coates Hire Operations Pty Limited National Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is a single enterprise agreement.

The Agreement lodged contained an error at Appendix C where classifications C7-C14 were inadvertently copied into the Agreement in the wrong order, although the rates of pay are accurate. The Employer filed an amended Appendix C on 9 February 2022. Pursuant to s.586 of the Act, I am satisfied that the correction should be made and that it is appropriate to do so.

The Employer 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. The undertakings are taken to be a term of the Agreement.

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.

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Transport Workers’ Union of Australia, being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

I observe that clause 37 is likely to be inconsistent with the National Employment Standards (NES). However, noting clause 5.9 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 February 2022. The nominal expiry date of the Agreement is 30 June 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved Coates Hire Operations Pty Ltd trading as Coates, an applicant seeking approval for the Coates Hire Operations Pty Limited National Agreement 2021. The application was brought before the Fair Work Commission, which was required to determine whether the proposed agreement complied with the relevant statutory framework and was in the best interests of the employees it sought to cover. The Commission's task was to assess the fairness and appropriateness of the terms and conditions proposed within the agreement, particularly focusing on whether it provided for fair and reasonable terms and conditions of employment, and whether it met the requirements of the Fair Work Act 2009.

The central legal issues before the Commission were whether the proposed agreement met the statutory criteria for approval under the Fair Work Act, including whether it provided for terms and conditions that were fair and reasonable, and whether it complied with the procedural requirements for making such an agreement. Additionally, the Commission had to consider whether the agreement was in the best interests of the employees it sought to cover, taking into account the principle of good faith bargaining and the need to avoid undermining the rights and protections provided by the Fair Work Act.

In determining the application, the Commission examined the content of the proposed agreement and its implications for the employees. The Commission assessed whether the agreement provided for terms and conditions that were fair and reasonable, taking into account factors such as the nature of the work, the bargaining power of the parties, and the overall impact on the employees. The Commission also considered whether the agreement complied with the procedural requirements for making such an agreement, including whether it had been subject to genuine and meaningful bargaining. Furthermore, the Commission evaluated whether the agreement was in the best interests of the employees, considering the balance of rights and obligations, and whether it promoted a fair and equitable outcome for the workforce.

The Fair Work Commission approved the application for the Coates Hire Operations Pty Limited National Agreement 2021, finding that the agreement met the statutory criteria for approval and was in the best interests of the employees. The Commission was satisfied that the proposed agreement provided for fair and reasonable terms and conditions of employment, and that it complied with the procedural requirements for making such an agreement. The Commission concluded that the agreement promoted a fair and equitable outcome for the workforce, and that it was in the best interests of the employees it sought to cover. As a result, the Commission granted approval for the proposed agreement to become a registered agreement under the Fair Work Act.

Coates Hire Operations Pty Ltd T/A Coates

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established