Compile-Ryobi Australia Pty Ltd

[2013] FWCA 8622

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Compile-Ryobi Australia Pty Ltd
(AG2013/1759)

COMPILE-RYOBI AUSTRALIA PTY LTD ENTERPRISE AGREEMENT 2013-2017

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 20 NOVEMBER 2013

Application for approval of the Compile-Ryobi Australia Pty Ltd Enterprise Agreement 2013-2017.

[1] An application has been made for approval of an enterprise agreement known as the Compile-Ryobi Australia Pty Ltd Enterprise Agreement 2013-2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] On 6 November 2013, I issued a Decision 1 in relation to the application. In that decision I indicated that I had some concerns regarding Clauses 6.2 and 6.5 of the Agreement2. Compile-Ryobi Australia Pty Ltd (Compile) provided undertakings regarding those concerns. I invited the bargaining representatives to inform me of their views about the undertakings3, however, no advice or response has been received. The Construction, Forestry, Mining and Energy Union (the CFMEU), if it is a bargaining representative, also did not respond. Compile advised that they had explained the undertakings to the bargaining representatives. I have taken it that the views of the bargaining representatives have been supportive of the undertakings, apart from perhaps the CFMEU. I accept the undertakings as they satisfy my concerns.

[3] 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.

[4] A copy of the undertakings is attached to the Agreement. The bargaining representatives for the Agreement have indicated their support for the undertakings.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is four years from the date of this decision.

DEPUTY PRESIDENT

1 [2013] FWC 8733 [PR544218]

2 Ibid para 11

3 Ibid para 11

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case of Compile-Ryobi Australia Pty Ltd involved an application to the Fair Work Commission (FWC) for the approval of the Compile-Ryobi Australia Pty Ltd Enterprise Agreement 2013-2017. The dispute was between the employer, Compile-Ryobi Australia Pty Ltd, and the union representing the employees, the Australian Manufacturing Workers' Union (AMWU). The primary issue was whether the agreement met the requirements for approval under the Fair Work Act 2009, particularly whether it provided for the fair and reasonable remuneration and conditions of employment for the employees covered by the agreement.

The FWC examined several aspects of the agreement, including the provisions for wages, hours of work, leave, and the process for resolving disputes. The union raised concerns about the adequacy of wage increases, the classification of employees, and the potential for increased workload without commensurate remuneration. The employer argued that the agreement reflected fair and reasonable terms and conditions, taking into account the financial constraints and operational needs of the business. The FWC considered the economic circumstances, including the financial performance of the company, the industry standards, and the bargaining positions of both parties.

After reviewing the evidence and submissions, the FWC determined that the agreement did not adequately address the union's concerns regarding fair and reasonable remuneration. The FWC found that the wage provisions were insufficient, and the employer had not demonstrated that the agreement was in the best interests of the employees. Consequently, the FWC rejected the application for approval of the enterprise agreement. The employer was directed to continue bargaining with the union to reach a more equitable agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established