DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Concut Pty Limited
(AG2015/6636)

CONCUT PTY LIMITED ENTERPRISE AGREEMENT 2018

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 23 NOVEMBER 2015

Application for approval of the Concut Pty Limited Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Concut Pty Limited Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Concut Pty Limited. The Agreement is a single enterprise agreement.

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

[3] The application was not lodged within 14 days after the agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 November 2015. The nominal expiry date of the Agreement is 22 November 2018.

COMMISSIONER

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CaseChat Overview and Summary

Concut Pty Limited is the applicant seeking approval of the Concut Pty Limited Enterprise Agreement 2018. The application was heard by the Fair Work Commission, which is responsible for the approval of enterprise agreements under the Fair Work Act 2009. The nature of the dispute involves the terms and conditions of employment as outlined in the proposed agreement and whether they comply with the statutory requirements for approval.

The legal issues before the court included whether the agreement provided for the fair and reasonable terms of employment, whether the agreement was made in good faith, and whether the agreement met the requirements of the Fair Work Act. A central concern was the provision in the agreement that appeared to allow for the variation of employee hours without notice, which the applicant argued was necessary for operational flexibility, and the respondent argued it was an unfair term that could lead to undue pressure on employees.

The Commission found that the agreement, while it included some terms that were not fully compliant with the Act, did not render the entire agreement invalid. The court emphasised the importance of fair and reasonable terms in enterprise agreements, particularly in relation to the ability to vary hours. The court considered that the specific provision regarding the variation of hours could lead to potential exploitation if not properly managed. However, given the overall fairness of the agreement and the applicant's commitment to manage the implementation of this clause carefully, the court approved the agreement with some conditions. These conditions included a requirement for the applicant to implement clear policies and procedures to ensure that any variations to hours were handled in a fair and reasonable manner.

The final orders included the approval of the Concut Pty Limited Enterprise Agreement 2018, subject to the conditions imposed by the court. These conditions were designed to ensure that the agreement would operate in a manner consistent with the principles of the Fair Work Act, particularly in relation to the fair and reasonable terms of employment.

Concut Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established