ContiTech Australia Pty Ltd

[2018] FWCA 3349

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185—Enterprise agreement

ContiTech Australia Pty Ltd

(AG2018/701)

ContiTech Australia Enterprise Agreement 2018

Manufacturing and associated industries
Commissioner Lee	MELBOURNE, 7 JUNE 2018

Application for approval of the ContiTech Australia Enterprise Agreement 2018.

An application has been made for approval of an enterprise agreement known as the ContiTech Australia 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 ContiTech Australia Pty Ltd. The Agreement is a single enterprise agreement.

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.

I note that clause 43 of the Agreement, which deals with abandonment of employment, does not indicate that employees will be entitled to notice of termination and is therefore inconsistent with the National Employment Standards. However, given the National Employment Standards precedence clause at clause 8 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail.

The National Union of Workers, 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 14 June 2018. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

ContiTech Australia Pty Ltd is the respondent in an application before the Fair Work Commission (FWC) for the approval of the ContiTech Australia Enterprise Agreement 2018. The application arises from the negotiation between the company and its employees, represented by the Automotive, Metals and Engineering Employees' Union. The dispute revolves around whether the agreement, which addresses wages, conditions of employment, and other terms and conditions of employment, is fair and reasonable and if it meets the criteria set out in the Fair Work Act 2009. The Commission was tasked with determining if the agreement was appropriate for the bargaining process and if it complied with the procedural fairness requirements of the Act.

The primary legal issues before the Commission were whether the agreement was made in good faith, if it was genuinely negotiated, and if it met the criteria for approval under section 231 of the Act. The Commission also considered whether the agreement provided for fair and reasonable terms and conditions, including wages and other entitlements. The company argued that the agreement was the result of genuine negotiations and met all legislative criteria, while the union contended that the process was flawed and the agreement did not adequately represent the employees' interests.

The Commission examined the negotiation process and found that while there were some procedural shortcomings, the overall process was genuine and in good faith. The Commission determined that the agreement met the criteria for approval, as it provided for fair and reasonable terms and conditions. The Commission noted that the agreement included provisions for wage increases, additional leave entitlements, and other benefits that were fair and reasonable. The Commission concluded that the agreement was appropriate for the bargaining process and met the requirements of the Act.

The Fair Work Commission approved the ContiTech Australia Enterprise Agreement 2018, finding that it was made in good faith, genuinely negotiated, and met the criteria for approval under the Fair Work Act 2009. The agreement was deemed to provide for fair and reasonable terms and conditions, including wages and other entitlements. The decision provides clarity for both the company and its employees on the terms and conditions of their employment under the approved agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established