CRC Industries (Aust) Pty Ltd Summary

[2016] FWCA 455

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

CRC Industries (Aust) Pty Ltd

(AG2015/7715)

CRC INDUSTRIES (AUST) PTY LTD ENTERPRISE AGREEMENT 2015

Manufacturing and associated industries

COMMISSIONER ROE

MELBOURNE, 21 JANUARY 2016

Application for approval of the CRC Industries (Aust) Pty Ltd Enterprise Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the

CRC Industries (Aust) Pty Ltd Enterprise Agreement 2015 (the Agreement). The application

was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by CRC

Industries (Aust) Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant 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.

[3] 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 Agreement does not cover all of the employees of the employer, however,

taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of

employees was fairly chosen.

[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 Australian Workers’ Union 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.
[2016] FWCA 455

[6] The Agreement was approved on 21 January 2016 and, in accordance with s.54, will

operate from 28 January 2016. The nominal expiry date of the Agreement is 31 December

2015.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

[2016] FWCA 455

Annexure A

CaseChat Overview and Summary

CRC Industries (Aust) Pty Ltd, the applicant, sought approval of an enterprise agreement under the Fair Work Act 2009. The agreement in question was the CRC Industries (Aust) Pty Ltd Enterprise Agreement 2015. The application was made to the Fair Work Commission, specifically Commissioner Roe, in Melbourne on 21 January 2016. The applicant provided written undertakings which the Commissioner deemed would not cause financial detriment to employees nor substantially change the agreement.

The legal issues before the court involved whether the agreement met the criteria for approval as set out in sections 186, 187, 188, and 190 of the Fair Work Act 2009. Specifically, the court needed to determine if the agreement had been made fairly, if it contained the prescribed minimum terms, and if it was made in good faith. Additionally, the court had to consider whether the agreement adequately represented the interests of the employees and whether it covered a fairly chosen group of employees.

Commissioner Roe found that the applicant had satisfied the requirements for approval of the agreement. The Commissioner was satisfied that the group of employees covered by the agreement was fairly chosen, taking into account the factors listed in section 186(3) and (3A) of the Fair Work Act. The Commissioner also noted that the agreement contained the model consultation term prescribed by the Fair Work Regulations 2009. Furthermore, the Australian Workers’ Union, a bargaining representative for the agreement, had given notice that it wanted the agreement to cover it, and the Commissioner found that the agreement did indeed cover the organisation. Thus, the Commissioner approved the agreement, which would operate from 28 January 2016, despite its nominal expiry date being 31 December 2015.

CRC Industries (Aust) Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established