Crown Equipment Pty Ltd T/A Crown Equipment Pty Ltd

[2024] FWCA 1035

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Crown Equipment Pty Ltd T/A Crown Equipment Pty Ltd

(AG2024/650)

CROWN EQUIPMENT PTY LTD QUEENSLAND SERVICE DEPARTMENT ENTERPRISE AGREEMENT 2023

Manufacturing and associated industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 22 MARCH 2024

Application for approval of the Crown Equipment Pty Ltd Queensland Service Department Enterprise Agreement 2023

An application has been made for approval of an enterprise agreement known as the Crown Equipment Pty Ltd Queensland Service Department Enterprise Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Crown Equipment Pty Ltd T/A Crown Equipment Pty Ltd. The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, which commenced operation on 6 June 2023. By reason of the transitional arrangements for the Amending Act and the notification time for the Agreement of 5 April 2023, the genuine agreement requirements for agreement approval in Part 2-4 of the Fair Work Act, as it was just before 6 June 2023 apply to the present application. Further, as the Agreement was made on 23 February 2024 the better off overall test provisions in Part 2-4 of the Fair Work Act as amended on 6 June 2023 apply.

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) 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 29 March 2024. The nominal expiry date of the Agreement is 30 September 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Crown Equipment Pty Ltd, trading as Crown Equipment Pty Ltd, applied for approval of the Queensland Service Department Enterprise Agreement 2023. The application was heard by the Fair Work Commission, which is the relevant authority for such matters. The agreement in question seeks to regulate the employment terms and conditions for employees within the Queensland Service Department of the company.

The legal issues before the Commission were whether the agreement complied with the Fair Work Act 2009 and whether it was made in good faith. This involved examining the negotiation process, the content of the agreement, and whether it met the requirements for a valid enterprise agreement. The Commission also had to ensure that the agreement did not adversely affect employees' minimum entitlements or their ability to choose whether to be covered by the agreement.

The Fair Work Commission found that the negotiation process was conducted in good faith, and that the agreement met all the statutory requirements. The Commission was satisfied that the agreement was not adverse to employees' minimum entitlements and that it provided a safety net for those not covered by the agreement. Consequently, the Commission approved the enterprise agreement. The Commission took into account the need to balance the interests of the employer and the employees, ensuring that the agreement was fair and reasonable.

The final orders of the Commission were that the Crown Equipment Pty Ltd Queensland Service Department Enterprise Agreement 2023 be approved as a registered agreement under the Fair Work Act 2009. This decision provides legal certainty for both the employer and the employees regarding the terms of their employment going forward.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established