CSL Australia Pty Ltd

Case [2023] FWCA 2492


[2023] FWCA 2492

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

CSL Australia Pty Ltd

(AG2023/2427)

THE CSL AUSTRALIA PTY LTD AND MARITIME UNION OF AUSTRALIA GOLIATH ENTERPRISE AGREEMENT 2022

Maritime industry

DEPUTY PRESIDENT BOYCE

SYDNEY, 10 AUGUST 2023

Application for approval of the CSL Australia Pty Ltd and Maritime Union of Australia Goliath Enterprise Agreement 2022

  1. An application has been made for approval of an enterprise agreement to be known as the CSL Australia Pty Ltd and Maritime Union of Australia Goliath Enterprise Agreement 2022 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by CSL Australia Pty Ltd (Employer). The Agreement is a single enterprise agreement.

Undertakings

  1. The Employer has provided written undertakings dated 4 August 2023. Those undertakings are attached at Annexure A to this decision and become terms of the Agreement. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement (as compared to the relevant provisions of the Seagoing Industry Award 2020), and that the undertakings will not result in substantial changes to the Agreement.

Non-compliance under s.180(2)

  1. There was an issue raised by the Commission with the Employer regarding compliance with s.180(2)(a)(ii) of the Act. Having regard to the submissions of the Employer provided on 4 August 2023, I find that this issue also constitutes a minor procedural and/or technical error. I am satisfied that the Agreement was genuinely agreed to by relevant employees notwithstanding this error.[1] I am also satisfied that the employees covered by the Agreement were not likely to have been disadvantaged by the error.[2]

Coverage of employee organisation(s)

  1. The Construction, Forestry, Maritime, Mining and Energy Union, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers this organisation.

Conclusion

  1. Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 190, 193 and 193A of the Act, as are relevant to this application for approval, have been met.[3]

  1. I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 August 2023. The nominal expiry date of the Agreement is 30 June 2026.


DEPUTY PRESIDENT

ANNEXURE A


[1] See s.188(2) of the Fair Work Act 2009 and Huntsman Chemical Co Australia Pty Ltd T/A RMAX Rigid Cellular Plastics & Others[2019] FWCFB 318.

[2] Ibid.

[3] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act 2009 (FW Act), that commenced operation on 6 June 2023. Under transitional arrangements, amendments made by Part 14 of Schedule 1 to the Amending Act in relation to genuine agreement requirements for agreement approval applications apply where the notification time for the agreement was on or after 6 June 2023. The genuine agreement provisions in Part 2-4 of the FW Act, as it was just before 6 June 2023, continue to apply in relation to agreement approval applications where the notification time for the agreement was before 6 June 2023. The notification time for this Agreement was before 6 June 2023. Under transitional arrangements, amendments made by Part 16 of Schedule 1 to the Amending Act in relation to the better off overall test requirements for agreement approval applications apply where the agreement was made on or after 6 June 2023.  This Agreement was made after 6 June 2023. 

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Details
AGLC
CSL Australia Pty Ltd [2023] FWCA 2492
Case
[2023] FWCA 2492
Decision Date

CaseChat Overview and Summary

CSL Australia Pty Ltd applied for approval of an enterprise agreement known as the CSL Australia Pty Ltd and Maritime Union of Australia Goliath Enterprise Agreement 2022, under section 185 of the Fair Work Act 2009. The application was made by CSL Australia Pty Ltd and was subject to a dispute concerning compliance with section 180(2)(a)(ii) of the Act. The agreement, once approved, would provide benefits to employees as compared to the Seagoing Industry Award 2020 and would be governed by the Fair Work Act, with its nominal expiry date set for 30 June 2026. The Maritime Union of Australia had given notice under section 183 of the Act that it wanted to be covered by the agreement, and the agreement would cover this organisation as per section 201(2) of the Act.

The court was required to determine whether the agreement met the necessary criteria for approval under the Fair Work Act, specifically considering the minor procedural error raised by the Commission regarding compliance with section 180(2)(a)(ii). The court had to assess whether the genuine agreement requirements and the better off overall test requirements were met, considering the transitional arrangements under the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022.

The Deputy President Boyce found that the agreement genuinely represented the terms agreed upon by the relevant employees and that the minor procedural error did not disadvantage the employees. The court was satisfied that the agreement met the requirements of sections 186, 187, 188, 190, 193 and 193A of the Act. The court approved the agreement, which would operate from 17 August 2023. The court's decision was based on the transitional arrangements under the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 and the notification time for the agreement being before 6 June 2023.

The CSL Australia Pty Ltd and Maritime Union of Australia Goliath Enterprise Agreement 2022 was approved by the court, with the nominal expiry date set for 30 June 2026. The agreement will operate from 17 August 2023 and will be governed by the Fair Work Act, taking into consideration the transitional arrangements under the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022. The agreement will cover the Maritime Union of Australia as per section 201(2) of the Act, and the more beneficial entitlements of the National Employment Standards will prevail where there is an inconsistency between the agreement and the National Employment Standards.

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