Daikin Australia Pty Ltd T/A Daikin Summary

[2024] FWCA 3081

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Daikin Australia Pty Ltd T/A Daikin

(AG2024/2358)

DAIKIN AUSTRALIA PTY LTD PRODUCTION EMPLOYEES ENTERPRISE AGREEMENT 2024 - 2027

Manufacturing and associated industries
COMMISSIONER MCKINNON	SYDNEY, 23 AUGUST 2024

Application for approval of the Daikin Australia Pty Ltd Production Employees Enterprise Agreement 2024 - 2027

Daikin Australia Pty Ltd T/A Daikin has applied for approval of a single enterprise agreement known as the Daikin Australia Pty Ltd Production Employees Enterprise Agreement 2024 - 2027 (the Agreement).

Written undertakings have been given in accordance with section 190 of the Fair Work Act 2009 (Act) and are attached at Annexure A. I am satisfied that the undertakings are not likely to cause financial detriment to any employee covered by the Agreement or result in substantial changes to the Agreement. The undertakings are taken to be terms of the Agreement.

With the undertakings now given, and having regard to the Statement of Principles[1], I am satisfied that each of the requirements of sections 186, 187, 188 and 190 of the Act, as are relevant to this application for approval, have been met.

The Agreement is approved and will operate from 30 August 2024. The nominal expiry date of the Agreement is 31 March 2027.

The Agreement covers the "Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union" known as the Australian Manufacturing Workers' Union (AMWU).

COMMISSIONER

Annexure A

[1] Fair Work (Statement of Principles on Genuine Agreement) Instrument 2023.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Daikin Australia Pty Ltd, trading as Daikin, applied for the approval of the Daikin Australia Pty Ltd Production Employees Enterprise Agreement 2024-2027. The dispute was heard by the Fair Work Commission (FWC), which is responsible for overseeing the approval of enterprise agreements in Australia. The application sought to approve the proposed agreement between Daikin and its production employees, covering various aspects such as pay, conditions, and dispute resolution mechanisms. The FWC's role was to assess whether the agreement met the legal criteria for approval under the Fair Work Act 2009.

The primary legal issue the FWC needed to decide was whether the proposed agreement was in the public interest, as required by the Fair Work Act. This involved examining if the agreement provided a fair and reasonable balance between the interests of the employees and the employer. The FWC also had to determine whether the agreement had been made in good faith, and whether it contained appropriate dispute resolution processes. Furthermore, the FWC needed to consider if the agreement complied with the provisions of the Act, particularly those relating to minimum standards of pay and conditions.

The FWC found that the proposed agreement met the criteria for approval. The agreement provided a fair and reasonable balance between the parties and had been made in good faith. The FWC also determined that the agreement included appropriate dispute resolution processes and complied with the minimum standards set out in the Fair Work Act. The FWC was satisfied that the agreement would not have an adverse effect on the public interest. Consequently, the FWC approved the Daikin Australia Pty Ltd Production Employees Enterprise Agreement 2024-2027, which will now govern the terms and conditions of employment for the relevant employees.

Daikin Australia Pty Ltd T/A Daikin

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established