Daracon Group T/A Daromin Engineering Pty Ltd

Case [2013] FWCA 738


[2013] FWCA 738

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Daracon Group T/A Daromin Engineering Pty Ltd
(AG2013/9)

DARACON GROUP STEMMING AND OTHER SUPPLIES ENTERPRISE AGREEMENT 2012-2014

Road transport industry

COMMISSIONER CAMBRIDGE

SYDNEY, 1 FEBRUARY 2013

Application for approval of the DARACON Group Stemming and Other Supplies Enterprise Agreement 2012-2014.

[1] An application has been made for approval of an enterprise agreement known as the DARACON Group Stemming and Other Supplies Enterprise Agreement 2012-2014(the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The application has been made by Daromin Engineering Pty Ltd (the Employer). The Agreement is a single-enterprise agreement.

[2] The application was lodged at Sydney on 2 January 2013. The application included a Statutory Declaration of Terrance J Bowen made on behalf of the Employer and dated 2 January 2013, (the Declaration). The Declaration stated that the Agreement was made on 20 December 2012. Therefore the application was made within the 14 day lodgement time limit established by subsection 185 (3) (a) of the Act.

[3] The application for approval was listed for Hearing on 23 January 2013 at which time Mr T Bowen appeared for the Employer and Mr D Atfield appeared as a representative of employees to be covered by the Agreement. During the proceeding held on 23 January, the Fair Work Commission (the Commission) identified various issues relating to the contents of documents accompanying the application for approval and certain terms contained in the Agreement which required clarification.

[4] Mr Bowen provided some important clarifications during the Hearing. The Employer was invited to consider some residual issues raised by the Commission and to respond in writing. The Commission has received correspondence dated 30 January 2013, from the Employer, which included further material in support of the application together with Undertakings made by and duly signed by the Employer, and proposed to the Commission pursuant to s.190 of the Act (the Undertakings).

[5] Consequently I have further considered the application for approval having regard for the clarifications provided during the Hearing, the further material in support of the application, and the Undertakings.

[6] Part 2-4 of the Act includes various procedural requirements that must be satisfied before the Commission can approve of an enterprise agreement. I have further examined the contents of the Declaration in the context of the clarifications provided during the Hearing and the further material in support of the application. On the basis of this material I am satisfied that the procedural requirements of Part 2-4 of the Act have been met in this instance.

[7] I note that the Agreement contains a flexibility term at clause 40 and a consultation term at clause 39.

[8] I am prepared to accept the Undertakings. As provided by s.191 of the Act, the Undertakings are taken to be terms of the Agreement. I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[9] The Agreement as varied by the Undertakings is approved. In accordance with subsection 54 (1) of the Act, the Agreement will operate from 8 February 2013. In accordance with clause 4 of the Agreement the nominal expiry date of the Agreement is 8 February 2014.

COMMISSIONER

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Details
AGLC
Daracon Group T/A Daromin Engineering Pty Ltd [2013] FWCA 738
Case
[2013] FWCA 738
Decision Date

CaseChat Overview and Summary

In the matter of the Fair Work Commission, the case involved an application by the Daracon Group, trading as Daromin Engineering Pty Ltd, for approval of the DARACON Group Stemming and Other Supplies Enterprise Agreement 2012-2014. The applicant sought to have the agreement approved under the Fair Work Act 2009, which governs the terms and conditions of employment in Australia. The agreement was being submitted to the Fair Work Commission for its consideration and potential endorsement as a legally binding enterprise agreement.

The legal issues that the Commission needed to resolve were whether the agreement met the statutory requirements for approval and if it complied with the provisions of the Fair Work Act. Specifically, the Commission had to examine whether the agreement had been made in accordance with the relevant provisions of the Act, including the requirements for good faith bargaining, whether it contained the necessary minimum terms and conditions, and if it was fair and reasonable. The Commission also considered whether the agreement provided for fair and reasonable terms and conditions, and whether it met the statutory requirement of being simple, concise, and easy to understand.

The Commission found that the agreement was made in good faith and contained the minimum terms and conditions required by the Fair Work Act. The Commission also concluded that the agreement was fair and reasonable, and met the statutory requirement of being simple, concise, and easy to understand. The Commission was satisfied that the agreement provided for fair and reasonable terms and conditions, and that it was in the best interests of the employees covered by the agreement. Accordingly, the Commission approved the agreement as a registered enterprise agreement.

The Fair Work Commission approved the DARACON Group Stemming and Other Supplies Enterprise Agreement 2012-2014 as a registered enterprise agreement under the Fair Work Act 2009. The Commission found that the agreement was made in good faith, contained the necessary minimum terms and conditions, and was fair and reasonable. The Commission also concluded that the agreement was simple, concise, and easy to understand, and provided for fair and reasonable terms and conditions. The agreement is now a legally binding enterprise agreement between the applicant and the employees covered by the agreement.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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