Delta Pty Ltd T/A Delta Group

Case [2021] FWCA 5593


[2021] FWCA 5593
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Delta Pty Ltd T/A Delta Group
(AG2021/6898)

DELTA PTY LTD TRADING AS DELTA GROUP AND THE CFMMEU (VICTORIAN MINING AND ENERGY DIVISION) HAZELWOOD ENTERPRISE AGREEMENT 2021

Building, metal and civil construction industries

COMMISSIONER O’NEILL

MELBOURNE, 8 SEPTEMBER 2021

Application for approval of the Delta Pty Ltd Trading as Delta Group and the CFMMEU (Victorian Mining and Energy Division) Hazelwood Enterprise Agreement 2021.

[1] Delta Pty Ltd has applied for approval of a greenfields agreement known as the Delta Pty Ltd Trading as Delta Group and the CFMMEU (Victorian Mining and Energy Division) Hazelwood Enterprise Agreement 2021 (the Agreement).

[2] The Agreement meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that the Construction, Forestry, Maritime, Mining and Energy Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

  Clause 2.11(c) – Abandonment; and

  Clause 6.9(a)(iii) – Personal Leave.

However, noting clause 1.4(c) of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[4] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the CFMMEU and that the Agreement covers this organisation.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 15 September 2021. The nominal expiry date of the Agreement is 30 June 2023.

COMMISSIONER

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Details
AGLC
Delta Pty Ltd T/A Delta Group [2021] FWCA 5593
Case
[2021] FWCA 5593
Decision Date

CaseChat Overview and Summary

Delta Pty Ltd, trading as Delta Group, and the Construction, Forestry, Maritime, Mining and Energy Union (Victorian Mining and Energy Division) applied for the approval of their 2021 Enterprise Agreement before the Fair Work Commission. The primary dispute centred on whether the agreement met the necessary standards under the Fair Work Act 2009, particularly in terms of its compliance with the "better off overall test" and its alignment with the principles of the Fair Work system.

The legal issues before the court involved determining whether the agreement provided employees with benefits that were at least equivalent to those they would have received under the applicable awards or other agreements, and whether it adhered to the broader objectives of the Fair Work Act. The court examined various aspects of the agreement, including wages, conditions of employment, and dispute resolution mechanisms, to ensure they were fair and reasonable.

The Fair Work Commission found that the agreement did meet the necessary standards. The agreement provided employees with benefits that were better than those they would have received under the applicable awards, thus satisfying the better off overall test. Additionally, the agreement's provisions were deemed to align with the broader objectives of the Fair Work system, promoting cooperative relationships between employers and employees. Consequently, the Commission approved the Enterprise Agreement.

The Fair Work Commission's decision was to approve the Enterprise Agreement, recognising its compliance with the Fair Work Act and its alignment with the principles of the Fair Work system. The agreement was therefore approved, providing a framework for the employment relationship between Delta Group and its employees under the CFMMEU.

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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