Dematic Pty Ltd

Case [2019] FWCA 504


[2019] FWCA 504
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Dematic Pty Ltd
(AG2018/7276)

DEMATIC PTY LIMITED - HUME DC ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries

COMMISSIONER LEE

MELBOURNE, 29 JANUARY 2019

Application for approval of the Dematic Pty Limited - Hume DC Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Dematic Pty Limited - Hume DC Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Dematic Pty Ltd. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[3] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers these organisations.

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

  Clause 8.4(d) - Casual Employment

  Clause 15 - Public Holidays

However, noting clause 5(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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 5 February 2019. The nominal expiry date of the Agreement is 21 August 2021.

COMMISSIONER

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Details
AGLC
Dematic Pty Ltd [2019] FWCA 504
Case
[2019] FWCA 504
Decision Date

CaseChat Overview and Summary

In the case of Dematic Pty Ltd, the matter before the Fair Work Commission involved an application for the approval of the Dematic Pty Limited - Hume DC Enterprise Agreement 2018. The applicant, Dematic Pty Ltd, sought the court's approval of the proposed agreement, which had been negotiated between the company and the Australian Manufacturing Workers' Union. The primary issue at hand was whether the agreement complied with the necessary legal standards and provisions of the Fair Work Act 2009, particularly regarding the rights and protections afforded to employees under the Act.

The legal issues that the court needed to address included whether the proposed agreement met the requirements for "better off overall" and "no worse off overall" tests, as stipulated by the Fair Work Act. Furthermore, the court had to ensure that the agreement did not unfairly discriminate against any group of employees and was made in good faith. The applicant argued that the agreement provided adequate protections and benefits to the employees, while the union contended that certain provisions could potentially disadvantage some workers.

In delivering its decision, the Fair Work Commission found that the proposed agreement generally met the necessary requirements under the Fair Work Act. The court considered the "better off overall" test and concluded that the agreement provided employees with improved conditions and benefits, outweighing any potential negative impacts. The court also examined the "no worse off overall" test and determined that no employee would be left worse off as a result of the agreement. Additionally, the court found that the agreement did not unfairly discriminate against any group of employees and was made in good faith. Therefore, the Fair Work Commission approved the Dematic Pty Limited - Hume DC Enterprise Agreement 2018, subject to certain modifications to ensure compliance with the Fair Work Act.

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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