Diab Engineering Pty Ltd T/A Diab Engineering Pty Ltd Summary

[2022] FWCA 1977

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Diab Engineering Pty Ltd T/A Diab Engineering Pty Ltd

(AG2022/1543)

Diab Agreement 2022

Building, metal and civil construction industries
COMMISSIONER P RYAN	SYDNEY, 16 JUNE 2022

Application for approval of the Diab Agreement 2022

Diab Engineering Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Diab Agreement 2022 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Section 190 Undertakings

The Employer provided written undertakings. A copy of the undertakings is attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the Agreement

Sections 186, 187, 188 and 190

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

Approval

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 23 June 2022. The nominal expiry date of the Agreement is 16 June 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Diab Engineering Pty Ltd T/A Diab Engineering Pty Ltd was the applicant seeking approval for a workplace agreement, termed the Diab Agreement 2022. The matter was heard by the Fair Work Commission. The dispute centred on the fairness and compliance of the proposed agreement with relevant industrial laws. The employer argued that the agreement was necessary to address operational efficiencies and maintain competitiveness, while the employees' union contested several provisions, claiming they were detrimental to the workers' rights and entitlements.

The legal issues that required resolution included whether the proposed agreement provided adequate protections for employees and whether it complied with the relevant provisions of the Fair Work Act 2009. The court had to consider the balance between the employer's need for operational flexibility and the employees' right to fair and just treatment under the law. Additionally, the court examined if the agreement met the statutory requirements for being an enterprise agreement, such as whether it was made in good faith and whether it covered the correct bargaining unit.

The Fair Work Commission found that while the Diab Agreement 2022 included provisions that were favourable to the employer, it also contained clauses that could potentially disadvantage employees. However, after considering the arguments from both parties and the broader context of industrial relations, the Commission concluded that the agreement was fair and reasonable overall. The Commission approved the agreement, subject to certain modifications to address the union's concerns about specific provisions. These modifications ensured compliance with the Fair Work Act 2009 and provided adequate protections for the employees.

The final orders included the approval of the Diab Agreement 2022, with the specified modifications, ensuring it met the necessary legal standards and provided a fair outcome for both the employer and employees.

Diab Engineering Pty Ltd T/A Diab Engineering Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established