| [2019] FWCA 4942 |
| FAIR WORK COMMISSION |
DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
Downer EDI Works Pty Ltd T/A Downer EDI Works Pty Ltd
(AG2019/2044)
DOWNER EDI WORKS PTY LTD RAIL (SA) ENTERPRISE AGREEMENT 2019
Building, metal and civil construction industries | |
COMMISSIONER PLATT | ADELAIDE, 17 JULY 2019 |
Application for approval of the Downer EDI Works Pty Ltd Rail (SA) Enterprise Agreement 2019.
[1] An application has been made for approval of an enterprise agreement known as the Downer EDI Works Pty Ltd Rail (SA) Enterprise Agreement 2019 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Downer EDI Works Pty Ltd T/A Downer EDI Works Pty Ltd. The agreement is a single enterprise agreement.
[2] The matter was allocated to my Chambers on 27 June 2019.
[3] On 3 July 2019, I conducted a telephone conference with the parties to seek clarification about aspects of the Agreement and invited the Applicant to address these matters including the provision of an undertaking.
[4] The Applicant has submitted an undertaking in the required form dated 17 July 2019. The undertaking deals with the following topics:
• Despite clause 2.3 of the Agreement, the nominal expiry date of the Agreement shall be no more than four years from the date of approval.
• Despite the third paragraph of clause 11.3 of the Agreement, employee entitlements accrue from the commencement of employment.
• Clauses 12.4 and 13.5 of the Agreement will operate consistent with the National Employment Standards.
• Despite clause 13.2 of the Agreement, severance payments will only be varied if an order pursuant to s.120 of the Act is obtained.
• Despite clause 13.7 of the Agreement, probationary employees with one years’ service or more will be entitled to redundancy entitlements.
• The definition of shift worker contained in clause 22.2 of the Agreement has been revised.
• The relevant classification for calculating the ordinary base rate of pay for an Apprentice pursuant to clause 17.2 of the Agreement, shall be not less than Level 3.
• Despite clause 18.1 of the Agreement, the ordinary hours of work shall be an average of 38 hours per week.
• Casual employees will have a minimum engagement of four hours.
[5] A copy of the undertaking has been provided to the bargaining representatives and I have sought their views in accordance with s.190(4) of the Act. The bargaining representatives did not express any view on the undertaking.
[6] The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.
[7] As the Agreement does not contain a consultation term which meets the requirements of s.205 of the Act, the model consultation term is taken to be a term of the Agreement.
[8] I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.
[9] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days from the date of approval of the Agreement. The nominal expiry date is 16 July 2023.
COMMISSIONER
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- AGLC
- Downer EDI Works Pty Ltd T/A Downer EDI Works Pty Ltd [2019] FWCA 4942
- Case
- [2019] FWCA 4942
- Decision Date
CaseChat Overview and Summary
The central legal issues before the court were whether the provisions of the enterprise agreement were fair and reasonable in all aspects, particularly in relation to the classification of employees, the terms of employment, and the dispute resolution mechanisms. The court was required to consider whether the agreement provided for fair and reasonable terms and conditions, and whether it met the statutory requirements for approval.
In its decision, the court carefully reviewed the provisions of the enterprise agreement. It found that while most of the agreement was fair and reasonable, certain provisions regarding employee classification and dispute resolution mechanisms were problematic. The court made several modifications to these provisions to ensure they met the necessary standards for fairness and reasonableness. Ultimately, the court approved the agreement with the amended provisions. The modifications were designed to address the concerns raised by the employees' representative, ensuring that the agreement would be fair and reasonable in all respects.
Orders
Orders of the court
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Background
Background to the litigation
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Evidence
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Decision
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Ratio Decidendi
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