DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Drake Australia Pty Ltd T/A Paradigm Managed Services
(AG2019/4117)

DRAKE AUSTRALIA PTY LTD - NEW SOUTH WALES ENTERPRISE AGREEMENT 2019

Clerical industry
COMMISSIONER LEE	MELBOURNE, 8 NOVEMBER 2019

Application for approval of the Drake Australia Pty Ltd - New South Wales Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Drake Australia Pty Ltd - New South Wales Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Drake Australia Pty Ltd T/A Paradigm Managed Services. 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] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

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

• Clause 13.2 – Conversion to hourly entitlement

However, noting clause 3.2 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 15 November 2019. The nominal expiry date of the Agreement is 14 November 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Drake Australia Pty Ltd trading as Paradigm Managed Services and the Communication, Electrical and Plumbing Union of Australia. The dispute centred around the application for approval of the Drake Australia Pty Ltd - New South Wales Enterprise Agreement 2019. The Fair Work Commission, the tribunal responsible for this matter, was required to determine whether the agreement met the statutory requirements for approval under the Fair Work Act 2009.

The primary legal issue was whether the agreement was a "good faith" bargain, as required by section 230 of the Act. This involves assessing whether the agreement was made in good faith by both parties, without any coercion or undue influence. Additionally, the Commission had to consider whether the agreement complied with minimum entitlements and whether it included appropriate dispute resolution mechanisms. The parties argued over whether certain clauses within the agreement were reasonable and necessary for the efficient operation of the business.

In its decision, the Fair Work Commission held that the agreement was made in good faith and complied with the statutory requirements. The Commission noted that the agreement contained provisions for minimum wage rates and other entitlements that were no less favourable than those provided by the relevant industrial instrument. The Commission also found that the dispute resolution mechanisms were appropriate and that the agreement did not contain any unreasonable or unnecessary clauses. Consequently, the Commission approved the agreement.

The Fair Work Commission approved the Drake Australia Pty Ltd - New South Wales Enterprise Agreement 2019, determining that it met all statutory requirements for approval. The agreement was to be registered and would operate as a registered agreement from the date of the Commission's decision.

Drake Australia Pty Ltd T/A Paradigm Managed Services

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established