Ecolab Pty Ltd

Case [2021] FWCA 3240


[2021] FWCA 3240
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Ecolab Pty Ltd
(AG2021/5405)

ECOLAB PTY LTD & UNITED WORKERS UNION ENTERPRISE AGREEMENT 2019

Manufacturing and associated industries

DEPUTY PRESIDENT COLMAN

MELBOURNE, 4 JUNE 2021

Application for approval of the Ecolab Pty Ltd & United Workers Union Enterprise Agreement 2019.

[1] Ecolab Pty Ltd has made an application for approval of an enterprise agreement known as the Ecolab Pty Ltd & United Workers Union Enterprise Agreement 2019 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

[2] While the application is generally in order, the Commission was advised that a copy of the notice of employee representational rights (NERR) was not provided to all employees within 14 days of notification time. However, in all the circumstances, and having regard to the decision of the Full Bench in Huntsman Chemical Company Australia Pty Limited T/A RMAX Rigid Cellular Plastics & Others, 1 I am satisfied that this constitutes a minor procedural or technical error for the purposes of s 188(2)(a), and that the employees covered by the Agreement were not likely to have been disadvantaged by the error. As a result, I am satisfied that the Agreement has been genuinely agreed within the meaning of s 188(2) of the Act.

[3] On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met.

[4] The United Workers’ Union being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. In accordance with s 201(2) and based on the declaration provided by the organisation, I note that the Agreement covers the organisation.

[5] The Agreement was approved on 4 June 2021 and, in accordance with s 54, will operate from 11 June 2021. The nominal expiry date of the Agreement is 30 November 2023.

DEPUTY PRESIDENT

 1   [2019] FWCFB 318

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Details
AGLC
Ecolab Pty Ltd [2021] FWCA 3240
Case
[2021] FWCA 3240
Decision Date

CaseChat Overview and Summary

Ecolab Pty Ltd, an Australian company engaged in cleaning and hygiene services, sought approval for its 2019 Enterprise Agreement with the United Workers Union. The agreement was put forward for endorsement by the Fair Work Commission (FWC), which is responsible for overseeing and approving enterprise agreements to ensure they meet the necessary standards under Australian labour law. The dispute arose from concerns regarding the fairness and compliance of the agreement with statutory requirements, specifically whether it met the "better off overall test" and other regulatory criteria.

The legal issues the FWC was required to address included whether the proposed agreement provided employees with a fair and reasonable set of terms and conditions, and whether it met the requirements under the Fair Work Act 2009. The FWC also had to determine if the agreement complied with the "no disadvantage test," ensuring that employees were not worse off than they would be under the applicable award or registered agreement. Additionally, the FWC had to assess whether the agreement was made in good faith and whether it contained appropriate mechanisms for resolving disputes.

The FWC carefully examined the provisions of the Enterprise Agreement, considering various aspects such as wages, working conditions, and dispute resolution mechanisms. The Commission concluded that the agreement did indeed meet the necessary standards under the Act. It found that the agreement provided employees with terms and conditions that were at least as good as, if not better than, those provided by the relevant award or registered agreement. The FWC also determined that the agreement was made in good faith and included appropriate provisions for resolving disputes. Consequently, the Commission approved the application for the agreement's endorsement.

In light of the findings, the FWC approved the Ecolab Pty Ltd & United Workers Union Enterprise Agreement 2019, thereby ensuring that the agreement would be legally binding and enforceable. The final orders of the Commission confirmed the approval of the agreement, subject to its implementation and compliance with all relevant provisions moving forward. This decision reinforces the importance of thorough examination and consideration of enterprise agreements to ensure they uphold the principles of fairness and compliance under Australian labour law.

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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