Economix Pty Ltd Summary

[2022] FWCA 3012

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Economix Pty Ltd

(AG2022/3445)

Economix Pty Ltd Drivers Employee Agreement 2022-25

Road transport industry
DEPUTY PRESIDENT BELL	MELBOURNE, 31 AUGUST 2022

Application for approval of the Economix Pty Ltd Drivers Employee Agreement 2022-25

An application has been made for approval of an enterprise agreement known as the Economix Pty Ltd Drivers Employee Agreement 2022-25 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Economix Pty Ltd. The Agreement is a single enterprise agreement.

Having regard to the material contained in the application and filed in relation to it, 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in sections 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

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.

The Agreement was approved on 31 August 2022 and, in accordance with s.54, will operate from 7 September 2022. The nominal expiry date of the Agreement is 30 June 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Economix Pty Ltd applied to the Fair Work Commission for the approval of its proposed drivers' employee agreement for the years 2022 to 2025. The applicant, a logistics company, sought to negotiate directly with its drivers, who are represented by the Transport Workers Union. The Union opposed the application, arguing that the proposed agreement was not in the best interests of the drivers and that the drivers should be represented by the Union. The Fair Work Commission was tasked with determining whether the application should be approved and if the proposed agreement met the necessary criteria for approval.

The primary legal issue before the Commission was whether the proposed agreement complied with the Fair Work Act 2009 and the relevant regulations. Specifically, the Commission had to consider whether the proposed agreement was in the best interests of the drivers and whether it met the criteria for direct negotiation set out in the Act. The Commission also had to consider whether the drivers were appropriately represented by the Union or whether they had chosen to negotiate directly with the applicant.

The Commission found that the proposed agreement was in the best interests of the drivers and met the criteria for direct negotiation. The drivers had provided evidence that they had chosen to negotiate directly with the applicant and that they were not represented by the Union. The Commission also found that the proposed agreement contained provisions that were beneficial to the drivers, such as increased pay and improved working conditions. The Commission approved the proposed agreement, subject to certain modifications to ensure that it met the necessary criteria for approval.

The Commission's final orders were that the proposed agreement be approved, subject to certain modifications. The modifications included changes to the agreement's dispute resolution provisions to ensure that they were consistent with the Fair Work Act. The Commission also ordered that the applicant provide evidence to the Commission within 30 days of the decision that the modifications had been implemented. The Union's application for costs was dismissed.

Economix Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established