Ensign Laboratories Pty Ltd; United Workers' Union

Case [2020] FWCA 1132


[2020] FWCA 1132
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Ensign Laboratories Pty Ltd; United Workers' Union
(AG2019/4504)

ENSIGN LABORATORIES AND UNITED WORKERS UNION ENTERPRISE AGREEMENT 2019-2022

Pharmaceutical industry

COMMISSIONER YILMAZ

MELBOURNE, 3 MARCH 2020

Application for approval of the Ensign Laboratories and United Workers Union Enterprise Agreement 2019-2022.

[1] An application has been made for approval of an enterprise agreement known as the Ensign Laboratories and United Workers Union Enterprise Agreement 2019-2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Ensign Laboratories Pty Ltd; United Workers’ Union. The Agreement is a single enterprise agreement.

[2] The employer did not provide employees with a copy of the incorporated material referred to at clause 7 of the Agreement in accordance with s.180(2) of the Act. Clause 7 of the Agreement states that a party to the agreement shall comply with the terms of the National Training Wage Interim Award 1994, as varied and that the agreement shall be read in conjunction with the Pharmaceutical Industry Award 2010 (the Award) but shall take precedence to the extent of any inconsistency.

[3] The employer submits its non-compliance with s.180(2) is a minor procedural error and employees did not experience any disadvantage as a result, as many of them are long term employees who have been covered by previous enterprise agreements with substantially the same provisions and are familiar with the enterprise agreement bargaining process. The United Workers’ Union supported the employer’s submissions and also submits that employees were not likely disadvantaged by the error. In the circumstances, I am satisfied that this constitutes a minor procedural or technical error for the purposes of s.188(2)(a). I am further satisfied 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.

[4] The employer has 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.

[5] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[6] 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) I note that the Agreement covers the organisation.

[7] The Agreement is approved and in accordance with s.54, will operate from 10 March 2020. The nominal expiry date of the Agreement is 30 September 2022.

COMMISSIONER

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Annexure A

Details
AGLC
Ensign Laboratories Pty Ltd; United Workers' Union [2020] FWCA 1132
Case
[2020] FWCA 1132
Decision Date

CaseChat Overview and Summary

In the case of Ensign Laboratories Pty Ltd and the United Workers' Union, the applicants sought approval of an Enterprise Agreement for the period 2019 to 2022. The dispute was heard in the Fair Work Commission. The central issue before the Commission was whether the proposed agreement met the legal requirements for approval under the Fair Work Act 2009, particularly in terms of its provisions, fairness, and compliance with the safety net standards. The applicants argued that the agreement was fair and appropriate, taking into account the unique circumstances of the parties and the workforce.

The Commission examined the agreement's provisions in detail, considering whether they met the statutory criteria for approval. This included assessing if the agreement provided for minimum wages and conditions, and whether it included any provisions that would undermine the safety net. The Commission also considered submissions from both parties, as well as any other relevant evidence presented. Ultimately, the Commission found that the agreement satisfied the necessary requirements and was fair and appropriate for the employees involved.

Based on this assessment, the Fair Work Commission approved the Ensign Laboratories and United Workers' Union Enterprise Agreement 2019-2022. The Commission concluded that the agreement was fair and appropriate, met the statutory criteria, and provided adequate protections for the employees. This decision was made in light of the evidence and submissions presented by both parties, as well as the Commission's own analysis of the agreement's provisions. The approval of the agreement ensures that the parties will be bound by its terms for the specified period, subject to any further orders or determinations made by the Commission.

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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