Environmental Services Group Pty Ltd

[2017] FWCA 5640

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185—Enterprise agreement

Environmental Services Group Pty Ltd

(AG2017/2943)

Environmental Services Group Pty Ltd (ESG) Enterprise Agreement 2017

Waste management industry
Commissioner Harper-Greenwell	MELBOURNE, 30 OCTOBER 2017

Application for approval of the Environmental Services Group Pty Ltd (ESG) Enterprise Agreement 2017.

An application has been made for approval of an enterprise agreement known as the Environmental Services Group Pty Ltd (ESG) Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Environmental Services Group Pty Ltd. The Agreement is a single enterprise agreement.

The Applicant 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.

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The Agreement was approved on 30 October 2017 and, in accordance with s.54, will operate from 6 November 2017. The nominal expiry date of the Agreement is 30 September 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Environmental Services Group Pty Ltd applied to the Fair Work Commission for approval of the ESG Enterprise Agreement 2017. The dispute arose between the company and its employees, represented by the Australian Manufacturing Workers' Union. The Commission was tasked with determining whether the agreement met the legal standards for approval under the Fair Work Act 2009.

The central legal issues before the Commission were whether the agreement complied with the requirements for approval and if it provided for the fair and equitable treatment of employees. This included examining the procedural fairness of the agreement's negotiation process, its provisions, and whether it met the "better off overall test" which ensures that employees are not worse off financially under the new agreement.

In making its decision, the Commission considered the evidence presented by both parties. It assessed the negotiation process to ensure that it was conducted in good faith and whether the employees had adequate opportunity to be involved in the agreement's formation. The Commission also evaluated the agreement's provisions against the legislative criteria, including the "better off overall test." After thorough consideration, the Commission found that the agreement was procedurally fair and met the necessary legislative standards. It approved the ESG Enterprise Agreement 2017 on the basis that it provided for the fair and equitable treatment of the employees.

The Commission ordered the approval of the ESG Enterprise Agreement 2017, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission and would govern the employment conditions of the employees for the specified period. The decision was binding on both the employer and the employees, setting the terms and conditions of their employment under the new agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established