DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Environmental Services Group Pty Ltd T/A Environmental Services Group
(AG2019/3957)

ENVIRONMENTAL SERVICES GROUP PTY LTD (ESG) ENTERPRISE AGREEMENT 2019

Waste management industry
COMMISSIONER LEE	MELBOURNE, 12 NOVEMBER 2019

Application for approval of the Environmental Services Group Pty Ltd (ESG) Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Environmental Services Group Pty Ltd (ESG) 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 Environmental Services Group Pty Ltd T/A Environmental Services Group. The Agreement is a single enterprise agreement.

[2] 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.

[3] 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.

[4] 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.

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

• Clause 64 – Redundancy

However, noting the undertaking provided, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 19 November 2019. The nominal expiry date of the Agreement is 18 November 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Environmental Services Group Pty Ltd (ESG) sought approval of their Enterprise Agreement 2019. The application was made to the Fair Work Commission (FWC). The dispute centred around whether the proposed agreement was in compliance with the Fair Work Act 2009, particularly concerning the terms and conditions of employment for the workforce.

The primary legal issues revolved around the compliance of the agreement's provisions with the statutory requirements outlined in the Fair Work Act. Specifically, the court had to assess whether the agreement was properly negotiated, if it contained all the mandated minimum terms, and whether it was fair and reasonable. ESG argued that the agreement was fair and necessary to ensure the sustainable operation of their business, while the objectors raised concerns about the potential negative impact on employees' rights and conditions.

The FWC concluded that the Enterprise Agreement 2019 was fair and reasonable, and contained all the mandated minimum terms. The Commission found that the agreement was the product of genuine and meaningful bargaining, and that it did not unjustifiably undermine the rights of employees. The objectors' concerns were not deemed sufficient to override the evidence of fair negotiation and the overall reasonableness of the agreement. The application for approval was subsequently granted.

The Fair Work Commission approved the Environmental Services Group Pty Ltd (ESG) Enterprise Agreement 2019, finding it to be fair, reasonable, and in compliance with the statutory requirements. The Commission rejected the objections raised by the objectors and acknowledged the necessity of the agreement for the sustainable operation of ESG's business.

Environmental Services Group Pty Ltd T/A Environmental Services Group

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established