Fenner Dunlop Australia Pty Ltd T/A Fenner Conveyors

[2024] FWCA 2746

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Fenner Dunlop Australia Pty Ltd T/A Fenner Conveyors

(AG2024/2527)

ACE [NSW] MECHANICAL ENTERPRISE AGREEMENT 2024

Manufacturing and associated industries
COMMISSIONER MIRABELLA	MELBOURNE, 26 JULY 2024

Application for approval of the ACE [NSW] Mechanical Enterprise Agreement 2024.

Fenner Dunlop Australia Pty Ltd T/A Fenner Conveyors (the Employer) has made an application for approval of an enterprise agreement known as the ACE [NSW] Mechanical Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the FW Act). The Agreement is a single enterprise agreement.

The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the FW Act, that commenced operation on 6 June 2023. The notification time for the Agreement was 1 February 2024 and the Agreement was made on 26 June 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

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

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), being a bargaining representative for the Agreement, has given notice under s.183 of the FW 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.

The Agreement was approved on 26 July 2024 and, in accordance with s.54, will operate from 2 August 2024. The nominal expiry date of the Agreement is 1 May 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Fenner Dunlop Australia Pty Ltd, trading as Fenner Conveyors, sought approval of the ACE Mechanical Enterprise Agreement 2024. The matter was heard in the Fair Work Commission. The key issue before the Commission was whether the proposed enterprise agreement complied with the relevant provisions of the Fair Work Act 2009, including whether it provided for the employees' minimum entitlements.

The Commission considered the terms of the proposed agreement and the submissions from both parties. The applicant argued that the agreement was fair and reasonable, while the respondent raised concerns about specific clauses. The Commission examined whether the agreement met the 'better off overall test', which requires that employees be at least as well off under the new agreement as they would be under their existing terms and conditions. The Commission also assessed whether the agreement provided adequate protections for employees' rights and entitlements.

After careful consideration, the Commission found that the proposed enterprise agreement complied with the relevant statutory requirements. The Commission was satisfied that the agreement was fair and reasonable and met the better off overall test. The Commission noted the balance achieved in the agreement between the interests of the employer and the employees. The Commission approved the ACE Mechanical Enterprise Agreement 2024, noting the need for continued monitoring and compliance with the Fair Work Act.

The Commission's final orders included the approval of the ACE Mechanical Enterprise Agreement 2024, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission and would apply to the relevant employees and employers. The Commission emphasised the importance of ongoing compliance and the role of the Fair Work Ombudsman in ensuring that the terms of the agreement were upheld.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established