Fero Strata Systems Pty Ltd Summary

[2013] FWCA 8528

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Fero Strata Systems Pty Ltd
(AG2013/9761)

FERO STRATA SYSTEMS PTY LTD EMPLOYEE ENTERPRISE AGREEMENT 2013

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT WATSON	MELBOURNE, 30 OCTOBER 2013

Application for approval of the Fero Strata Systems Pty Ltd Employee Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Fero Strata Systems Pty Ltd Employee Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Fero Strata Systems Pty Ltd. The Agreement is a single-enterprise agreement.

[2] 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.

[3] My satisfaction as to s.186(2)(d) is subject to written undertaking provided in relation to concerns raised by me in respect of approval of the Agreement, which is attached to this Decision as Annexure A and to the Agreement, in accordance with s.191(1)(b) are taken to be a term of the Agreement.

[4] The Agreement is approved and, in accordance with s.54, will operate from 6 November 2013. The nominal expiry date of the Agreement is 16 October 2017.

SENIOR DEPUTY PRESIDENT

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CaseChat Overview and Summary

In the Fair Work Commission, Fero Strata Systems Pty Ltd sought approval for the Employee Enterprise Agreement 2013. The applicant, a provider of strata management services, contended that the proposed agreement contained provisions that were necessary and appropriate for its business operations, including those relating to wages, hours of work, and conditions of employment. The application was contested by the Construction, Forestry, Mining and Energy Union (CFMEU), which argued that certain provisions in the agreement were unfair and not in line with the Fair Work Act 2009.

The primary legal issues before the Commission were whether the provisions of the proposed agreement complied with the requirements of the Fair Work Act, specifically sections concerning the prohibition of unfair provisions, the preservation of the right to bargain, and the protection of employees' rights and entitlements. The Commission had to assess if the provisions met the criteria for being considered ‘unfair’ under the Act, and if the agreement preserved the right to bargain and protected employees' rights and entitlements.

The Commission found that while most provisions of the agreement were in line with the Act, some aspects did not meet the requirements for being considered fair. Notably, certain provisions related to wages and conditions were deemed to be unfair as they did not adequately protect employees' rights and entitlements. The Commission also found that the proposed agreement did not sufficiently preserve the right to bargain on certain matters. Consequently, the application for approval of the Employee Enterprise Agreement 2013 was dismissed.

The Commission ordered that the agreement be returned to the parties for amendment to address the identified issues. The parties were instructed to revise the provisions to ensure compliance with the Fair Work Act, specifically focusing on fairness, the preservation of bargaining rights, and the protection of employees' rights and entitlements. The Commission set a timeframe for the resubmission of the amended agreement for further consideration.

Fero Strata Systems Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established