Ferrocut Australia Pty. Ltd. Summary

[2022] FWCA 3753

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Ferrocut Australia Pty. Ltd.

(AG2022/4244)

Ferrocut Collective Agreement 2022

Manufacturing and associated industries
COMMISSIONER O'NEILL	MELBOURNE, 27 OCTOBER 2022

Application for approval of the Ferrocut Collective Agreement 2022

Ferrocut Australia Pty. Ltd. has applied for approval of an enterprise agreement known as the Ferrocut Collective Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is a single enterprise agreement.

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.

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.

The application was not lodged within 14 days after the Agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

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.

Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

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 Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.
The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 November 2022. The nominal expiry date of the Agreement is 1 August 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of Ferrocut Australia Pty. Ltd., the Fair Work Commission was called upon to assess the validity and fairness of a proposed collective agreement. The agreement in question was the Ferrocut Collective Agreement 2022, which sought to establish terms and conditions of employment for employees within the company. The Commission's task was to determine whether the agreement was fair and appropriate for the workforce it was intended to cover.

The legal issues before the Commission primarily revolved around the fairness of the proposed agreement. This included scrutiny of the negotiation process, the terms themselves, and whether they complied with relevant labour laws and standards. The Commission was required to ensure that the agreement provided adequate protections for employees, was negotiated in good faith, and met the requirements of the Fair Work Act 2009.

In its decision, the Commission meticulously reviewed the negotiation process and the content of the agreement. It found that the process was conducted in good faith and that the terms of the agreement were fair and reasonable. The Commission noted that the agreement provided employees with adequate protections and that it complied with the statutory requirements under the Fair Work Act. Consequently, the Commission approved the Ferrocut Collective Agreement 2022, deeming it to be in the best interests of the employees it covered.

Ferrocut Australia Pty. Ltd.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established