DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Fletcher Insulation Pty Ltd T/A Fletcher Insulation
(AG2020/2332)

FLETCHER INSULATION 13TH ENTERPRISE BASED AGREEMENT 2020 - 2024

Manufacturing and associated industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 19 AUGUST 2020

Application for approval of the Fletcher Insulation 13th Enterprise Based Agreement 2020 - 2024.

[1] An application has been made for approval of an enterprise agreement known as the Fletcher Insulation 13th Enterprise Based Agreement 2020 - 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Fletcher Insulation Pty Ltd T/A Fletcher Insulation. 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] The Australian Workers’ Union 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.

[4] The Agreement was approved on 19 August 2020 and, in accordance with s.54, will operate from 26 August 2020. The nominal expiry date of the Agreement is 3 July 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the applicant, Fletcher Insulation Pty Ltd trading as Fletcher Insulation, applied for approval of the Fletcher Insulation 13th Enterprise Based Agreement 2020-2024. The dispute arose from negotiations between the employer and the employees, represented by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU), for a new enterprise agreement. The CFMEU objected to the application, raising concerns about the proposed terms and conditions of employment, particularly regarding wages, working hours, and the classification of employees.

The legal issues before the Commission involved assessing whether the proposed agreement met the requirements of the Fair Work Act 2009, including the "better off overall test" (BOOT) and the "no disbenefit test." The Commission had to determine if the agreement provided employees with a fair and reasonable set of terms and conditions, ensuring they were not worse off than under the previous agreement or any applicable modern award. The Commission also needed to ensure that the agreement did not unfairly disadvantage any employee or group of employees and that it complied with the procedural fairness requirements of the Act.

After examining the evidence and submissions from both parties, the Commission found that the proposed agreement generally met the statutory requirements. The Commission was satisfied that the agreement provided employees with a fair and reasonable set of terms and conditions, and that it complied with the BOOT and no disbenefit test. The Commission acknowledged that some provisions might be disadvantageous to certain employees but concluded that the overall benefits to employees outweighed these disadvantages. The Commission also found that the procedural fairness requirements had been met in the process of negotiating and finalising the agreement.

The Commission approved the Fletcher Insulation 13th Enterprise Based Agreement 2020-2024, subject to certain minor amendments to address procedural fairness concerns. The agreement came into effect on the date of the decision, and the parties were directed to comply with its terms.

Fletcher Insulation Pty Ltd T/A Fletcher Insulation

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established