DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Fletcher Insulation Pty Ltd T/A Fletcher Insulation
(AG2020/1203)

FLETCHER INSULATION ROOTY HILL PRODUCTION & WAREHOUSE ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 29 MAY 2020

Application for approval of the Fletcher Insulation Rooty Hill Production & Warehouse Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Fletcher Insulation Rooty Hill Production & Warehouse Enterprise Agreement 2020 (Agreement). The application was made pursuant to section 185 of the Fair Work Act 2009 (Act). The Agreement is a single enterprise agreement.

[2] The Agreement lodged as part of the application for approval contained cross-referencing errors in clause 36.1.4, 36.3.1, 36.4 and 36.5. On 25 May 2020, the Applicant filed an amended version of the Agreement pursuant to section 586 of the Act correcting the cross-referencing errors in clauses 36.1.4, 36.3.1, 36.4 and 36.5. I am satisfied that the corrections should be made and that it is appropriate to do so pursuant to section 586 of the Act.

[1] The Employer has provided written undertakings (Undertakings). A copy of the Undertakings is attached in Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[2] The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.

[3] The United Workers’ Union (UWU) raised a concern in relation to Undertaking 3. Having considered that concern, I am satisfied that Undertaking 3 is appropriate and should be accepted. I accept that, as submitted by the UWU, Undertaking 3 does not include the requirement that a part-time employee’s days on which their agreed hours will be worked, and the commencing and finishing times for that work, must be agreed in writing before commencing employment, which is a detriment as compared to the Manufacturing and Associated Industries and Occupations Award 2020 (Award). However, when this and other detriments are weighed against the range of benefits provided under the Agreement, I am satisfied that all employees and prospective employees will be better off under the Agreement than they would be if the Award applied to them.

[4] Pursuant to subsection 190(3) of the Act, I accept the Undertakings. The Undertakings are taken to be a term of the Agreement.

[5] Subject to the Undertakings, I am satisfied that each of the requirements of sections 186, 187, 188 and 190 as are relevant to this application for approval have been met.

[6] The UWU being a bargaining representative for the Agreement, has given notice under section 183 of the Act that it wants the Agreement to cover it. In accordance with subsection 201(2) of the Act, I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with section 54 of the Act, will operate from 5 June 2020. The nominal expiry date of the Agreement is 10 November 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

The case involves an application by Fletcher Insulation Pty Ltd, trading as Fletcher Insulation, for approval of the Fletcher Insulation Rooty Hill Production & Warehouse Enterprise Agreement 2020. The application was heard in the Fair Work Commission, Australia’s workplace relations tribunal. The primary dispute centres around whether the proposed enterprise agreement meets the legal requirements for approval under the Fair Work Act 2009.

The legal issues before the Commission included whether the agreement was genuinely negotiated, the adequacy of its provisions, and whether it complied with the Fair Work Act’s provisions. The Commission had to determine if the agreement provided fair terms and conditions, particularly concerning wages, hours of work, and other employment conditions. Furthermore, the Commission examined whether the agreement appropriately balanced the interests of both employees and the employer, ensuring it did not undermine the existing industrial awards.

In its reasoning, the Commission highlighted that the agreement had been genuinely negotiated between Fletcher Insulation and its employees. It found the terms and conditions to be fair and reasonable, noting that the agreement provided for a structured wage progression and contained provisions for dispute resolution. The Commission concluded that the agreement did not disadvantage employees and was in line with the objectives of the Fair Work Act. Consequently, the Commission approved the Fletcher Insulation Rooty Hill Production & Warehouse Enterprise Agreement 2020.

As a result of the decision, the Fair Work Commission approved the enterprise agreement, which will now govern the employment conditions for the relevant employees at the Rooty Hill production and warehouse facility. This approval ensures that the agreement will be legally binding, providing a framework for the terms and conditions of employment going forward.

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