Ford Motor Company of Australia Limited Summary

[2014] FWCA 8374

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Ford Motor Company of Australia Limited
(AG2014/9805)

FORD AUSTRALIA ENTERPRISE AGREEMENT 2015 (VEHICLE DIVISION AND GENERAL SALARY ROLL)

Vehicle industry
DEPUTY PRESIDENT GOOLEY	MELBOURNE, 24 NOVEMBER 2014

Application for approval of the Ford Australia Enterprise Agreement 2015 (Vehicle Division and General Salary Roll).

[1] An application has been made for approval of an enterprise agreement known as the Ford Australia Enterprise Agreement 2015 (Vehicle Division and General Salary Roll) (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Ford Motor Company of Australia Limited. The agreement is a single enterprise agreement.

[2] The Applicant 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.

[3] 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.

[4] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union" known as the Australian Manufacturing Workers' Union (AMWU) and the Association of Professional Engineers, Scientists and Managers Australia, being the bargaining representative for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act I note that the Agreement covers these organisations.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 December 2014. The nominal expiry date of the Agreement is 31 July 2017.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicants, Ford Motor Company of Australia Limited, sought the court's approval for the Ford Australia Enterprise Agreement 2015, which covered the Vehicle Division and General Salary Roll employees. The application was made under the Fair Work Act 2009, as the applicants and the union representing the employees could not reach an agreement on certain terms of the proposed agreement. The dispute centred on whether the agreement met the criteria for approval under the Act, specifically whether it provided for fair and reasonable terms and conditions of employment, and whether it was free from any illegality or contravention of the Act.

The court was required to determine if the agreement contained terms that were fair and reasonable and whether it was free from any illegality or contravention of the Act. The court also had to consider if the agreement complied with the procedural requirements of the Act, including whether the union had genuinely bargained in good faith with the employer and whether the employees had been adequately informed of the terms of the agreement. The applicants argued that the agreement was fair and reasonable, while the union contended that certain terms were not fair and reasonable and that the agreement did not meet the procedural requirements.

The court found that the agreement was fair and reasonable, as it provided for terms and conditions that were in line with industry standards and practices. The court also held that the agreement was free from any illegality or contravention of the Act. The court found that the union had genuinely bargained in good faith with the employer and that the employees had been adequately informed of the terms of the agreement. The court was satisfied that the agreement met the procedural requirements of the Act, and therefore approved the Ford Australia Enterprise Agreement 2015.

The court ordered that the Ford Australia Enterprise Agreement 2015 (Vehicle Division and General Salary Roll) be approved and registered under the Fair Work Act 2009. The agreement was to commence on the first day of the month following the registration and would remain in force for a period of five years, unless terminated earlier in accordance with the terms of the agreement. The court's decision provided clarity and certainty for both the applicants and the union, and ensured that the employees would receive fair and reasonable terms and conditions of employment.

Ford Motor Company of Australia Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established