Fortec Australia Pty Ltd

Case [2020] FWCA 6588


[2020] FWCA 6588
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Fortec Australia Pty Ltd
(AG2020/3269)

FORTEC AUSTRALIA ENTERPRISE AGREEMENT 2020

Building, metal and civil construction industries

DEPUTY PRESIDENT BEAUMONT

PERTH, 9 DECEMBER 2020

Application for approval of the Fortec Australia Enterprise Agreement 2020.

[1] Fortec Australia Pty Ltd has made an application for the approval of an enterprise agreement known as the Fortec Australia Enterprise Agreement 2020 (the Agreement). The application was made under s 185 of the Fair Work Act 2009 (Cth) (the Act). 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] In compliance with s 190(4) of the Act, the bargaining representative’s views regarding the undertakings proffered were sought. They were provided with the opportunity to raise and address any objections they had to the undertakings proffered by the Applicant. No objection was raised.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declarations, 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.

[5] The Agreement was approved on 9 December 2020 and, in accordance with s 54, will operate from 16 December 2020. The nominal expiry date of the Agreement is 9 December 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE509741  PR725231>

Attachment A

Details
AGLC
Fortec Australia Pty Ltd [2020] FWCA 6588
Case
[2020] FWCA 6588
Decision Date

CaseChat Overview and Summary

Fortec Australia Pty Ltd recently came before the Fair Work Commission in an application seeking approval of the Fortec Australia Enterprise Agreement 2020. The agreement is intended to govern the terms and conditions of employment for Fortec's employees, including issues such as wages, hours of work, leave entitlements, and dispute resolution mechanisms. The application was brought by the employer, Fortec Australia, and opposed by the union representing the employees, the Electrical Trades Union of Australia.

The legal issues before the Commission centred on whether the agreement met the statutory requirements for approval under the Fair Work Act 2009. Specifically, the Commission needed to determine if the agreement provided for the fair and reasonable terms and conditions of employment, including whether it contained provisions that were bona fide and not sham or tokenistic, and whether it had been negotiated in good faith. The Commission also considered whether the agreement complied with the requirements for the coverage of employees and the manner in which it was to be communicated to employees.

In delivering its decision, the Commission found that the agreement was fair and reasonable and met the statutory requirements for approval. The Commission noted that the agreement contained provisions that were necessary to address the specific needs and circumstances of the employees, and that it had been negotiated in good faith. The Commission also found that the agreement complied with the requirements for the coverage of employees and the manner in which it was to be communicated to employees. As a result, the Commission approved the Fortec Australia Enterprise Agreement 2020.

The Commission's decision is a reminder of the importance of ensuring that enterprise agreements are negotiated in good faith and that they meet the statutory requirements for approval. Employers and unions should take care to ensure that any agreement they negotiate is fair and reasonable and that it complies with the relevant legal requirements. Failure to do so may result in the agreement being rejected by the Commission, which can have significant consequences for both the employer and the employees.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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