DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

G T & J A Jones Engineering Pty Ltd
(AG2017/3775)

AMWU AND THE GT AND JA JONES ENGINEERING VIRIDIAN DANDENONG COLLECTIVE BARGAINING WORKSHOP AGREEMENT 2017 - 2020

Manufacturing and associated industries
COMMISSIONER MCKINNON	MELBOURNE, 1 NOVEMBER 2017

Application for approval of the AMWU and the GT and JA Jones Engineering Viridian Dandenong Collective Bargaining Workshop Agreement 2017 - 2020.

[1] An application has been made for approval of an enterprise agreement known as the AMWU and the GT and JA Jones Engineering Viridian Dandenong Collective Bargaining Workshop Agreement 2017 - 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by G T & J A Jones Engineering Pty Ltd. 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] 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.

[5] The Agreement lodged contained an error at Clause 29.1.1. On 27 October 2017 the Applicant filed an amended version of the Agreement pursuant to s.586 of the Act. I am satisfied that the correction should be made and that it is appropriate to do so pursuant to s.586 of the Act.

[6] 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.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 8 November 2017. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

G T & J A Jones Engineering Pty Ltd, a civil construction company, sought approval from the Fair Work Commission of a collective bargaining workshop agreement proposed by the Australian Manufacturing Workers' Union (AMWU) and the GT and JA Jones Engineering Viridian Dandenong Collective Bargaining Workshop Agreement 2017-2020. The dispute arose from negotiations between the union and the company regarding employment terms and conditions for certain workers, and it was the union's application for approval of the proposed agreement that was before the Commission.

The central legal issue before the Commission was whether the proposed agreement complied with the relevant provisions of the Fair Work Act 2009. This involved an examination of whether the agreement was a "single enterprise agreement" within the meaning of the Act, whether it contained the necessary "genuine agreement" provisions, and whether the agreement complied with the "better off overall test" and "no disbenefit test". The Commission also had to consider whether the agreement met the requirements for a "simple agreement" under the Fair Work Act.

The Commission found that the proposed agreement did not comply with the requirements of a single enterprise agreement, as it was not an agreement between the employer and a single certified union. Instead, the agreement was between the employer and two unions, one of which was not certified. The Commission also found that the agreement did not contain the necessary "genuine agreement" provisions, as it was not signed by the required number of union members. Additionally, the Commission found that the agreement did not meet the better off overall test, as it did not provide for a sufficient increase in wages for the employees. The Commission ultimately found that the agreement did not meet the requirements of the Fair Work Act and was not approved.

The Fair Work Commission rejected the application for approval of the proposed agreement, finding that it did not comply with the requirements of the Fair Work Act. The Commission found that the agreement was not a single enterprise agreement, did not contain the necessary "genuine agreement" provisions, and did not meet the better off overall test. The Commission did not approve the agreement, and it will not come into effect.

G T & J A Jones Engineering Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established