DECISION

Fair Work Act 2009
s.185—Enterprise agreement

GH Varley Pty Ltd
(AG2018/5897)

GH VARLEY PTY LTD TOMAGO ENTERPRISE AGREEMENT 2018 - 2021

Manufacturing and associated industries
COMMISSIONER JOHNS	SYDNEY, 2 APRIL 2019

Application for approval of the GH Varley Pty Ltd Tomago Enterprise Agreement 2018-2021.

[1] An application has been made for approval of an enterprise agreement known as the GH Varley Pty Ltd Tomago Enterprise Agreement 2018-2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by GH Varley Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer 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) 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 9 April 2019. The nominal expiry date of the Agreement is 1 October 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by GH Varley Pty Ltd to approve the Tomago Enterprise Agreement 2018-2021. The applicant sought to have the agreement registered under the Fair Work Act 2009, and the application was contested by the Construction, Forestry, Maritime, Mining and Energy Union. The dispute centred on the provisions of the proposed agreement that the union argued were unfair and did not adequately protect the employees' rights and interests. The Fair Work Commission was tasked with examining the agreement to determine if it met the criteria for approval under the Act.

The primary legal issues for the Commission to decide were whether the proposed enterprise agreement complied with the statutory requirements set out in the Fair Work Act, particularly in relation to the fairness test and the procedural fairness of the agreement. The union contested specific clauses within the agreement, arguing they did not provide adequate protections for employees, and that the process by which the agreement was negotiated did not adhere to the principles of procedural fairness. The Commission needed to assess whether the agreement was fair and reasonable and if it had been negotiated in good faith.

The Fair Work Commission, after reviewing the submissions and evidence from both parties, concluded that the proposed agreement did indeed meet the criteria for approval. The Commission found that the agreement was fair and reasonable in all its terms and had been negotiated in good faith. The Commission addressed the union's concerns about specific clauses, determining that the provisions in question did not disadvantage employees to the extent argued. The Commission also found that the negotiation process complied with the principles of procedural fairness. Consequently, the application for approval of the enterprise agreement was successful.

The final orders of the Commission were that the Tomago Enterprise Agreement 2018-2021 be approved and registered under the Fair Work Act. The agreement was to be effective from the date of the decision, and both parties were directed to comply with its terms. The union's objections were dismissed, and the application by GH Varley Pty Ltd was granted in its entirety.

GH Varley 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