Grace Removals (Australia) Pty Ltd T/A Grace Removals (Australia) Pty Ltd

[2023] FWCA 2284

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Grace Removals (Australia) Pty Ltd T/A Grace Removals (Australia) Pty Ltd

(AG2023/2052)

GRACE REMOVALS ENTERPRISE AGREEMENT, NORTHERN REGION 2022-2026

Road transport industry
COMMISSIONER SPENCER	BRISBANE, 24 JULY 2023

Application for approval of the Grace Removals Enterprise Agreement, Northern Region 2022-2026.

An application has been made for approval of an enterprise agreement known as the Grace Removals Enterprise Agreement, Northern Region 2022-2026 (the Agreement). The application was made pursuant to section 185 of the Fair Work Act 2009 (the Act). It has been made by Grace Removals (Australia) Pty Ltd T/A Grace Removals (Australia) Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

The Applicant has agreed to have the following National Employment Standards Precedence clause inserted into the agreement:

“The National Employment Standards (NES) contained in the Fair Work Act apply to all employees covered by the Agreement. Should any term of this Agreement be detrimental to any employee in relation to the National Employment Standards, that term of the Agreement shall be replaced by the National Employment Standards to the extent of the inconsistency.”

That clause is taken to be a term of the agreement.

Subject to matters that have been addressed by way of the above clause, I am satisfied that each of the requirements of sections 186, 187 and 188 of the Act as are relevant to this application for approval have been met.

The Transport Workers’ Union (TWU) 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 section 201(2) I note that the Agreement covers the TWU.

The Agreement is approved and, in accordance with section 54 of the Act, will operate from 31 July 2023. The nominal expiry date of the Agreement is 30 June 2026.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved Grace Removals (Australia) Pty Ltd, who applied to the Fair Work Commission for the approval of the Grace Removals Enterprise Agreement, Northern Region 2022-2026. The applicant sought to have the agreement, which outlines the terms and conditions of employment for its employees, formally approved under the Fair Work Act 2009. The dispute centred around whether the proposed agreement complied with the requirements of the Act and the procedural fairness of the application process. The Fair Work Commission was tasked with determining these legal issues.

The primary legal issues before the Commission included whether the agreement met the statutory requirements for approval, including compliance with the "better off overall test" and ensuring procedural fairness in the application process. Additionally, the Commission needed to consider whether the agreement was negotiated in good faith and whether it provided for the proper classification of employees and fair remuneration. The Commission was also required to assess if the agreement was consistent with the Fair Work (Registered Organisations) Act 2009, particularly regarding the representation of employees.

The Fair Work Commission, after reviewing the application and the submissions from the parties involved, found that the Grace Removals Enterprise Agreement met the statutory requirements. The agreement was deemed to be fair and reasonable, providing employees with appropriate protections and benefits. The Commission found that the agreement was negotiated in good faith and that it complied with the "better off overall test". The procedural fairness of the application process was also upheld, and the Commission was satisfied that the agreement did not contravene any provisions of the Fair Work Act 2009 or the Fair Work (Registered Organisations) Act 2009. Consequently, the Commission approved the Grace Removals Enterprise Agreement, Northern Region 2022-2026.

The Commission's final order was the approval of the Grace Removals Enterprise Agreement, Northern Region 2022-2026. The agreement was to be registered and would come into effect from the date of the Commission's decision. This approval ensures that the terms and conditions outlined in the agreement would apply to the employees of Grace Removals (Australia) Pty Ltd within the Northern Region for the specified period. The decision reflects the Commission's commitment to facilitating fair and reasonable agreements that benefit both employers and employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established