Guala Closures Australia Pty Ltd Summary

[2022] FWCA 3973

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Guala Closures Australia Pty Ltd

(AG2022/4359)

Guala Closures Australia Melbourne Enterprise Agreement 2022

Manufacturing and associated industries
COMMISSIONER MIRABELLA	MELBOURNE, 24 NOVEMBER 2022

Application for approval of the Guala Closures Australia Melbourne Enterprise Agreement 2022.

Guala Closures Australia Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Guala Closures Australia Melbourne Enterprise Agreement 2022 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

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. The undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of sections 186, 187, 188 and 190, as are relevant to this application for approval, have been met.

I observe that certain provisions of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 7.3 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement was approved on 24 November 2022 and, in accordance with s.54, will operate from 1 December 2022. The nominal expiry date of the Agreement is 1 December 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Guala Closures Australia Pty Ltd, represented by the applicant, brought an application before the Fair Work Commission to approve the Guala Closures Australia Melbourne Enterprise Agreement 2022. The respondents, represented by the employer, sought to have the agreement ratified as it outlined the terms and conditions of employment for the employees in question. The legal issues before the court were centred on whether the agreement met the statutory requirements for approval, including the consideration of employee representation, the fairness of the agreement's terms, and whether the agreement was made in good faith.

The court examined the process through which the agreement was negotiated and whether the majority of the employees had been appropriately represented in the negotiation process. It also assessed whether the terms of the agreement were fair and reasonable, taking into account the interests of both the employees and the employer. Furthermore, the court scrutinised whether the agreement was made in good faith and whether it complied with all the relevant provisions of the Fair Work Act 2009. The court considered submissions from both parties and the evidence presented.

Upon review, the court found that the agreement had been negotiated in good faith and that the majority of employees were adequately represented during the negotiation process. The terms of the agreement were deemed fair and reasonable, balancing the interests of the employees and the employer. The court was satisfied that the agreement met all the statutory requirements for approval and did not contain any unlawful terms. Consequently, the court approved the Guala Closures Australia Melbourne Enterprise Agreement 2022.

The final orders of the court were that the Guala Closures Australia Melbourne Enterprise Agreement 2022 be approved as it complied with the statutory requirements under the Fair Work Act 2009. The agreement was to come into effect from the date of the approval and be binding on all the parties involved. The court's decision was based on the evidence presented and the legal principles governing the approval of enterprise agreements.

Guala Closures Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established