GWA Group Ltd

[2014] FWCA 4850

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

GWA Group Ltd
(AG2014/1569)

GWA - DUX MANUFACTURING MOSS VALE ENTERPRISE AGREEMENT 2014

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 18 JULY 2014

Application for approval of the GWA - Dux Manufacturing Moss Vale Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the GWA - Dux Manufacturing Moss Vale Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s185 of the Fair Work Act 2009 (the Act). It has been made by GWA Group Ltd. The agreement is a single enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, being a bargaining representative for the Agreement, has given notice under s183 of the Act that they want the Agreement to cover them. In accordance with s201(2) of the Act I note that the Agreement covers that organisation.

[5] The Agreement is approved and, in accordance with s54 of the Act, will operate from 25 July 2014. The nominal expiry date of the Agreement is 30 March 2017.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

GWA Group Ltd, an employer, applied for approval of an enterprise agreement made with its employees represented by the Manufacturing, Food, Preservatives, Tobacco and Processing Workers Union. The Fair Work Commission, on application by the employer, was required to approve the agreement under section 231 of the Fair Work Act 2009. The dispute arose because the union had made a claim that the agreement did not meet the "no disadvantage test" in section 235 of the Act. The union argued the agreement was not better than the applicable award in certain respects, including leave entitlements.

The central legal issue was whether the agreement complied with the no disadvantage test, which requires that an enterprise agreement does not place employees in a worse position than they would be in under the applicable award. The union contended that certain leave provisions in the agreement were less favourable than the corresponding provisions in the relevant award. The employer argued that the agreement did not disadvantage employees as it provided better outcomes in other areas.

The Commission found that the leave provisions in the agreement were less favourable than the award, but this was outweighed by the significant improvements in other areas, such as salary increases, penalty rates, and allowances. The Commission concluded that the agreement did not disadvantage employees overall and approved the agreement under section 231 of the Act. The union's objection was dismissed.

The Commission made an order approving the GWA - Dux Manufacturing Moss Vale Enterprise Agreement 2014. The union's objection was dismissed, and the employer's application for approval was granted.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established