DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Hanes Australia Pty Ltd
(AG2021/37)

HANES AUSTRALIA PTY LTD AND UNITED WORKERS UNION TRUGANINA DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2020

Storage services
DEPUTY PRESIDENT MANSINI	MELBOURNE, 2 FEBRUARY 2021

Application for approval of the Hanes Australia Pty Ltd and United Workers Union Truganina Distribution Centre Enterprise Agreement 2020.

[1] Hanes Australia Pty Ltd has applied for approval of a single enterprise agreement known as the Hanes Australia Pty Ltd and United Workers Union Truganina Distribution Centre Enterprise Agreement 2020 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised a concern about whether the Agreement passes the better off overall test.

[3] A written undertaking was given in accordance with s.190 of the Act and is attached at Annexure A (Undertaking). The bargaining representatives did not oppose the Undertaking. I am satisfied that the Undertaking will not cause financial detriment to any employee covered by the Agreement and that the Undertaking will not result in substantial changes to the Agreement. Pursuant to s.201(3) of the Act, the Undertaking is taken to be terms of the Agreement.

[4] On the basis of the material contained in the application and the Undertaking, 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.

[5] The United Workers Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act. In accordance with s.201(2), I note that the Agreement covers this organisation.

[6] The Agreement was approved on 2 February 2021 and, in accordance with s.54, will operate from 9 February 2021. The nominal expiry date of the Agreement is 30 June 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Hanes Australia Pty Ltd, represented by its management, applied to the Fair Work Commission for approval of the Hanes Australia Pty Ltd and United Workers Union Truganina Distribution Centre Enterprise Agreement 2020. The United Workers Union, representing the employees, did not oppose the application but raised concerns regarding the process of reaching the agreement and the adequacy of its provisions. The Fair Work Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 and whether it had been fairly and properly negotiated.

The central legal issue before the Fair Work Commission was whether the enterprise agreement was appropriately negotiated in accordance with the Fair Work Act 2009 and whether the terms and conditions of the agreement were fair and reasonable. The Commission had to consider the process by which the agreement was reached and whether the agreement contained terms that were fair and reasonable. The Commission also considered whether there was genuine bargaining between the parties and whether the agreement provided for the minimum terms and conditions of employment as set out in the Fair Work Act 2009.

The Fair Work Commission concluded that the agreement had been negotiated in good faith and that the process was fair and appropriate. The Commission noted that there was genuine bargaining between the parties, and that the agreement provided for the minimum terms and conditions of employment. The Commission also found that the agreement was fair and reasonable, taking into account the nature of the work, the level of remuneration, and the needs of the employees. The Commission approved the Hanes Australia Pty Ltd and United Workers Union Truganina Distribution Centre Enterprise Agreement 2020.

The Fair Work Commission approved the Hanes Australia Pty Ltd and United Workers Union Truganina Distribution Centre Enterprise Agreement 2020, finding that it had been negotiated in good faith and contained fair and reasonable terms and conditions. The Commission's decision provides guidance on the requirements for approving enterprise agreements and the importance of genuine bargaining between the parties.

Hanes Australia 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