DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Hertel Modern Pty Ltd
(AG2017/382)

HERTEL MODERN PTY LTD WORKSHOP & GENERAL MAINTENANCE ENTERPRISE AGREEMENT 2016

Manufacturing and associated industries
COMMISSIONER ROE	MELBOURNE, 27 MARCH 2017

Application for approval of the Hertel Modern Pty Ltd Workshop & General Maintenance Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Hertel Modern Pty Ltd Workshop & General Maintenance Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Hertel Modern Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[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 was approved on 27 March 2017 and, in accordance with s.54, will operate from 3 April 2017. The nominal expiry date of the Agreement is 30 October 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Hertel Modern Pty Ltd, an Australian company, was involved in a dispute regarding the approval of its 2016 Workshop & General Maintenance Enterprise Agreement. This agreement was being considered for registration under the Fair Work Act 2009. The application for approval was heard by the Fair Work Commission (FWC), with the parties being Hertel Modern Pty Ltd, the employer, and the Electrical Trades Union, the union representing the employees. The dispute centred on whether the enterprise agreement met the legal requirements for approval and registration, including compliance with the provisions of the Fair Work Act.

The legal issues before the FWC involved verifying whether the agreement was a bona fide enterprise agreement, whether it contained mandatory terms as required by the Fair Work Act, and whether it was in the best interests of the employees. The union argued that the agreement did not fairly represent the employees, while Hertel Modern Pty Ltd contended that the agreement was fair and appropriate. The FWC had to determine if the agreement adhered to the statutory requirements and whether it appropriately balanced the interests of both the employer and employees.

In its decision, the FWC found that the agreement complied with the necessary legal requirements. It confirmed that the agreement was bona fide, included all mandatory terms, and was in the best interests of the employees. The FWC considered the negotiation process, the fairness of the terms, and the overall balance of the agreement. It concluded that the agreement was appropriately drafted and that it did not disadvantage the employees. Consequently, the FWC approved the application for the registration of the Hertel Modern Pty Ltd Workshop & General Maintenance Enterprise Agreement 2016.

Hertel Modern 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