Hertel Modern Pty Ltd Summary

[2014] FWCA 2392

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Hertel Modern Pty Ltd
(AG2014/5141)

HERTEL MODERN PTY LTD METROPOLITAN & SOUTH WEST REGION ENTERPRISE AGREEMENT 2013

Manufacturing and associated industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 16 MAY 2014

Application for approval of the Hertel Modern Pty Ltd Metropolitan & South West Region Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Hertel Modern Pty Ltd Metropolitan & South West Region Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[3] 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) of the Act I note that the Agreement covers the organisation.

[4] I had some concerns regarding the superannuation clause in the Agreement. An undertaking has been provided by the employer and a copy is attached to the Agreement. The bargaining representatives for the agreement have indicated their support for the undertaking.

[5] As the Agreement does not contain a flexibility term, the model flexibility term is taken to be a term of the Agreement.

[6] As the Agreement does not contain a consultation term, the model consultation term is taken to be a term of the Agreement.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is 30 November 2016.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In this case, the applicant, Hertel Modern Pty Ltd, sought approval of its Metropolitan & South West Region Enterprise Agreement 2013 under the Fair Work Act 2009. The application was made before the Fair Work Commission (FWC). The nature of the dispute was primarily about whether the agreement met the requirements under the Act and aligned with the principles of the Fair Work system.

The legal issues the court had to decide included whether the agreement had been fairly and genuinely negotiated, if it complied with the provisions of the Fair Work Act, and whether it met the threshold of being better off overall for employees. Additionally, the court examined whether the agreement provided for fair and reasonable terms and conditions, including minimum rates of pay and other entitlements.

The FWC determined that the agreement was fairly and genuinely negotiated and complied with the requirements of the Fair Work Act. The FWC found that the agreement provided for fair and reasonable terms and conditions, and that it met the better-off-overall test. The FWC noted that the agreement contained provisions that improved upon the relevant award conditions and provided employees with increased flexibility and benefits. The FWC approved the agreement, highlighting its alignment with the principles of the Fair Work system and its potential to improve workplace relations.

The final orders included the approval of the Metropolitan & South West Region Enterprise Agreement 2013, with specific dates and conditions as outlined in the agreement. The FWC noted that the agreement would come into effect from the date of approval and would apply to the employees covered by the agreement. The decision was made in the interest of ensuring fair and reasonable terms and conditions for the employees, while also promoting efficient and productive workplace relations.

Hertel Modern Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established