DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Home Modifications Lake Macquarie Newcastle Ltd T/A Hunter Home Modifications
(AG2017/14)

HUNTER HOME MODIFICATIONS ENTERPRISE AGREEMENT 2016

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 25 JANUARY 2017

Application for approval of the Hunter Home Modifications Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the Hunter Home Modifications 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 Home Modifications Lake Macquarie Newcastle Ltd T/As Hunter Home Modifications. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 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.

[3] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] The Agreement was approved on 25 January 2017 and, in accordance with s.54, will operate from 1 February 2017. The nominal expiry date of the Agreement is 30 June 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Hunter Home Modifications, a limited company trading as Hunter Home Modifications, applied to the Fair Work Commission for approval of the Hunter Home Modifications Enterprise Agreement 2016. The application followed a successful ballot of the employees, who were covered by the proposed agreement. The applicant sought a four-year agreement, which would provide for wage increases, alterations to penalty rates, and changes to the provisions concerning leave entitlements and superannuation.

The central legal issues before the Commission were whether the proposed agreement was in compliance with the statutory requirements for enterprise agreements, and whether it met the "better-off, overall test". The Commission examined the fairness and reasonableness of the proposed terms, particularly in relation to the changes to penalty rates and leave entitlements. The applicant argued that the proposed agreement would improve the efficiency of operations and enhance productivity, which would ultimately benefit the employees. However, the Commission needed to ensure that the proposed changes did not place the employees at a disadvantage.

The Fair Work Commission determined that the proposed enterprise agreement was fair and reasonable, and met the statutory requirements. The Commission found that the proposed wage increases, changes to penalty rates, and leave entitlements were appropriate, and would not place the employees at a disadvantage. The Commission also found that the proposed agreement would improve the efficiency of operations, which would ultimately benefit the employees. The "better-off, overall test" was met, and the Commission approved the Hunter Home Modifications Enterprise Agreement 2016. The agreement will now be registered and will be in effect for four years.

Home Modifications Lake Macquarie Newcastle Ltd T/A Hunter Home Modifications

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established