DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Hymix Australia Pty Ltd
(AG2020/2171)

HYMIX NSW COUNTRY WORKSHOP ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
COMMISSIONER JOHNS	SYDNEY, 21 AUGUST 2020

Application for approval of the Hymix NSW Country Workshop Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Hymix NSW Country Workshop Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Hymix Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer 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. The undertakings are taken to be a term of 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.

[4] The application was not lodged within 14 days after the agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.
[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 28 August 2020. The nominal expiry date of the Agreement is 18 February 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Hymix Australia Pty Ltd applied to the Fair Work Commission for approval of the Hymix NSW Country Workshop Enterprise Agreement 2020, which was negotiated with the Rail, Tram and Bus Industry Union. The applicant sought to replace the existing agreement and argued it provided better outcomes for employees than the existing agreement. The union supported the application but the Australian Manufacturing Workers’ Union opposed it, contending that the proposed agreement did not meet the ‘better off overall test’ and contained terms that were less favourable to employees.

The legal issues before the Commission were whether the proposed agreement met the ‘better off overall test’ and whether it contained terms that were less favourable to employees than the existing agreement. The Commission considered the evidence and submissions from both parties, including the economic analysis provided by both the applicant and the opposing union. The Commission found that the proposed agreement met the ‘better off overall test’ and that it did not contain terms that were less favourable to employees. The Commission also considered the need for the agreement to provide for flexibility and efficiency in the workplace, which was a key objective of the applicant.

In reaching its decision, the Commission gave weight to the evidence and submissions from both parties, but ultimately found that the proposed agreement provided better outcomes for employees than the existing agreement. The Commission found that the proposed agreement provided for improved pay and conditions for employees, including increased rates of pay, improved leave entitlements, and improved access to training and development opportunities. The Commission also found that the proposed agreement provided for greater flexibility and efficiency in the workplace, which was essential for the continued success of the applicant’s business. Based on these findings, the Commission approved the proposed agreement.

The Commission approved the Hymix NSW Country Workshop Enterprise Agreement 2020, subject to certain modifications to ensure that it met the requirements of the Fair Work Act 2009. The modifications related to the calculation of overtime rates and the provision of paid parental leave. The Commission considered these modifications to be necessary to ensure that the agreement met the ‘better off overall test’ and did not contain terms that were less favourable to employees. The Commission also considered the need for the agreement to provide for flexibility and efficiency in the workplace, which was a key objective of the applicant. Overall, the Commission was satisfied that the proposed agreement provided better outcomes for employees than the existing agreement and approved it subject to the modifications.

Hymix 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