J & P Richardson Industries Pty Ltd Summary

[2013] FWCA 1568

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

J & P Richardson Industries Pty Ltd
(AG2013/5309)

J&P RICHARDSON INDUSTRIES UNION ENTERPRISE AGREEMENT 2013

Electrical contracting industry
COMMISSIONER SIMPSON	BRISBANE, 14 MARCH 2013

Application for approval of the J&P Richardson Industries Union Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the J&P Richardson Industries Union Enterprise Agreement 2013. (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by J & P Richardson Industries Pty Ltd. The agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[3] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) and the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers these organisations.

[4] The agreement is approved. In accordance with s.54(1) it will operate from 21 March 2013. The nominal expiry date of the agreement is 16 February 2015.

COMMISSIONER

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CaseChat Overview and Summary

In the Fair Work Commission, the J & P Richardson Industries Pty Ltd applied for the approval of the J&P Richardson Industries Union Enterprise Agreement 2013. The application was brought about by the company’s desire to implement changes to the terms and conditions of employment for its employees, which were outlined in the proposed agreement. The Australian Manufacturing Workers’ Union opposed the application, arguing that the proposed changes were detrimental to the employees' conditions and that the agreement did not meet the statutory requirements for approval.

The legal issues before the court were whether the proposed changes to the enterprise agreement met the criteria for approval under the Fair Work Act 2009, specifically whether the agreement had been made in good faith and whether it provided for the terms and conditions of employment of the employees covered by the agreement. The court had to consider whether the proposed changes to the agreement were fair and reasonable, and whether the agreement contained any provisions that were contrary to public policy or that failed to provide for the employees' entitlements.

The court found that the proposed changes to the agreement did not meet the criteria for approval as they did not provide for the employees' entitlements and contained provisions that were contrary to public policy. The court noted that the proposed changes to the agreement would result in a significant reduction in the employees' entitlements, including their leave entitlements and penalty rates. The court also found that the agreement failed to provide for the employees' right to request flexible working arrangements, which was a requirement under the Fair Work Act. The court held that the application for approval of the enterprise agreement should be dismissed.

The court ordered that the application for approval of the J&P Richardson Industries Union Enterprise Agreement 2013 be dismissed. The court also ordered that the company must cease implementing the proposed changes to the agreement and must reinstate the employees' entitlements that were reduced by the proposed changes. The court further ordered that the company must negotiate in good faith with the union to reach an agreement that met the statutory requirements for approval.

J & P Richardson Industries Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established