DECISION

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

J&P Richardson Industries Pty Ltd T/A J&P Richardson Industries Pty Ltd
(AG2020/339)

J & P RICHARDSON INDUSTRIES PTY LTD UNION ENTERPRISE AGREEMENT 2020

Electrical contracting industry
COMMISSIONER HUNT	BRISBANE, 6 MARCH 2020

Application for approval of the J&P Richardson Industries Union Enterprise Agreement 2020.

[1] J&P Richardson Industries Pty Ltd (the Employer) has applied for approval of an enterprise agreement known as the J & P Richardson Industries Pty Ltd Union Enterprise Agreement 2020 (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] The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act I sought the views of the Communications, Electrical, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (the CEPU) and the nominated employee bargaining representatives for the Agreement regarding the undertakings.

[3] 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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

[4] I have taken into consideration the material filed in the Commission. 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 s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[5] The CEPU being a bargaining representative for the Agreement has given notice under s.183 of the Act that it wants the Agreement to cover it. The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing Workers’ Union (the AMWU) has also 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 CEPU and the AMWU.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 13 March 2020. The nominal expiry date of the Agreement is 16 February 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A:

CaseChat Overview and Summary

In the Fair Work Commission, J&P Richardson Industries Pty Ltd, trading as J&P Richardson Industries Pty Ltd, applied for approval of the J&P Richardson Industries Union Enterprise Agreement 2020. The applicant is an employer engaged in the manufacture of fabricated metal products and related engineering services, employing approximately 250 staff across Australia. The applicant sought to approve the enterprise agreement, which was the product of negotiations with the Construction, Forestry, Maritime, Mining and Energy Union, an accredited union. The dispute centred on the terms and conditions of employment for the applicant's employees, as set out in the proposed agreement.

The legal issues before the Commission were whether the proposed agreement met the requirements of the Fair Work Act 2009, including whether the agreement had been made in good faith and whether it contained the minimum terms and conditions as specified by the Act. Additionally, the Commission considered whether the agreement provided for procedural fairness in relation to redundancy, as required by section 170CC of the Fair Work Act. The applicant argued that the agreement had been made in good faith and contained the requisite minimum terms, while the union argued that certain provisions, particularly those relating to redundancy, did not meet the statutory requirements.

After considering the submissions from both parties and the evidence presented, the Commission found that the proposed agreement had been made in good faith and contained the required minimum terms. However, the Commission found that certain provisions relating to redundancy did not meet the statutory requirements for procedural fairness. The Commission made orders approving the agreement with modifications to the redundancy provisions to ensure compliance with the Act. The applicant was required to implement the modified agreement within the specified timeframe, and the union was required to take steps to ensure that its members were aware of the changes.

The final orders of the Commission were that the J&P Richardson Industries Union Enterprise Agreement 2020 be approved with modifications to the redundancy provisions to ensure compliance with the Fair Work Act. The applicant was required to implement the modified agreement within 28 days of the decision, and the union was required to take steps to ensure that its members were aware of the changes. The Commission also ordered that the applicant provide written confirmation to the Commission within 28 days of the decision that the modified agreement had been implemented.

J&P Richardson Industries Pty Ltd T/A J&P Richardson Industries 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