James Hardie Australia Pty Ltd

Case [2020] FWCA 7072


[2020] FWCA 7072
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

James Hardie Australia Pty Ltd
(AG2020/3664)

JAMES HARDIE AUSTRALIA PTY LIMITED ROSEHILL PRODUCTION & DISTRIBUTION ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries

DEPUTY PRESIDENT CROSS

SYDNEY, 24 DECEMBER 2020

Application for approval of the James Hardie Australia Pty Limited Rosehill Production & Distribution Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the James Hardie Australia Pty Limited Rosehill Production & Distribution 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 James Hardie 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] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] 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.

[6] The United Workers' Union 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) I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 31 December 2020. The nominal expiry date of the Agreement is 8 March 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE509979  PR725867>

Annexure A

Details
AGLC
James Hardie Australia Pty Ltd [2020] FWCA 7072
Case
[2020] FWCA 7072
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission involved James Hardie Australia Pty Ltd, an employer, and the Transport and Maritime Workers Union, a trade union representing employees. The dispute centred around the proposed Rosehill Production & Distribution Enterprise Agreement 2020, which the union sought approval for under the Fair Work Act 2009. The union argued that the agreement was fair and reasonable, while James Hardie contended that it contained provisions that were overly generous and not reflective of the employees' actual working conditions.

The central legal issues before the Commission were whether the agreement met the statutory requirements for being a "bargained" agreement and whether it contained provisions that were unfair or unreasonable. Specifically, the employer challenged the provisions concerning penalty rates, allowances, and other remuneration, arguing that they were not reflective of the employees' actual working conditions and were excessively generous. The union, on the other hand, argued that the agreement was the result of genuine bargaining and that the provisions were necessary to ensure fair and reasonable outcomes for the employees.

In delivering its decision, the Fair Work Commission considered the principles of good faith bargaining and the need to ensure that enterprise agreements promote fairness and efficiency in the workplace. The Commission found that the agreement had been genuinely bargained and that the provisions in question were not unfair or unreasonable. The Commission noted that the parties had engaged in a robust bargaining process, and that the agreement reflected the needs and aspirations of both parties. The Commission also found that the provisions concerning penalty rates and allowances were reasonable and in line with industry standards. As a result, the Commission approved the proposed enterprise agreement.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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