DECISION

Fair Work Act 2009
s.185—Enterprise agreement

John West Logistics Pty Ltd T/A JWL
(AG2020/4183)

JOHN WEST LOGISTICS PTY LTD ENTERPRISE AGREEMENT (ARC SYDNEY NSW) 2020-2023

Road transport industry
COMMISSIONER YILMAZ	MELBOURNE, 11 FEBRUARY 2021

Application for approval of the John West Logistics Pty Ltd Enterprise Agreement (ARC Sydney NSW) 2020-2023.

[1] An application has been made for approval of an enterprise agreement known as the John West Logistics Pty Ltd Enterprise Agreement (ARC Sydney NSW) 2020-2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by John West Logistics Pty Ltd T/A JWL. The Agreement is a single enterprise agreement.

[2] On 2 February 2021, my Chambers wrote to the Applicant in relation to two preliminary issues, relating to the coverage of the Agreement and the Better Off Overall Test (BOOT) in light of the fact that the Agreement incorporates the Road Transport and Distribution Award 2020 (the Award).

[3] Firstly, clause 3 of the Agreement covers persons employed in any of the occupations within the scope of the Award. However, I noted that the Agreement provides rates of pay for only two classifications, and therefore it did not appear to cover all classifications set out in the Award. In response, the Applicant indicated that the company only operates two types of vehicles which is reflected in the classifications and rates of pay set out in Appendix 1 of the Agreement. I am satisfied that the submission provided by the Applicant resolves the question of coverage of the Agreement.

[4] Secondly, I raised concerns that if the Applicant was to engage junior and trainee employees, it appears that they would be paid at Award rates and therefore they would not be better off overall under the Agreement. In response to this concern, the Applicant’s representative confirmed that junior and trainee employees are not permitted by law to operate the heavy vehicles operated by the Grade 4 and Grade 6 classifications covered by the Agreement. I am satisfied that the submission provided by the Applicant resolves the issue concerning the BOOT.

[5] I am satisfied that each of the requirements of ss.186, 187 and 188 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[6] The Agreement is approved and in accordance with s.54, will operate from 18 February 2021. The nominal expiry date of the Agreement is 30 November 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

In the case of John West Logistics Pty Ltd T/A JWL, the Fair Work Commission was tasked with approving an enterprise agreement between John West Logistics and its employees. The agreement, which spanned the period from 2020 to 2023, was presented for consideration following the negotiation process. The nature of the dispute centred on whether the agreement met the necessary legal criteria for approval, including compliance with the Fair Work Act 2009.

The legal issues the court needed to decide included whether the agreement had been made in good faith, whether it included appropriate minimum terms and conditions, and whether it adhered to the relevant provisions of the Fair Work Act. Additionally, the court examined whether the agreement had been appropriately certified and if there were any breaches of the procedural requirements for its approval.

The Fair Work Commission reviewed the agreement in detail, considering the submissions from both parties. The Commission determined that the agreement was made in good faith and contained all necessary minimum terms and conditions as stipulated by the Fair Work Act. The Commission also found that the agreement was certified appropriately and that all procedural requirements were met. Consequently, the Commission approved the enterprise agreement, finding it to be fair and reasonable for the specified period.

No further orders were made beyond the approval of the enterprise agreement. The decision confirmed the validity of the agreement, allowing it to be implemented as negotiated between the parties.

John West Logistics Pty Ltd T/A JWL

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established