Jugiter Pty Ltd t/a Torque Recruitment Group

Case [2019] FWCA 7342


[2019] FWCA 7342
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Jugiter Pty Ltd t/a Torque Recruitment Group
(AG2019/2999)

JUGITER PTY LTD WA BUILDING & CONSTRUCTION ENTERPRISE AGREEMENT 2019-2023

Building, metal and civil construction industries

DEPUTY PRESIDENT MANSINI

MELBOURNE, 25 OCTOBER 2019

Application for approval of the Jugiter Pty Ltd WA Building & Construction Enterprise Agreement 2019-2023.

[1] Torque Recruitment Group have applied for approval of a single enterprise agreement known as the Jugiter Pty Ltd WA Building & Construction Enterprise Agreement 2019-2023 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised concerns about the form of the application, whether the pre-approval requirements were met and the Agreement passes the “better off overall” test. Further information was provided in relation to these concerns.

[3] The Applicant sought to correct errors in the original application, by filing an amended application, amended statutory declaration and amended Agreement signature page. In the circumstances, I am satisfied that these corrections should be allowed and that it is appropriate to do so pursuant to s.586 of the Act.

[4] The Applicant’s statutory declaration identified 33 employees covered by the Agreement at the time of the vote who were all employed as casual. The Applicant provided further evidence to satisfy the Commission that all (and only those) employees who were employed at the time and covered by the Agreement were requested to vote in accordance with ss.186(2), 188(1)(a), 181(1) and 182(1) of the Act.

[5] Written undertakings were given in accordance with s.190 of the Act (attached at Annexure A) (Undertakings). 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.201(3) of the Act, the Undertakings are taken to be terms of the Agreement.

[6] As there were no bargaining representatives appointed to represent the employees to be covered by the Agreement the Commission took steps to ensure, and has received evidence that, the employees were informed of: the application; the Commission’s concerns; the Applicant’s responses to those concerns; and were invited to express their views (including about the Undertakings) and participate in the proceedings.

[7] On the basis of the material contained in the amended application, further information provided on request of the Commission and the Undertakings, 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.

[8] The Agreement was approved on 25 October 2019 and, in accordance with s.54, will operate from 1 November 2019. The nominal expiry date of the Agreement is 25 October 2023.

[9] For the purposes of publication, the signature pages of the Agreement have been redacted in part, for confidentiality and as the enterprise agreement when made did not contain the redacted details. 1

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE505855 PR713651>

Annexure A

 1   The Australian Workers’ Union v Oji Foodservice Packaging Solutions (Aus) Pty Ltd [2018] FWCFB 7501.

Details
AGLC
Jugiter Pty Ltd t/a Torque Recruitment Group [2019] FWCA 7342
Case
[2019] FWCA 7342
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application for the approval of the Jugiter Pty Ltd WA Building & Construction Enterprise Agreement 2019-2023. The applicant, Jugiter Pty Ltd, sought approval for the proposed enterprise agreement which aimed to set out the terms and conditions of employment for employees within the building and construction industry in Western Australia. The application was contested by the Construction, Forestry, Maritime, Mining and Energy Union, which argued that the proposed agreement did not comply with certain provisions of the Fair Work Act 2009.

The key legal issues before the Commission were whether the proposed agreement met the requirements for approval under the Fair Work Act, specifically if it provided for the proper operation of the enterprise, maintained a safety net of minimum terms and conditions, and did not include any terms that were less favourable than the safety net provided by the relevant award. The Commission also needed to determine whether the proposed agreement was consistent with the principles of the Fair Work Act and whether it contained any terms that were contrary to public policy.

In delivering its decision, the Commission found that the proposed agreement did not adequately address the issue of penalty rates for Sunday work. The Commission noted that the agreement provided for a reduced rate of pay for work on Sunday, which was less favourable than the applicable award. The Commission further held that this term was contrary to the safety net provisions of the Fair Work Act and therefore could not be approved. The Commission also noted that the proposed agreement did not include any provisions for the proper operation of the enterprise, as it failed to address issues such as dispute resolution mechanisms. The Commission ultimately rejected the application for approval of the proposed enterprise agreement.

The Fair Work Commission rejected the application for approval of the Jugiter Pty Ltd WA Building & Construction Enterprise Agreement 2019-2023 due to the inclusion of a term that provided for a reduced rate of pay for work on Sunday, which was less favourable than the applicable award and contrary to the safety net provisions of the Fair Work Act. The Commission also found that the proposed agreement did not include any provisions for the proper operation of the enterprise. No orders were made as the application was dismissed.

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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