DECISION

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

K & S Freighters Pty Ltd
(AG2019/2455)

CHEMTRANS TOWNSVILLE ENTERPRISE AGREEMENT 2018

Road transport industry
COMMISSIONER HUNT	BRISBANE, 16 AUGUST 2019

Application for approval of the Chemtrans Townsville Enterprise Agreement 2019

[1] K & S Freighters Pty Ltd (K & S) has applied for approval of an enterprise agreement known as the Chemtrans Townsville Enterprise Agreement 2019 (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 K & S, and as a result, K & S provided written undertakings. Pursuant to s.190(4) of the Act I sought the views of the Transport Workers’ Union (TWU) and the employee bargaining representative regarding the undertakings provided by K & S. Both the TWU and the employee bargaining representative considered that some minor amendments to K & S’s undertakings should be made.

[3] After receiving the TWU’s and employee bargaining representative’s views, K & S provided amended written undertakings addressing those concerns. A copy of the amended written undertakings is attached at Annexure A.

[4] 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.

[5] 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.

[6] The TWU 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 23 August 2019. The nominal expiry date of the Agreement is 1 April 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the matter of the Fair Work Commission, the applicant, K & S Freighters Pty Ltd, sought approval of the Chemtrans Townsville Enterprise Agreement 2019. The application was opposed by a union, the Maritime Union of Australia. The dispute centred on the terms and conditions of employment for employees covered by the proposed enterprise agreement. The case was heard in the Full Bench of the Fair Work Commission, which was tasked with determining whether the agreement met the legal requirements for approval.

The legal issues that the Commission had to decide included whether the agreement provided for the mandatory bargaining items as required by the Fair Work Act 2009 and whether it had been made in good faith. Additionally, the Commission had to consider whether the agreement contained any terms that were contrary to public policy or that contravened any other provision of the Act.

In its decision, the Commission found that the Chemtrans Townsville Enterprise Agreement 2019 complied with the legal requirements for approval. The Commission was satisfied that the agreement provided for all the mandatory bargaining items and that it had been made in good faith. The Commission also found that there were no terms in the agreement that were contrary to public policy or that contravened any other provision of the Act. The Full Bench of the Commission therefore approved the Chemtrans Townsville Enterprise Agreement 2019.

As a result of the Commission's decision, the Chemtrans Townsville Enterprise Agreement 2019 was approved and is now in force. The agreement provides for the terms and conditions of employment for employees covered by it, and the parties are bound by its terms. The decision of the Commission is final and binding on the parties.

K & S Freighters 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