K&S Freighters Pty Ltd T/A K&S

[2021] FWCA 5849

FAIR WORK COMMISSION

DECISION

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

K&S Freighters Pty Ltd T/A K&S
(AG2021/7018)

CHEMTRANS WESTERN AUSTRALIAN ENTERPRISE AGREEMENT 2021

Road transport industry
DEPUTY PRESIDENT BEAUMONT	PERTH, 15 SEPTEMBER 2021

Application for approval of the Chemtrans Western Australian Enterprise Agreement 2021.

[1] K&S Freighters Pty Ltd T/A K&S has made an application for the approval of an enterprise agreement known as the Chemtrans Western Australian Enterprise Agreement 2021 (the Agreement). The application was made under s 185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single enterprise agreement.

[2] On the basis of the material contained in the application and accompanying declarations, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval have been met.

[3] The Transport Workers’ Union of Australia (the organisation),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), and based on the declaration provided by the organisation, I note that the organisation is covered by the Agreement.

[4] The Agreement was approved on 15 September 2021and, in accordance with s 54, will operate from 22 September 2021. The nominal expiry date of the Agreement is 1 November 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, K&S Freighters Pty Ltd trading as K&S, applied to the Fair Work Commission for approval of the Chemtrans Western Australian Enterprise Agreement 2021. The application was made under the Fair Work Act 2009, seeking the Commission’s endorsement of the agreement which was intended to apply to employees covered by the agreement. The application raised questions about the fairness and appropriateness of the terms of the agreement, particularly in light of the economic and operational context of the industry.

The legal issues before the Commission included whether the agreement met the requirements of section 230 of the Fair Work Act, which mandates that an enterprise agreement must provide for fair and reasonable terms and conditions. Specifically, the Commission had to assess the balance of the agreement in terms of wages, working conditions, and other employment terms, as well as the process by which the agreement was negotiated. Additionally, the Commission needed to consider whether the agreement contained provisions that were necessary to ensure a fair and reasonable outcome for both parties, and whether it complied with the good faith bargaining requirements set out in the Act.

In delivering its decision, the Commission examined the detailed provisions of the agreement, the submissions made by the parties, and the broader context of the industry. The Commission found that the agreement contained fair and reasonable terms, taking into account the economic circumstances and the need for flexibility in the industry. The process of negotiation was deemed to have been conducted in good faith, and the terms were considered to be appropriate for the employees covered by the agreement. The Commission was satisfied that the agreement provided for a balanced outcome, meeting the statutory requirements for approval.

The Fair Work Commission approved the Chemtrans Western Australian Enterprise Agreement 2021, finding that it complied with the provisions of the Fair Work Act and was fair and reasonable. The decision was made on the basis that the agreement met the statutory requirements for endorsement, and that it provided for appropriate terms and conditions for the employees. The Commission's approval ensures that the agreement is legally enforceable between the employer and the employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established