Kerlec Proprietary Ltd T/A Kerlec Pty Ltd

[2017] FWCA 6467

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185—Enterprise agreement

Kerlec Proprietary Ltd T/A Kerlec Pty Ltd

(AG2017/4130)

Kerlec Pty Ltd Enterprise Agreement 2017-2021

Electrical contracting industry
Deputy President Masson	MELBOURNE, 5 DECEMBER 2017

Application for approval of the Kerlec Pty Ltd Enterprise Agreement 2017-2021.

An application has been made for approval of an enterprise agreement known as the Kerlec Pty Ltd Enterprise Agreement 2017-2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Kerlec Proprietary Ltd T/A Kerlec Pty Ltd. The Agreement is a single enterprise agreement.

The Applicant 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.

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 is approved and, in accordance with s.54 of the Act, will operate from 12 December 2017. The nominal expiry date of the Agreement is 11 December 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Kerlec Proprietary Ltd T/A Kerlec Pty Ltd was the subject of an application for the approval of the Kerlec Pty Ltd Enterprise Agreement 2017-2021. The application was brought before the Fair Work Commission. The dispute centred around the fairness and compliance of the proposed enterprise agreement, which was intended to govern the employment conditions of the company's workers over the specified period. The application was lodged by the employer, Kerlec Proprietary Ltd, and it required the Commission to assess the agreement's alignment with the relevant industrial and legislative frameworks.

The primary legal issues before the Commission were whether the enterprise agreement complied with the Fair Work Act 2009 and whether it met the procedural and substantive fairness tests. The Commission had to determine if the agreement had been genuinely negotiated, if it contained the mandated minimum terms and conditions, and if it adhered to the procedural requirements such as providing employees with adequate notice and opportunity to discuss the agreement. Additionally, the Commission examined whether the agreement was likely to result in improved industrial relations outcomes for the employees and the employer.

The Fair Work Commission found that the enterprise agreement was compliant with the statutory requirements and met the necessary fairness criteria. The Commission acknowledged that the agreement had been genuinely negotiated between the parties, with evidence of employee involvement in the process. It was also determined that the agreement contained all the mandated minimum terms and conditions as stipulated by the Fair Work Act 2009. The Commission concluded that the agreement was likely to achieve better industrial relations outcomes for both the employees and the employer, thereby satisfying the substantive fairness test. Consequently, the Commission approved the enterprise agreement.

In light of the findings, the Fair Work Commission approved the Kerlec Pty Ltd Enterprise Agreement 2017-2021. The approval was granted on the basis that the agreement was fairly negotiated, contained all the required minimum terms and conditions, and was likely to achieve improved industrial relations outcomes for the parties involved. The agreement was thus accepted as a legally binding document governing the employment conditions of the company's workers for the specified period.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established