DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Kimberly-Clark Australia Pty Limited
(AG2019/3962)

KIMBERLY-CLARK AUSTRALIA PTY LIMITED, MILLICENT MILL, MAINTENANCE ENTERPRISE AGREEMENT 2019

Manufacturing and associated industries
COMMISSIONER LEE	MELBOURNE, 15 NOVEMBER 2019

Application for approval of the Kimberly-Clark Australia Pty Limited, Millicent Mill, Maintenance Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Kimberly-Clark Australia Pty Limited, Millicent Mill, Maintenance Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Kimberly-Clark Australia Pty Limited. The Agreement is a single enterprise agreement.

[2] The Employer 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. The undertakings are taken to be a term of the agreement.

[3] 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.

[4] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[5] I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

• Clause 8.9 – Abandonment of employment

• Clause 27.16 – Carer’s Leave Definitions

• Clause 27.20 – Unpaid Carer’s Leave

• Clause 31 – Community Service Leave

• Clause 32 – Jury Service and Attendance at the Coroner’s Court

• Clause 34.2 – Public Holidays

•

However, noting clause 7.2 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 November 2019. The nominal expiry date of the Agreement is 1 August 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the case of Kimberly-Clark Australia Pty Limited, the applicant sought approval for the Millicent Mill, Maintenance Enterprise Agreement 2019 from the Fair Work Commission. The dispute centred around whether the agreement met the necessary criteria for approval under the Fair Work Act 2009. The Fair Work Commission was tasked with determining the validity of the agreement and whether it appropriately covered the terms and conditions of employment for the maintenance workers at the Millicent Mill.

The central legal issue before the Commission was whether the agreement complied with the requirements of the Fair Work Act, particularly focusing on whether the agreement had been fairly and genuinely negotiated and whether it provided for a safety net of minimum terms and conditions. The applicant argued that the agreement had been negotiated in good faith and met all legislative requirements. The Commission needed to assess the negotiation process, the content of the agreement, and its alignment with statutory obligations.

The Fair Work Commission found that the agreement had been genuinely negotiated and met all statutory requirements. The Commission was satisfied that the negotiation process was robust and that the agreement provided a safety net of minimum terms and conditions. It was concluded that the agreement was fair and balanced, taking into account the interests of both the employer and the employees. The Commission approved the agreement, noting its compliance with all relevant provisions of the Fair Work Act.

The final orders of the Fair Work Commission were that the Millicent Mill, Maintenance Enterprise Agreement 2019 be approved and registered under the Fair Work Act 2009. This decision affirmed the agreement as a valid and binding enterprise agreement, effective from the date of approval.

Kimberly-Clark Australia Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established