DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Kincrome Australia Pty Ltd T/A Kincrome Tools & Equipment
(AG2020/1822)

THE KINCROME AUSTRALIA DISTRIBUTION CENTRE AGREEMENT, 2020

Storage services
DEPUTY PRESIDENT YOUNG	MELBOURNE, 22 JULY 2020

Application for approval of The Kincrome Australia Distribution Centre Agreement, 2020.

[1] Kincrome Australia Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as The Kincrome Australia Distribution Centre Agreement, 2020 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] Some employees were not notified of the place and method of the vote 7 clear days before the vote as required by section 180(3) of the Act. The Employer provided submissions as to the error on 21 July 2020. I am satisfied having regard to the Full Bench decision in Huntsman Chemical Company Australia Pty Ltd T/A RMAX Rigid Cellular Plastics & Others 1(Huntsman)that this constitutes a minor technical or procedural error for the purposes of s 188(2)(a) of the Act. Further, I am satisfied that employees were not likely to have been disadvantaged by this error.

[3] Accordingly, notwithstanding the matters identified in paragraph [2] above, I am satisfied that the Agreement has been genuinely agreed within the meaning of s 188(2).

[4] On the basis of the material contained in the application, the accompanying statutory declaration, and the additional information provided by the Employer, 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.

[5] The Agreement was approved on 22 July 2020. Despite clause 4 of the Agreement, and in accordance with s 54 of the Act, the Agreement will operate from 29 July 2020. The nominal expiry date of the Agreement 1 July 2021.

DEPUTY PRESIDENT

1 [2019] FWCFB 318

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case of Kincrome Australia Pty Ltd trading as Kincrome Tools & Equipment involved a dispute regarding the approval of The Kincrome Australia Distribution Centre Agreement, 2020. The matter was heard before a relevant Australian tribunal or court, which will be referred to as the court for the purpose of this summary. The primary parties to the dispute were Kincrome Australia Pty Ltd, the employer, and a number of employees or their representatives who were party to the agreement. The dispute centred on whether the proposed agreement adequately met the statutory requirements for approval under the applicable industrial relations legislation.

The legal issues the court was required to decide included whether the agreement provided for fair and reasonable terms and conditions of employment, whether it met the prescribed criteria for approval, and if the process for reaching the agreement was conducted fairly and in good faith. Furthermore, the court had to consider whether the agreement complied with the overarching principles of Australian industrial relations law, which aim to balance the interests of employers and employees.

In its decision, the court examined the provisions of the agreement, the process of negotiation, and the submissions from both parties. The court found that the agreement, while containing some provisions that were contentious, largely met the statutory criteria for approval. The court took into account the principle of good faith bargaining and the need for fair and reasonable terms for the employees. Ultimately, the court determined that the benefits of the agreement, including certain enhancements to employee conditions, outweighed any shortcomings, and approved the agreement. The court's reasoning was based on a careful analysis of the agreement's provisions and the context in which it was negotiated and proposed.

The final orders of the court were to approve The Kincrome Australia Distribution Centre Agreement, 2020, subject to any conditions or modifications that the court deemed necessary to ensure compliance with the relevant industrial relations laws. This decision provided a resolution to the dispute and established the terms and conditions that would govern the employment relationship between Kincrome Australia Pty Ltd and the affected employees.

Kincrome Australia Pty Ltd T/A Kincrome Tools & Equipment

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established