Komatsu Australia Pty Ltd

[2024] FWCA 3964

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Komatsu Australia Pty Ltd

(AG2024/3748)

KOMATSU AUSTRALIA PTY LTD PERTH WAREHOUSING OPERATIONS ENTERPRISE AGREEMENT 2024

Manufacturing and associated industries
DEPUTY PRESIDENT MILLHOUSE	MELBOURNE, 13 NOVEMBER 2024

Application for approval of the Komatsu Australia Pty Ltd Perth Warehousing Operations Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Komatsu Australia Pty Ltd Perth Warehousing Operations Enterprise Agreement 2024 (Agreement). The application was made pursuant to s 185 of the Fair Work Act 2009 (Cth) (Act). It has been made by Komatsu Australia Pty Ltd (Employer). The Agreement is a single enterprise agreement.

The Employer has provided written undertakings. A copy of the undertakings is attached at 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.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss 186, 187, 188 and 190 as are relevant to this application for approval have been met. For the purposes of the better off overall test, I have had regard to each of the matters in s 193A(2)-(7).

Noting the undertakings provided, I am satisfied that the more beneficial entitlements of the NES in the Act will prevail where there is an inconsistency between the Agreement and the NES.

The Transport Workers’ Union of Australia 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) of the Act I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s 54 of the Act will operate from 20 November 2024. The nominal expiry date of the Agreement is 20 November 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case before the Fair Work Commission involved an application for the approval of the Komatsu Australia Pty Ltd Perth Warehousing Operations Enterprise Agreement 2024. The applicant, Komatsu Australia Pty Ltd, sought the court's approval for the agreement, which was to govern the employment conditions of their Perth warehousing operations' workers. The application was made under the Fair Work Act 2009, and the dispute centred on whether the agreement met the necessary legal criteria for approval.

The primary legal issues the court needed to address were whether the agreement was a "single enterprise agreement," as required by the Act, and whether it was made in good faith and without coercion. Additionally, the court had to ensure that the agreement covered all relevant employees and provided adequate protections and benefits to them. The applicant argued that the agreement was made in good faith and covered all necessary employees, while no objections were raised by the employees or other stakeholders.

In its decision, the Fair Work Commission determined that the agreement met the necessary criteria for approval. The court found that the agreement was indeed a single enterprise agreement, as it pertained to a specific and distinct part of the applicant's business. The court also concluded that the agreement was made in good faith and without coercion, as no objections were raised by the employees or other stakeholders. Furthermore, the court found that the agreement covered all relevant employees and provided them with adequate protections and benefits.

As a result, the Fair Work Commission approved the Komatsu Australia Pty Ltd Perth Warehousing Operations Enterprise Agreement 2024. This decision means that the agreement will now govern the employment conditions of the workers in the Perth warehousing operations, and both the applicant and employees are bound by its terms.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established