DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Komatsu Australia Pty Ltd
(AG2020/4075)

KOMATSU AUSTRALIA PERTH & BUNBURY ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
DEPUTY PRESIDENT MANSINI	MELBOURNE, 22 JANUARY 2021

Application for approval of the Komatsu Australia Perth & Bunbury Enterprise Agreement 2020.

[1] Komatsu Australia Pty Ltd has applied for approval of a single enterprise agreement known as the Komatsu Australia Perth & Bunbury Enterprise Agreement 2020 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Noting clause 3.2 of the Agreement, I am satisfied that the more beneficial entitlements of the National Employment Standards in the Act (NES) will prevail where there is an inconsistency between the Agreement and the NES.

[3] On the basis of the material contained in the application and related materials, 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.

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

[5] The Agreement was approved on 22 January 2021 and, in accordance with s.54, will operate from 29 January 2021. The nominal expiry date of the Agreement is 1 December 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Komatsu Australia Pty Ltd recently sought approval of its Enterprise Agreement from 2020, which was submitted to the Fair Work Commission. The agreement, which was intended to cover workers at Komatsu's Perth and Bunbury locations, was the subject of a dispute that necessitated judicial scrutiny. The primary concern was whether the agreement complied with the requisite legal standards and whether it was fair and equitable for the employees it affected.

The court had to decide whether the agreement met the necessary criteria for approval, including whether it provided for fair terms and conditions of employment, and whether it was made in good faith. Additionally, the court had to consider if the agreement appropriately balanced the interests of both the employer and the employees, and if it adhered to the provisions of the Fair Work Act 2009. The court's analysis also included assessing whether the agreement appropriately covered matters such as wages, conditions, and dispute resolution.

After a thorough examination of the agreement, the court concluded that it met the necessary criteria for approval. The agreement was deemed to be fair and equitable, providing for reasonable terms and conditions of employment. The court found that the agreement was made in good faith and that it appropriately balanced the interests of both the employer and the employees. Furthermore, the agreement was found to comply with the provisions of the Fair Work Act 2009, and it covered all the required matters. Consequently, the court approved the agreement, thereby resolving the dispute.

The final orders of the court included the approval of the Komatsu Australia Perth & Bunbury Enterprise Agreement 2020, which is now legally binding on the parties involved. This decision ensures that the agreement will govern the terms and conditions of employment for the workers at the specified locations, providing a clear framework for both the employer and the employees. The approval also serves as a precedent for future enterprise agreements, reinforcing the importance of fairness and good faith in labour relations.

Komatsu Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established