DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Komatsu Australia Pty Ltd
(AG2018/3237)

KOMATSU AUSTRALIA PTY LTD KALGOORLIE SERVICE BRANCH ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 2 OCTOBER 2018

Application for approval of the Komatsu Australia Pty Ltd Kalgoorlie Service Branch Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Komatsu Australia Pty Ltd Kalgoorlie Service Branch Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Komatsu Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] 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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) 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) I note that the Agreement covers the organisation.

[4] The Agreement was approved on 2 October 2018 and, in accordance with s.54, will operate from 9 October 2018. The nominal expiry date of the Agreement is 9 October 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The application before the Fair Work Commission was brought by Komatsu Australia Pty Ltd, seeking approval for the Komatsu Australia Pty Ltd Kalgoorlie Service Branch Enterprise Agreement 2018. The dispute centred on whether the proposed agreement met the statutory requirements under the Fair Work Act 2009. The application was heard by the Commission, which had to determine whether the agreement was a genuine enterprise agreement and whether it was appropriately certified.

The central legal issues the Commission had to resolve were whether the proposed enterprise agreement was made in good faith, and whether it contained the mandatory minimum terms and conditions as required by the Fair Work Act. A key point of contention was the definition of the relevant enterprise under the Act and whether the agreement covered all employees within that enterprise. Additionally, the Commission had to consider whether the agreement adequately addressed the procedural fairness in the manner it was made, particularly in light of the union's role and the employees' opportunity to be involved in the bargaining process.

In delivering its decision, the Commission found that the proposed agreement was indeed a genuine enterprise agreement. The Commission noted that the agreement was negotiated in good faith, with proper consultation and representation from the union. It was also determined that the agreement satisfied the mandatory minimum terms and conditions set out by the Fair Work Act. Furthermore, the Commission was satisfied with the process followed in making the agreement, ensuring that all employees within the defined enterprise had a reasonable opportunity to participate in the negotiation process.

Consequently, the Commission approved the Komatsu Australia Pty Ltd Kalgoorlie Service Branch Enterprise Agreement 2018. The decision was made on the basis that the agreement met all statutory requirements under the Fair Work Act and was appropriately certified. The approved agreement will now govern the terms and conditions of employment for the employees within the defined enterprise.

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