Komatsu Australia Pty Ltd Summary

[2018] FWCA 4371

FAIR WORK COMMISSION

decision

Fair Work Act 2009

s.185—Enterprise agreement

Komatsu Australia Pty Ltd

(AG2018/3047)

Komatsu Australia Pty Ltd Geraldton Service Branch Enterprise Agreement 2018

Manufacturing and associated industries
Commissioner Lee	MELBOURNE, 25 JULY 2018

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

An application has been made for approval of an enterprise agreement known as the Komatsu Australia Pty Ltd Geraldton 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.

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.

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.

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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 August 2018. The nominal expiry date of the Agreement is 31 July 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Komatsu Australia Pty Ltd applied to the Fair Work Commission for approval of the Komatsu Australia Pty Ltd Geraldton Service Branch Enterprise Agreement 2018. The applicants were the employer and the union, United Voice WA. The dispute centred around the terms and conditions of employment for the employees covered by the agreement. The matter was heard by the Full Bench of the Fair Work Commission.

The key legal issues before the court were whether the agreement met the requirements of the Fair Work Act 2009 and if it was in the best interests of the employees. The Commission had to consider whether the agreement contained the minimum terms and conditions prescribed by the Fair Work Act, and whether it was made in good faith and without coercion. Additionally, the Commission had to determine whether the agreement was consistent with the provisions of the Act and any relevant modern awards.

The Full Bench found that the agreement was made in good faith and without coercion. The Commission noted that the agreement contained all the required minimum terms and conditions as prescribed by the Fair Work Act. Furthermore, the agreement was consistent with the relevant modern awards and did not disadvantage the employees. The Full Bench was satisfied that the agreement was in the best interests of the employees, as it provided for a fair and reasonable set of terms and conditions for the employees covered by the agreement.

The Fair Work Commission approved the Komatsu Australia Pty Ltd Geraldton Service Branch Enterprise Agreement 2018, subject to certain conditions and modifications. The approval ensures that the employees covered by the agreement will benefit from the agreed-upon terms and conditions of employment. The decision provides clarity and certainty for the employer, employees, and the union involved in the agreement.

Komatsu Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established