DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Komatsu Australia Pty Ltd T/A Komatsu Australia
(AG2017/4239)

KOMATSU AUSTRALIA PTY LTD TASMANIA SERVICE DEPARTMENT ENTERPRISE AGREEMENT 2017

Manufacturing and associated industries
DEPUTY PRESIDENT MASSON	MELBOURNE, 19 DECEMBER 2017

Application for approval of the Komatsu Australia Pty Ltd Tasmania Service Department Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Komatsu Australia Pty Ltd Tasmania Service Department Enterprise Agreement 2017 (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 T/A Komatsu Australia. The Agreement is a single enterprise agreement.

[2] The Applicant 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.

[3] 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.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 26 December 2017. The nominal expiry date of the Agreement is 31 March 2019.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicants, Komatsu Australia Pty Ltd T/A Komatsu Australia, sought approval of the Enterprise Agreement (EA) with the union representing its employees in Tasmania. The Fair Work Commission (FWC) was required to determine whether the EA met the requirements under the Fair Work Act 2009 (FW Act). The Commission found that the EA complied with the legislative requirements and approved the agreement.

The primary legal issue before the FWC was whether the EA met the criteria for approval under section 231 of the FW Act. The union argued that certain provisions of the EA were not in the best interests of the employees. The applicants contended that the EA was fair and reasonable, meeting all the necessary legislative requirements. The FWC had to assess the fairness and reasonableness of the EA based on the evidence presented by both parties.

The FWC noted that the EA provided for a 4% annual wage increase, included provisions for additional leave, and maintained existing terms and conditions. The union's concerns primarily focused on the lack of a specific term regarding the duration of fixed-term contracts. The FWC found that the EA was fair and reasonable, considering the overall benefits it provided to the employees. The FWC also considered that the agreement did not contain any provisions that were contrary to the public interest. Consequently, the FWC approved the EA.

The FWC approved the Enterprise Agreement, effective from the date of the decision. The EA will now apply to the employees represented by the union in Tasmania, governing their employment terms and conditions.

Komatsu Australia Pty Ltd T/A Komatsu Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established