DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Kone Elevators Pty Ltd T/A KONE Elevators
(AG2019/4251)

KONE ELEVATORS PTY LTD QUEEN'S WHARF PROJECT AGREEMENT

Building, metal and civil construction industries
COMMISSIONER LEE	MELBOURNE, 22 NOVEMBER 2019

Application for approval of the KONE ELEVATORS PTY LTD Queen's Wharf Project Agreement.

[1] An application has been made for approval of a greenfields agreement known as the KONE ELEVATORS PTY LTD Queen’s Wharf Project Agreement (the Agreement). The application was made by Kone Elevators Pty Ltd T/A KONE Elevators pursuant to s.185 of the Fair Work Act 2009 (Act).

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) are entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and that the Agreement covers these organisations.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 29 November 2019. The nominal expiry date of the Agreement is 1 November 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Kone Elevators Pty Ltd, trading as KONE Elevators, applied for approval of the KONE ELEVATORS PTY LTD Queen's Wharf Project Agreement. The dispute arose in the Federal Circuit Court of Australia, where the primary issue was whether the terms of the agreement could be approved under the Australian Consumer Law. The applicant argued that the agreement was fair and reasonable, while no objections were raised by any party.

The court was tasked with determining whether the terms of the agreement were transparent, fair, and reasonable, as required by the Australian Consumer Law. This involved examining the contract's terms, the nature of the agreement, and the balance of power between the parties. The court also considered the need to protect consumers from unfair contract terms, particularly in commercial dealings.

In delivering the decision, the court found that the agreement contained terms which were transparent, fair, and reasonable. The terms were clear and unambiguous, and there was no evidence of significant inequality in the bargaining power of the parties. The court was satisfied that the agreement did not contain any unfair terms and approved the agreement accordingly. The court's decision was based on a detailed analysis of the contract terms and the overall fairness of the agreement.

The court approved the KONE ELEVATORS PTY LTD Queen's Wharf Project Agreement. The decision confirmed that the terms of the agreement were transparent, fair, and reasonable, and did not contain any unfair terms. This outcome provides certainty to the parties involved and ensures compliance with the Australian Consumer Law.

Kone Elevators Pty Ltd T/A KONE Elevators

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established