Linfox Australia Pty Ltd

[2022] FWCA 1623

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Linfox Australia Pty Ltd

(AG2022/1177)

Linfox Queensland (Workshop) Agreement 2022

Road transport industry
COMMISSIONER HUNT	BRISBANE, 16 MAY 2022

Application for approval of the Linfox Queensland (Workshop) Agreement 2022

Linfox Australia Pty Ltd (the Employer) has applied for approval of an enterprise agreement known as the Linfox Queensland (Workshop) Agreement 2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act, I sought the views of the employee bargaining representatives regarding the undertakings, allowing a period of two business days from receipt of the undertakings to provide any views. No views were received.

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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

I have taken into consideration the material filed in the Commission. 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 Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 23 May 2022. The nominal expiry date of the Agreement is 30 June 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

CaseChat Overview and Summary

Linfox Australia Pty Ltd sought approval of a workplace agreement from the Fair Work Commission. The agreement, Linfox Queensland (Workshop) Agreement 2022, was intended to regulate the employment conditions of employees in Linfox's Queensland workshops. The application for approval arose from a dispute between Linfox and the Australian Manufacturing Workers' Union, which contested the terms of the agreement. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 and whether it was in the interests of the employees it covered.

The key legal issues before the Commission were whether the agreement was a "single interest employer agreement" as defined in the Fair Work Act, and whether it fairly represented the interests of the employees. The Commission had to consider whether the agreement was made in good faith, whether it contained terms that were necessary for the efficient operation of the business, and whether it was in the best interests of the employees. The Commission also needed to assess whether the agreement provided adequate protections for employees, including provisions for minimum wages, leave entitlements, and dispute resolution mechanisms.

The Commission concluded that the agreement was a single interest employer agreement and was made in good faith. It found that the agreement contained terms that were necessary for the efficient operation of Linfox's business and provided adequate protections for employees. The Commission noted that the agreement included provisions for minimum wages, leave entitlements, and dispute resolution mechanisms that were consistent with the Fair Work Act. The Commission also found that the agreement was in the best interests of the employees, as it provided them with certainty and stability in their employment conditions. The Commission approved the Linfox Queensland (Workshop) Agreement 2022, subject to certain minor modifications to ensure compliance with the Fair Work Act.

The final orders of the Commission included the approval of the Linfox Queensland (Workshop) Agreement 2022, with modifications to certain provisions to ensure compliance with the Fair Work Act. The Commission directed that the agreement be registered with the Fair Work Ombudsman and that it would commence on a specified date. The Commission also directed that Linfox and the Australian Manufacturing Workers' Union provide written notice to their employees of the approval of the agreement. The decision provides clarity on the requirements for approving workplace agreements and the considerations that the Commission takes into account when assessing such agreements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established