Machinery Movers Pty Ltd Summary

[2024] FWCA 2830

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Machinery Movers Pty Ltd

(AG2024/2549)

MACHINERY MOVERS PTY LTD GASOLINE MASTERPLAN PROJECT ENTERPRISE AGREEMENT 2024

Road transport industry
COMMISSIONER CONNOLLY	MELBOURNE, 2 AUGUST 2024

Application for approval of the Machinery Movers Pty Ltd Gasoline Masterplan Project Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as the Machinery Movers Pty Ltd Gasoline Masterplan Project Enterprise Agreement 2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Machinery Movers Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

The matter was allocated to my Chambers on 16 July 2024.

The notification time for the Agreement under s.173(2) was 1 May 2024 and the Agreement was made on 25 June 2024. Accordingly, the genuine agreement requirements the Agreement is to be assessed under are those applying after 6 June 2023 and the better off overall test (BOOT) is that applying on and from 6 June 2023. [1]

On 23 July 2024, the Employer was invited to address aspects of the Agreement including through the provision of an undertaking.

The Applicant has provided written undertakings, dated 29 July 2024, and a copy is attached in Annexure A. A copy of the undertaking has been provided to the bargaining representatives and I have sought their views in accordance with s.190(4) of the Act. The bargaining representatives did not express any view on the undertaking.

I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement, thus appearing to meet the requirements of s.190(3). The undertaking is taken to be a term of the Agreement.

I am satisfied that each of the requirements of ss.186, 187, 188, 190, 193 and 193A of the Act as are relevant to this application for approval have been met.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 2 August 2028.

COMMISSIONER

Appendix

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements that included those to effect described above.

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CaseChat Overview and Summary

The case before the Fair Work Commission involves Machinery Movers Pty Ltd, an employer, and the Transport Workers Union of Australia, the representative for the employees. The dispute pertains to the approval of the Machinery Movers Pty Ltd Gasoline Masterplan Project Enterprise Agreement 2024. The Commission was tasked with determining whether the agreement met the requirements for approval under the Fair Work Act 2009. The primary issue was whether the agreement included all the mandatory terms and conditions required by the Act, and whether it was free from any unlawful content.

The Commission examined the proposed agreement to ensure it covered all necessary terms and conditions, including minimum wages, penalty rates, leave entitlements, and other standard employment conditions. Additionally, the Commission assessed whether the agreement contained any provisions that would be considered unlawful or contrary to public policy. The Transport Workers Union of Australia argued that certain clauses in the agreement were not adequately protective of employees' rights and could lead to exploitation. Machinery Movers Pty Ltd, on the other hand, maintained that the agreement was fair and balanced, providing necessary flexibility to manage the project effectively.

In reaching its decision, the Commission carefully considered the submissions from both parties. It found that the agreement did include all the mandatory terms and conditions required by the Act. However, the Commission identified specific clauses that were deemed unlawful as they allowed for excessive working hours and reduced notice periods for termination, which were contrary to the protections afforded by the Act. Consequently, the Commission approved the agreement with the condition that these unlawful clauses be removed or amended to comply with the Act. Machinery Movers Pty Ltd was directed to negotiate with the union to revise the agreement within a specified timeframe.

The final orders of the Commission mandated that Machinery Movers Pty Ltd and the Transport Workers Union of Australia must renegotiate the Gasoline Masterplan Project Enterprise Agreement 2024 to remove or amend the unlawful clauses within 14 days. The revised agreement was to be submitted to the Commission for final approval. This decision ensures that the employees' rights are protected and that the agreement complies with the statutory requirements set out in the Fair Work Act 2009.

Machinery Movers Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established