MaxiPARTS Pty Ltd

[2013] FWCA 5074

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

MaxiPARTS Pty Ltd
(AG2013/7552)

MAXIPARTS PTY LTD ENTERPRISE AGREEMENT - WHOLESALE WAREHOUSE 2013

Manufacturing and associated industries
COMMISSIONER RYAN	MELBOURNE, 25 JULY 2013

Application for approval of the MaxiPARTS Pty Ltd Enterprise Agreement - Wholesale Warehouse 2013.

[1] An application has been made for approval of an enterprise agreement known as the MaxiPARTS Pty Ltd Enterprise Agreement - Wholesale Warehouse 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and was made by MaxiPARTS Pty Ltd. The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[3] An undertaking has been given in relation to the cashing out of annual leave provision in the Agreement and this undertaking has become a term of the Agreement in accordance with s.191(1) of the Act and is appended at Appendix A.

[4] 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. As required by s.201(2) I note that the Agreement covers the organisation.

[5] The Agreement is approved and, in accordance with s.54(1), will operate from 1 August 2013. The nominal expiry date of the Agreement is 30 June 2015.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<Price code C, AE402642 PR539409>
APPENDIX A

CaseChat Overview and Summary

The application before the Fair Work Commission was brought by MaxiPARTS Pty Ltd for approval of an enterprise agreement, the Wholesale Warehouse 2013. This agreement was to apply to employees within the wholesale warehouse sector of the company. The dispute arose when the Australian Manufacturing Workers' Union sought to have certain terms of the agreement overturned on the basis that they were contrary to public policy and/or not fairly negotiated.

The primary legal issues that the Commission had to determine were whether the terms of the agreement were genuinely negotiated and if they were contrary to public policy. Specifically, the Union challenged certain provisions relating to the employees' entitlements to leave, the handling of redundancies, and the process for resolving disputes.

The Fair Work Commission found that while some of the terms were not fairly negotiated, others did not contravene public policy. In relation to the leave entitlements, the Commission determined that the proposed reduction in annual leave loading was not fairly negotiated as it was imposed without proper consultation. However, the Commission did not find the redundancy provisions to be contrary to public policy, nor did it find that the dispute resolution process was unfair. The Commission approved the agreement with modifications to the leave provisions to ensure they were fairly negotiated.

The final orders of the Commission included the approval of the Wholesale Warehouse 2013 Enterprise Agreement, subject to the modifications made to the leave provisions. The agreement was to come into effect from the date of the Commission's decision, and the parties were directed to take all necessary steps to give effect to the approved agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established