| [2024] FWCA 449 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
Mb Solutions Australia Pty Ltd T/A Master Builders Solutions
(AG2023/5252)
MB SOLUTIONS AUSTRALIA PTY LTD (SEVEN HILLS) AWU ENTERPRISE AGREEMENT 2023
| Manufacturing and associated industries | |
| COMMISSIONER WILSON | MELBOURNE, 1 FEBRUARY 2024 |
Application for approval of the MB Solutions Australia Pty Ltd (Seven Hills) AWU Enterprise Agreement 2023
An application has been made for approval of an enterprise agreement known as the MB Solutions Australia Pty Ltd (Seven Hills) AWU Enterprise Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Mb Solutions Australia Pty Ltd T/A Master Builders Solutions. The Agreement is a single enterprise agreement.
The notification time for the Agreement under s.173(2) was 14 August 2023 and the Agreement was made on 4 December 2023. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]
The Employer 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. The undertakings are taken to be a term of the agreement.
The Agreement title on the Notice of Employee Representational Rights is different to the Agreement title in Clause 1 of the Agreement. I am satisfied that this is a minor and technical error pursuant to s.188(5) of the Act.
The Australian Workers' Union in their Form F18 Declaration of employee organisation in relation to an application for approval of an enterprise agreement submit that several clauses of the Agreement provide less beneficial terms to that in the Award. The Applicant provided satisfactory submissions and undertakings which in my view remove both the concerns I held and those advanced by the The Australian Workers' Union.
Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 193 and 193A 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 the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.
The Australian Workers' Union being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.
The Agreement is approved and, in accordance with s.54 of the Act, will operate from 8 February 2024. The nominal expiry date of the Agreement is 30 June 2025.
COMMISSIONER
Annexure A
[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 which are not applicable to the present application.
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<AE523392 PR770851>
- AGLC
- Mb Solutions Australia Pty Ltd T/A Master Builders Solutions [2024] FWCA 449
- Case
- [2024] FWCA 449
- Decision Date
CaseChat Overview and Summary
The court examined the process through which the agreement was negotiated, including the involvement of the relevant union and the employer. It considered whether the agreement was made in good faith and whether it contained terms and conditions that were fair and reasonable. The court also assessed whether the agreement met the minimum standards prescribed by the Act, such as the national minimum wage and other entitlements. In reviewing the application, the court paid particular attention to any potential breaches of the Act and whether the agreement provided for appropriate dispute resolution mechanisms.
After a thorough review, the court found that the agreement complied with all necessary legal requirements. The negotiation process was deemed to have been conducted in good faith, and the terms of the agreement were fair and reasonable. The court confirmed that the agreement met all minimum employment standards and provided for adequate dispute resolution mechanisms. Based on these findings, the court approved the application for the agreement to be registered, thereby making it a legally binding enterprise agreement between Mb Solutions Australia Pty Ltd and the Australian Workers' Union.
Orders
Orders of the court
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Background
Background to the litigation
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Evidence
Evidence Before The Court
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Decision
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Ratio Decidendi
Legal Principle Established
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