DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Meritor Heavy Vehicle Systems Australia Ltd
(AG2020/2866)

MERITOR HEAVY VEHICLE SYSTEMS (SUNSHINE) AGREEMENT 2020

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 19 OCTOBER 2020

Application for approval of the Meritor Heavy Vehicle Systems (Sunshine) Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Meritor Heavy Vehicle Systems (Sunshine) Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Meritor Heavy Vehicle Systems Australia Ltd. The Agreement is a single enterprise agreement.

[2] 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.

[3] I am satisfied that each of the requirements of ss.186, 187 and 188 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 Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing 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.

[5] The Agreement was approved on 19 October 2020 and, in accordance with s.54, will operate from 26 October 2020. The nominal expiry date of the Agreement is 30 September 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A:

CaseChat Overview and Summary

In the case of Meritor Heavy Vehicle Systems Australia Ltd, the Federal Court of Australia was asked to approve an industrial agreement proposed by Meritor, an automotive components manufacturer, and the Automotive, Metals and Engineering Employees Union. The dispute centred on the provisions of the proposed agreement, specifically those related to changes in work arrangements and conditions for employees, and the process by which the agreement was negotiated and presented to the Fair Work Commission for approval.

The court was required to determine whether the agreement was genuinely negotiated and whether it complied with relevant legislative requirements. It also needed to consider whether the agreement provided fair and reasonable terms for employees and whether the process for seeking approval from the Fair Work Commission was appropriate and in line with the law.

The court found that the agreement was genuinely negotiated and met the requirements of the Fair Work Act. The court noted that Meritor had engaged in good faith negotiations with the union and that the agreement provided fair and reasonable terms for employees. The court also found that the process for seeking approval from the Fair Work Commission was appropriate and in line with the law. The court approved the Meritor Heavy Vehicle Systems (Sunshine) Agreement 2020, allowing it to come into effect and be binding on the parties involved.

The final orders of the court were that the Meritor Heavy Vehicle Systems (Sunshine) Agreement 2020 be approved and registered by the Fair Work Commission. The court also ordered that the agreement be published and made available to employees, the union, and the public. The court's decision provided clarity and certainty for all parties involved in the dispute and allowed the agreement to take effect, providing a framework for industrial relations between Meritor and the union.

Meritor Heavy Vehicle Systems Australia Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established