Metroll Pty Ltd

[2024] FWCA 3160

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Metroll Pty Ltd

(AG2024/3095)

METROLL MINTO AGREEMENT 2024

Manufacturing and associated industries
COMMISSIONER REDFORD	MELBOURNE, 2 SEPTEMBER 2024

Application for approval of the Metroll Minto Agreement 2024

An application has been made for approval of an enterprise agreement known as the Metroll Minto Agreement 2024 (the Agreement). The application was made pursuant to s 185 of the Fair Work Act 2009 (Cth) (the Act). It has been made by Metroll Pty Ltd (Metroll).

The Notice of Employee Representational Rights (NERR) distributed to employees on 12 February 2024 appears to have a different name for the Agreement to that which was eventually made. This may mean that the NERR was not in its prescribed form as required by s 174(1A) of the Act. However, I am satisfied that this is a minor or technical error and employees covered by the Agreement were not likely to have been disadvantaged by it. I consider that the Agreement has been genuinely agreed to within the meaning of s 188(5)(a) of the Act.

I am satisfied that each requirement of ss 186, 187, 188 and 190 as are relevant to this application for approval have been met. For the purposes of the better off overall test, I have had regard to each of the matters set out in ss 193A(2) – (7).

Noting clause 5(a) of the Agreement, I am satisfied that to the extent the Agreement is less favourable than the National Employment Standards (NES), the more beneficial entitlements of the NES in the Act will prevail where there is an inconsistency between the agreement and the NES:

Compassionate leave: Clause 19.3 of the Agreement provides for compassionate leave, however it is silent in relation to the entitlement in circumstances when an employee, their spouse, or de facto partner has a miscarriage or gives birth to a stillborn child. Section 104(1)(c) of the Act provides for compassionate leave in these circumstances.

The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (AMWU), a bargaining representative for the Agreement, supports the approval of the Agreement and has given notice under s 183 of the Act that it wants to the Agreement to cover it. In accordance with s 201(2) of the Act I note that the Agreement covers the AMWU.

The Agreement is approved and, in accordance with s 54 of the Act, will operate from 9 September 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Metroll Pty Ltd made an application for approval of the Metroll Minto Agreement 2024 (the Agreement) under section 185 of the Fair Work Act 2009 (Cth) (the Act). The application was made to the Fair Work Commission by Metroll, a manufacturing company. The primary dispute was whether the Agreement complied with the requirements of the Act and if it could be approved as a genuine enterprise agreement. The Commissioner was also required to determine whether the Agreement met the better off overall test and if it was less favourable than the National Employment Standards (NES) in any way.

The legal issues addressed by the Commissioner included whether the Agreement was genuinely agreed to, whether it complied with the relevant sections of the Act, and if it met the criteria for the better off overall test. A key issue was whether the minor discrepancy in the name of the Agreement on the Notice of Employee Representational Rights (NERR) affected the validity of the agreement. Additionally, the Commissioner had to consider if the Agreement provided entitlements at least as favourable as those in the NES, particularly regarding compassionate leave.

The Commissioner found that the minor discrepancy in the name of the Agreement on the NERR did not significantly affect the validity of the agreement, and employees were not disadvantaged by this error. The Commissioner was satisfied that the Agreement was genuinely agreed to and that it complied with the relevant sections of the Act. The Commissioner also determined that the Agreement met the better off overall test and that any less favourable provisions were overridden by the NES. The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (AMWU) supported the approval of the Agreement, which further reinforced the Commissioner's decision.

The Agreement was approved, and it will operate from 9 September 2024, as per section 54 of the Act. The Commissioner's decision ensures that employees covered by the Agreement will benefit from the terms and conditions set out in the approved agreement, while also being protected by the NES where applicable.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established