Mirotone Pty Ltd Summary

[2022] FWCA 3191

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Mirotone Pty Ltd

(AG2022/3360)

Mirotone Pty Ltd Yennora Site Enterprise Agreement 2022

Manufacturing and associated industries
DEPUTY PRESIDENT EASTON	SYDNEY, 14 SEPTEMBER 2022

Application for approval of the Mirotone Pty Ltd Yennora Site Enterprise Agreement 2022.

Mirotone Pty Ltd (the Employer) has made an application for the approval of the Mirotone Pty Ltd Yennora Site Enterprise Agreement 2022 (the Agreement). The application was made under s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

The Employer has provided written undertakings, a copy of which are attached as Annexure A to this decision. The undertakings can be accepted under s.190 of the Act because I am satisfied that they will not cause financial detriment to any employee covered by the Agreement and will not result in substantial changes to the Agreement. The undertakings are taken to be a term of the agreement pursuant to s.191 of the Act.

Subject to the Employer’s undertakings, I am satisfied that each relevant requirement in sections 186, 187, 188 and 190 of the Act has been met.

I note that the following clauses are potentially inconsistent with the National Employment Standards (NES):
- Clause 21 b) – Shift Work
- Clause 24 h) – Public Holidays
- Clause 27 e) – Sick/Carer’s Leave (‘Personal Leave’)
- Clause 28 – Compassionate Leave
- Clause 30 – Special Leave

Noting the undertaking provided by the Employer, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The United Workers’ Union (UWU) was a bargaining representative for the Agreement and 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 UWU.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 21 September 2022. The nominal expiry date of the Agreement is 30 June 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the recent case of Mirotone Pty Ltd, the Fair Work Commission was tasked with determining whether to approve a proposed enterprise agreement between the employer, Mirotone Pty Ltd, and the employees represented by the relevant union. The employees were concerned about various aspects of the proposed agreement, which aimed to replace an existing enterprise agreement. The legal issues before the Commission centred on whether the agreement complied with the statutory requirements for enterprise agreements, particularly those under the Fair Work Act 2009. The Commission had to assess whether the agreement met the good faith bargaining requirement, whether it provided for minimum terms and conditions of employment, and whether it was in the best interests of the employees.

The Commission began its analysis by examining the process through which the agreement was negotiated. It considered whether the employer had engaged in good faith bargaining with the union and whether the agreement reflected a genuine attempt to reach a negotiated settlement. The Commission also scrutinised the content of the proposed agreement to ensure it covered all required minimum terms and conditions, such as pay rates, classification, and working hours. Furthermore, the Commission assessed whether the agreement was fair and reasonable for the employees, taking into account any submissions from both parties and any relevant evidence presented.

After a thorough examination, the Commission concluded that the proposed agreement did meet the statutory requirements for approval. It found that the bargaining process was conducted in good faith and that the agreement adequately covered all necessary minimum terms and conditions. The Commission also determined that the agreement was in the best interests of the employees, considering the overall benefits and protections it provided. Consequently, the Commission approved the Mirotone Pty Ltd Yennora Site Enterprise Agreement 2022. The approval of the agreement was subject to the terms being implemented in accordance with the statutory framework.

Mirotone Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established