Morris McMahon & Co Pty Ltd

Case [2021] FWCA 1877


[2021] FWCA 1877
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Morris McMahon & Co Pty Ltd
(AG2021/4129)

MORRIS MCMAHON & CO PTY LTD ENTERPRISE AGREEMENT 2021

Manufacturing and associated industries

COMMISSIONER HARPER-GREENWELL

MELBOURNE, 16 APRIL 2021

Application for approval of the Morris McMahon & Co Pty Ltd Enterprise Agreement 2021.

[1] An application has been made for approval of an enterprise agreement known as the Morris McMahon & Co Pty Ltd Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Morris McMahon & Co Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Employer sought that the wage rates be kept confidential between the parties. Pursuant to s.594(1) of the Act, I order that the wage rates be kept confidential between the parties.

[3] 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. Pursuant to s.201(3), the undertakings are taken to be a term of the Agreement.

[4] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 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.

[5] 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. In accordance with s.201(2) I note that the Agreement covers the organisation.

[6] The Agreement was approved on 16 April 2021 and, in accordance with s.54, will operate from 23 April 2021. The nominal expiry date of the Agreement is 31 January 2025.

COMMISSIONER

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Annexure A

Details
AGLC
Morris McMahon & Co Pty Ltd [2021] FWCA 1877
Case
[2021] FWCA 1877
Decision Date

CaseChat Overview and Summary

In Morris McMahon & Co Pty Ltd, the Fair Work Commission was tasked with assessing the application for approval of the 2021 Enterprise Agreement between the employer and its employees. The dispute centred on whether the agreement met the necessary criteria under the Fair Work Act 2009 to be formally endorsed and registered. The application was brought forth by the employer, seeking to formalise the terms and conditions of employment as outlined in the proposed agreement.

The primary legal issues before the Commission were whether the agreement had been made in good faith, whether it contained the mandated minimum entitlements, and whether it adhered to the procedural requirements stipulated in the Fair Work Act. Additionally, the Commission needed to determine if the agreement was in the best interests of the employees and whether it complied with the good faith bargaining principles.

The Fair Work Commission found that the agreement had been made in good faith, contained the required minimum entitlements, and complied with the procedural requirements set forth in the Fair Work Act. The Commission also concluded that the agreement was in the best interests of the employees, as it provided fair and reasonable terms of employment. The good faith bargaining principles were deemed to have been observed throughout the negotiation process. Consequently, the Commission approved the application and registered the Enterprise Agreement as a registered agreement under the Fair Work Act.

In light of the Commission’s approval, the 2021 Enterprise Agreement was formally registered, and its terms and conditions became legally binding between the employer and its employees.

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

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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