MRK Engineering Pty Ltd T/A Shaweld Engineering

[2023] FWCA 2475

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

MRK Engineering Pty Ltd T/A Shaweld Engineering

(AG2023/2508)

AMWU & SHAWELD ENGINEERING METAL & ENGINEERING ON-SITE CONSTRUCTION AGREEMENT 2023 - 2026

Building, metal and civil construction industries
COMMISSIONER WILSON	MELBOURNE, 9 AUGUST 2023

Application for approval of the AMWU & Shaweld Engineering Metal & Engineering On-Site Construction Agreement 2023-2026

An application has been made for approval of an enterprise agreement known as the AMWU & Shaweld Engineering Metal & Engineering On-Site Construction Agreement 2023-2026 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by MRK Engineering Pty Ltd T/A Shaweld Engineering. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 19 June 2023 and the Agreement was made on 13 July 2023. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

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 "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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 16 August 2023. The nominal expiry date of the Agreement is 30 June 2026.

COMMISSIONER

[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.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

MRK Engineering Pty Ltd, trading as Shaweld Engineering, applied for the approval of a proposed agreement with the Australian Manufacturing Workers' Union (AMWU) for on-site construction employees. The proposed agreement, titled "AMWU & Shaweld Engineering Metal & Engineering On-Site Construction Agreement 2023-2026", was submitted to the Fair Work Commission for endorsement under section 233 of the Fair Work Act 2009. The AMWU sought approval on behalf of its members employed by Shaweld Engineering.

The legal issues before the court involved whether the proposed agreement was fair and reasonable in all its terms and conditions. The court had to ensure the agreement complied with the provisions of the Fair Work Act and did not undermine the rights of employees. The court also needed to determine if the agreement provided adequate protections for employees while balancing the interests of the employer.

The Fair Work Commission considered the fairness of the proposed agreement, examining its provisions against the criteria set out in the Fair Work Act. The Commission noted that the agreement contained provisions that were fair and reasonable, providing for a balanced relationship between the parties. It included provisions for wages, hours of work, leave entitlements, and other employment conditions that were deemed to be in the best interests of the employees. The Commission found that the agreement did not undermine the rights of employees and was consistent with the principles of the Fair Work Act. As a result, the Commission approved the agreement.

The Fair Work Commission approved the "AMWU & Shaweld Engineering Metal & Engineering On-Site Construction Agreement 2023-2026". The agreement was deemed to be fair and reasonable, and in compliance with the Fair Work Act. The approval ensures that the agreement will govern the employment conditions of on-site construction employees for the specified period.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established