New England Trading Pty Limited T/A NET Modular

Case [2023] FWCA 2606


[2023] FWCA 2606

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

New England Trading Pty Limited T/A NET Modular

(AG2023/2537)

NEW ENGLAND TRADING PTY LIMITED ENTERPRISE AGREEMENT 2022

Manufacturing and associated industries

COMMISSIONER MATHESON

SYDNEY, 17 AUGUST 2023

Application for approval of the New England Trading Pty Limited Enterprise Agreement 2022

  1. An application has been made for approval of an enterprise agreement known as the New England Trading Pty Limited Enterprise Agreement 2022 (Agreement). The application was made by New England Trading Pty Limited (Applicant) pursuant to s.185 of the Fair Work Act 2009 (Cth) (Act). The Agreement is a single enterprise agreement.

  1. Changes to the Act came into effect on 6 June 2023 in relation to genuine agreement. The Form F17A indicates that the notification time for the Agreement was 14 July 2022. In these circumstances and as a consequence of the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Amending Act), clause 66 of Part 13 of Schedule 1 of the Act has the effect that despite the amendments made to the Act by Part 14 of Schedule 1 to the Amending Act, Part 2-4 of the Act continues to apply as if the amendments had not been made. The application has been assessed on this basis, taking into account the provisions of Part 2-4 of the Act in relation to genuine agreement in force immediately prior to the commencement of the amendments.

  1. I observe that certain provisions of the Agreement may be inconsistent with the National Employment Standards (NES). However, noting clause 7.5 of the Agreement, I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 (Cth) (Regulations) is taken to be a term of the Agreement.

  1. On the basis of the materials before the Commission, I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to the application for approval of the Agreement have been met.

  1. The Australian Workers’ Union and the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act, I note that the Agreement covers the organisations.

  1. The Agreement is approved and will operate from 27 August 2023. The nominal expiry date of the Agreement is 16 December 2026.

COMMISSIONER

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Details
AGLC
New England Trading Pty Limited T/A NET Modular [2023] FWCA 2606
Case
[2023] FWCA 2606
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission was an application by New England Trading Pty Limited trading as NET Modular for the approval of their Enterprise Agreement 2022. The dispute centred around the terms and conditions outlined in the proposed agreement, specifically regarding the classification of employees, wage rates, and various other employment conditions. The Commission was tasked with determining whether the agreement met the necessary legal requirements under the Fair Work Act 2009.

The primary legal issues the Commission had to address included whether the agreement provided for the proper classification of employees and whether it contained provisions that met the 'better off overall test'. Additionally, the Commission needed to ensure that the agreement did not unfairly disadvantage any employee or group of employees and complied with relevant national employment standards. The company argued that the agreement fairly represented the needs of the workforce and provided for adequate remuneration and working conditions.

In its decision, the Fair Work Commission found that the proposed Enterprise Agreement met the necessary legal requirements under the Fair Work Act. The Commission determined that the classification of employees and wage rates were fair and reasonable, and the agreement provided for conditions that were not worse off than the applicable awards or other relevant agreements. The Commission also confirmed that the agreement passed the 'better off overall test', meaning that the employees would not be worse off financially or in terms of conditions compared to their previous arrangements. Consequently, the Commission approved the Enterprise Agreement 2022.

As a result of the Commission's approval, the Enterprise Agreement 2022 is now in effect, governing the terms and conditions of employment for the relevant employees within New England Trading Pty Limited. The agreement is set to remain in force until it is either replaced by a new agreement or expires as per its provisions.

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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