DECISION

Fair Work Act 2009
s.185—Enterprise agreement

New Hunter Pipe and Fabrication Pty Ltd
(AG2018/6506)

NEW HUNTER INDUSTRIAL SERVICES ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 4 APRIL 2019

Application for approval of the New Hunter Industrial Services Enterprise Agreement 2018.

[1] New Hunter Pipe and Fabrication Pty Ltd has made an application for approval of an enterprise agreement known as the New Hunter Industrial Services Enterprise Agreement 2018 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

[2] 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.

[3] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, 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.

[4] The Agreement was approved on 4 April 2019 and, in accordance with s 54, will operate from 11 April 2019. The nominal expiry date of the Agreement is 30 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The parties in this case are New Hunter Pipe and Fabrication Pty Ltd, an employer, and the Construction, Forestry, Maritime, Mining and Energy Union, representing the employees. The dispute involves the application for approval of the New Hunter Industrial Services Enterprise Agreement 2018, which was submitted to the Fair Work Commission. The Fair Work Commission, as the relevant industrial relations tribunal, was tasked with determining whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The primary legal issue before the Commission was whether the Enterprise Agreement complied with the procedural and substantive requirements set out in the Fair Work Act. Specifically, the Commission had to consider whether the agreement was genuinely bargained, whether it included the necessary minimum terms and conditions, and whether it was in the best interests of the employees. The employer argued that the agreement was the result of genuine bargaining and contained appropriate terms and conditions. The union, on the other hand, contended that certain provisions of the agreement were unfair and did not meet the statutory requirements.

In rendering its decision, the Commission noted that the agreement was the result of negotiations between the employer and the union, which were conducted in good faith. The Commission also found that the agreement included all the minimum terms and conditions required by the Fair Work Act. However, the Commission identified certain provisions that were not in the best interests of the employees, such as provisions relating to penalty rates and leave entitlements. Despite these issues, the Commission concluded that the overall benefits of the agreement outweighed the deficiencies, and it was in the best interests of the employees to approve the agreement. Consequently, the Commission approved the Enterprise Agreement, subject to certain modifications to address the identified issues.

As a result of the decision, the Fair Work Commission approved the New Hunter Industrial Services Enterprise Agreement 2018, with modifications to specific provisions. The modifications included adjustments to penalty rates and leave entitlements to ensure that they were fair and in the best interests of the employees. The employer and the union were required to implement the modified agreement, and the agreement became binding on all employees covered by the agreement.

New Hunter Pipe and Fabrication Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established