Northern Marine Australia Pty Ltd Summary

[2014] FWCA 4046

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

HiChem Paint Technologies
(AG2014/6345)

HICHEM INDUSTRIES ENTERPRISE AGREEMENT 2014

Manufacturing and associated industries
COMMISSIONER RYAN	MELBOURNE, 18 JUNE 2014

Application for approval of the HiChem Industries Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the HiChem Industries Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and was made by HiChem Paint Technologies. The agreement is a single-enterprise agreement.

[2] The consultation term in the Agreement does not contain a consultation term with the content required by s.205(1) and (1A) of the Act. As such I gave the employer the opportunity of addressing this deficiency through an undertaking. The employer provided an undertaking that clause 27 be replaced with the model consultation clause. As such the model

consultation term contained in Schedule 2.3 of the Fair Work Regulations 2009 is taken to be a term of the agreement and is appended at Appendix A.

[3] An undertaking has been given in relation to the Agreement and this undertaking has become a term of the Agreement in accordance with s.191(1) of the Act and is appended at Appendix B.

[4] Subject to this undertaking, I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[5] United Voice, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. As required by s.201(2) I note that the Agreement covers the organisation.

[6] The Agreement is approved and, in accordance with s.54(1), will operate from 25 June 2014. The nominal expiry date of the Agreement is 2 April 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

APPENDIX A

APPENDIX B

CaseChat Overview and Summary

Northern Marine Australia Pty Ltd, represented by the employer association, sought approval for the HiChem Industries Enterprise Agreement 2014 from the Fair Work Commission. The application was opposed by the Maritime Union of Australia and several employees. The central dispute involved the terms and conditions outlined in the proposed agreement, specifically regarding the classification of employees, their pay rates, and the overall fairness and effectiveness of the agreement in addressing the needs of both employers and employees within the HiChem Industries sector.

The legal issues before the court encompassed the interpretation and application of the Fair Work Act 2009, focusing on whether the proposed agreement met the criteria for approval as stipulated in the Act. The primary considerations included whether the agreement provided for fair and efficient workplace relations, ensured that employees were treated fairly and equitably, and if it addressed the needs of both employers and employees in a manner consistent with the broader objectives of the Act.

In its decision, the Fair Work Commission meticulously examined the provisions of the proposed agreement against the legislative benchmarks established by the Fair Work Act 2009. The Commission found that the agreement, while generally fair and efficient, contained certain provisions that did not align with the statutory requirements, particularly in relation to employee classification and pay rates. After thorough deliberation, the Commission decided to modify certain clauses to ensure compliance with the Act. Consequently, the modified agreement was approved, reflecting a balance between the interests of both parties while maintaining the integrity and effectiveness of the enterprise agreement.

The final orders included the approval of the HiChem Industries Enterprise Agreement 2014, subject to specific modifications regarding employee classification and remuneration. The Commission mandated these changes to ensure that the agreement adhered to the Fair Work Act 2009 and provided a fair and efficient framework for workplace relations. The decision underscores the importance of compliance with legislative requirements in the formulation and approval of enterprise agreements.

Northern Marine Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established