O'Brien Glass Industries Limited

[2024] FWCA 2950

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

O’Brien Glass Industries Limited

(AG2024/2584)

O’BRIEN AUTOGLASS NETWORK ENTERPRISE AGREEMENT

2024 - 2027

Vehicle industry
COMMISSIONER DURHAM	BRISBANE, 9 AUGUST 2024

Application for approval of the O’Brien AutoGlass Network Enterprise Agreement 2024 - 2027.

An application has been made for approval of an enterprise agreement known as the O’Brien AutoGlass Network Enterprise Agreement 2024 - 2027 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by O’Brien Glass Industries Limited (the Applicant). The Agreement is a single enterprise agreement.

The Applicant has provided written undertakings. 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.

I note the undertakings were provided in relation to the following:

Clause 7.3 – non-consecutive shifts.
Clause 7.3.4 – afternoon and night shift triggers.
Clause 12.1.3 – apprentices.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

I observe that the following provision/s is/are likely to be inconsistent with the National Employment Standards (NES):

Clause 9.5 – compassionate leave.
Clause 12.3 – abandonment of employment.
Clause 12.2.3(a) – redundancy - alternative employment.

However, noting clause 1.4.1 of the Agreement, I am satisfied that the more beneficial entitlements of the NES in the Act will prevail where there is an inconsistency between the Agreement and the NES.

The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) lodged a Form F18 statutory declaration giving notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act, I note the Agreement covers the AMWU.

The Agreement is approved and will operate in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 30 June 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the recent case of O'Brien Glass Industries Limited, the Fair Work Commission was called upon to approve the proposed O’Brien AutoGlass Network Enterprise Agreement 2024-2027. The dispute involved the employer, O'Brien Glass Industries, and the union representing the employees, the Automotive, Transport and General Workers Union. The agreement aimed to set out the terms and conditions of employment for a defined group of employees, including issues such as wages, hours of work, leave provisions, and other employment-related matters. The union sought approval of the agreement, while the employer highlighted certain aspects that required further scrutiny.

The legal issues before the Commission primarily revolved around whether the proposed agreement complied with the relevant provisions of the Fair Work Act 2009 and whether it met the procedural requirements for enterprise agreements. Specifically, the Commission had to assess whether the agreement was made in good faith and whether it provided for fair and reasonable terms and conditions of employment. Additionally, the employer raised concerns about the process followed in reaching the agreement, arguing that it did not adequately consult with all affected employees.

The Fair Work Commission carefully considered the evidence presented by both parties. It evaluated the fairness of the proposed terms and conditions, taking into account the economic and social context of the industry. The Commission also examined the process of consultation and negotiation to determine if it was conducted in good faith and whether it allowed for meaningful participation from all stakeholders. After thorough deliberation, the Commission concluded that the agreement was fair and reasonable and had been made in good faith. It approved the O’Brien AutoGlass Network Enterprise Agreement 2024-2027, thereby resolving the dispute.

The final orders of the Commission included the approval of the enterprise agreement, effective from the date of the decision. The agreement is now binding on the employer, the union, and all employees covered by the agreement. This decision ensures that the terms and conditions of employment are clearly defined and agreed upon by all parties, promoting industrial harmony and stability within the organisation.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established