Onefortyone Wood Products Pty Ltd

Case [2024] FWCA 4581


[2024] FWCA 4581

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Onefortyone Wood Products Pty Ltd

(AG2024/4735)

ONEFORTYONE WOOD PRODUCTS PTY LTD MT GAMBIER UNIONS ENTERPRISE AGREEMENT 2024

Timber and paper products industry

COMMISSIONER ALLISON

MELBOURNE, 20 DECEMBER 2024

Application for approval of the OneFortyOne Wood Products Pty Ltd Mount Gambier Unions Enterprise Agreement 2024

  1. Onefortyone Wood Products Pty Ltd (the Employer) has made an application, pursuant to s.185 of the Fair Work Act 2009 (the Act), for approval of a single enterprise agreement known as the OneFortyOne Wood Products Pty Ltd Mount Gambier Unions Enterprise Agreement 2024 (the Agreement).

  1. The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Construction, Forestry and Maritime Employees Union, 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) I note that the Agreement covers both organisations.

  1. The Notice of Employee Representational Rights (NERR) was not in the current form prescribed by the regulations. I am satisfied that this was a minor procedural or technical error and that the employees were not likely to have been disadvantaged by it. Accordingly, I exercise the discretion conferred by s.188(5) of the Act to disregard this error.

  1. The following provisions may be inconsistent with the National Employment Standards (NES):

  • Clause 35, relating to compassionate leave, does not provide an entitlement to compassionate leave in circumstances where a child is stillborn or there is a miscarriage, inconsistent with ss.104 and 105 of the Act.
  • The definition of “household member” in Clause 63 may be more restrictive than the NES, for the purposes of entitlement to personal/carer’s leave.
  • Schedule D, relating to unpaid family and domestic violence leave, states that the NES currently provides 5 days unpaid family and domestic violence leave in a 12-month period. This is less than the 10 days of unpaid leave set out in s.106A(1) of the Act.
  • Clause 21, relating to abandonment of employment, allows the Employer to terminate employment at an operative date earlier than the day notice of termination is given. This appears inconsistent with s.117(1) of the Act.  
  1. However, noting clause 7.7 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

  1. I am satisfied that each of the requirements of ss.186, 187, and 188 as are relevant to this application for approval have been met.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 27 December 2024. The nominal expiry date of the Agreement is 1 October 2026.


COMMISSIONER

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Details
AGLC
Onefortyone Wood Products Pty Ltd [2024] FWCA 4581
Case
[2024] FWCA 4581
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission involved an application by Onefortyone Wood Products Pty Ltd for the approval of the OneFortyOne Wood Products Pty Ltd Mount Gambier Unions Enterprise Agreement 2024. The dispute centred around whether the enterprise agreement met the statutory requirements for approval under the Fair Work Act 2009. The company sought to have the agreement, which included terms related to wages, conditions of employment, and other workplace arrangements, recognised as a lawful and valid enterprise agreement.

The primary legal issues that the Commission had to address were whether the agreement was genuinely a bargain between the employer and the employees, whether it was appropriately certified by an independent certifier, and whether it complied with the provisions of the Fair Work Act. Additionally, the Commission considered whether the agreement met the requirements of the better off overall test, ensuring that employees would not be worse off financially under the new agreement compared to their existing conditions.

The Commission found that the agreement was genuinely a product of bargaining between the parties, with evidence of meaningful negotiation and input from both the employer and the union representatives. The certification process was deemed to have been conducted appropriately, with the certifier acting independently and without bias. The Commission also determined that the agreement complied with all relevant statutory provisions and that it satisfied the better off overall test, providing employees with improved conditions and protections. Consequently, the Commission approved the OneFortyOne Wood Products Pty Ltd Mount Gambier Unions Enterprise Agreement 2024.

The final orders of the Commission included the approval of the enterprise agreement, which is now legally binding on the parties involved. The agreement will govern the employment terms and conditions of the employees at the Mount Gambier site, and it will remain in effect until it is replaced or terminated in accordance with the provisions of the Fair Work Act.

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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