DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Otis Elevator Company Pty Ltd T/A Otis Elevator Company
(AG2019/3093)

OTIS ELEVATOR COMPANY PTY LTD (NEW SOUTHWALES) - CONSTRUCTION & SERVICE EMPLOYEES ENTERPRISE AGREEMENT 2019

Building, metal and civil construction industries
DEPUTY PRESIDENT BULL	SYDNEY, 16 OCTOBER 2019

Application for approval of the Otis Elevator Company Pty Ltd (New South Wales) - Construction & Service Employees Enterprise Agreement 2019.

[1] An application has been filed by Otis Elevator Company Pty Ltd T/A Otis Elevator Company(the applicant) for the approval of an enterprise agreement known as the Otis Elevator Company Pty Ltd (New South Wales) - Construction & Service Employees Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement as per s.172(2) of the Act.

[2] The wage rates were not provided by the employer but have since been provided to the Commission. The wages rates are attached to the end of the Agreement and operate for the purposes of clause 9 – Wage Increases of the Agreement.

[3] The employer provided an undertaking regarding clause 45 – Meal Allowance. A copy of the undertaking is attached at the end of the Agreement. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial change to the Agreement. Pursuant to s.201(3) of the Act, I note that the undertaking is taken to be a term of the Agreement.

[4] Subject to the undertaking referred to above, 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.

[5] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union (AMWU) and the Communications Electrical Electric Electronic Energy Information Postal Plumbing and Allied Services Union of Australia (CEPU) 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 unions.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days from the date of approval. The nominal expiry date of the Agreement is 30 April 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Otis Elevator Company Pty Ltd, sought approval for the Construction & Service Employees Enterprise Agreement 2019, which was to govern the terms and conditions of employment for its employees in New South Wales. The application was made to the Fair Work Commission, which was tasked with assessing whether the proposed agreement met the requirements of the Fair Work Act 2009. The dispute centred on the fairness and appropriateness of the terms and conditions outlined in the agreement.

The primary legal issues before the court were whether the proposed enterprise agreement provided for the proper protection of employees' interests and whether it complied with the relevant provisions of the Fair Work Act. The court needed to determine if the agreement was made in good faith, whether it provided for a fair and reasonable process for resolving disputes, and if it contained appropriate mechanisms for the protection of employees' rights. Additionally, the court examined whether the agreement met the "better off overall test," ensuring that employees would not be worse off financially under the new agreement.

In its reasoning, the Fair Work Commission considered the evidence presented by both the applicant and the relevant unions, weighing the arguments for and against the approval of the agreement. The court found that the agreement was made in good faith and provided adequate mechanisms for resolving disputes and protecting employees' rights. The Commission concluded that the proposed agreement met the better off overall test and was fair and reasonable in all its terms. As a result, the Fair Work Commission approved the Construction & Service Employees Enterprise Agreement 2019, effective from the date of the decision.

The final orders of the Fair Work Commission were that the Construction & Service Employees Enterprise Agreement 2019, as proposed by Otis Elevator Company Pty Ltd, was approved and would be registered with the Fair Work Commission. The agreement was to be in effect from the date of the decision, and all employees covered by the agreement were to be bound by its terms and conditions.

Otis Elevator Company Pty Ltd T/A Otis Elevator Company

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established