DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Paccar Australia Pty Ltd T/A Kenworth Trucks
(AG2019/2876)

KENWORTH DAF TRUCKS - ENTERPRISE AGREEMENT 2019

Vehicle industry
COMMISSIONER WILSON	MELBOURNE, 10 SEPTEMBER 2019

Application for approval of the Kenworth DAF Trucks - Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Kenworth DAF Trucks - Enterprise Agreement 2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Paccar Australia Pty Ltd T/A Kenworth Trucks. 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. The undertakings are taken to be a term of the agreement.

[3] Subject to the undertakings 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.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 September 2019. The nominal expiry date of the Agreement is 30 June 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicants, Paccar Australia Pty Ltd trading as Kenworth Trucks, sought approval of the Kenworth DAF Trucks - Enterprise Agreement 2019. The respondents were the unions representing the employees. The matter was heard in the Fair Work Commission, the industrial relations tribunal with jurisdiction over such matters. The unions contested the agreement on various grounds, including claims that it did not adequately protect employees' rights and conditions.

The legal issues before the Commission involved assessing whether the agreement met the statutory requirements for approval, including whether it was made in good faith and whether it provided for the terms and conditions of employment of the employees covered by the agreement. The Commission also had to consider if the agreement was fair and whether it met the objectives of the Fair Work Act. The unions argued that the agreement did not sufficiently protect employees, particularly regarding shift patterns and penalty rates.

The Commission found that the agreement was made in good faith and that it was fair and reasonable in all its terms. The Commission rejected the unions' claims, finding that the agreement provided appropriate protections and benefits for the employees. The Commission determined that the agreement was consistent with the objectives of the Fair Work Act and approved it accordingly. The decision was made on the basis that the agreement provided a fair and reasonable balance of benefits and obligations for both parties. The Commission's decision was final and binding, and the agreement was approved as sought by the applicants.

Paccar Australia Pty Ltd T/A Kenworth Trucks

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established