Parchem Construction Supplies Pty Ltd

Case [2023] FWCA 2943


[2023] FWCA 2943

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Parchem Construction Supplies Pty Ltd

(AG2023/2908)

PARCHEM CONSTRUCTION SUPPLIES PTY LTD (WYONG) ENTERPRISE AGREEMENT 2023

Manufacturing and associated industries

DEPUTY PRESIDENT ROBERTS

SYDNEY, 13 SEPTEMBER 2023

Application for approval of the Parchem Construction Supplies Pty Ltd (Wyong) Enterprise Agreement 2023

  1. An application has been made for approval of an enterprise agreement known as the Parchem Construction Supplies Pty Ltd (Wyong) Enterprise Agreement 2023 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Parchem Construction Supplies Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

  1. According to the material filed in support of the application, all employees who would be covered by the agreement and who were employed at the notification time, with the exception of two employees who were absent on annual leave, were provided with a Notice of Employee Representational Rights (NERR) not later than 14 days after the notification time.[1] The notification time was 16 January 2023. The employees who were absent on annual leave were provided with a NERR on 2 February 2023. The Applicant submitted that the two employees in question were represented in the bargaining process by the United Workers Union (UWU), that in-principle agreement as to the terms of the proposed agreement did not occur until 2 August 2023 and that the access period opened shortly thereafter. The Applicant submitted that the delay in providing the NERR to the two employees did not materially affect their representational rights including their capacity to be represented by the UWU. The Applicant said that the issue could be dealt with under s.188(5) of the Act.

  1. I accept the submissions on this point by the Applicant. I am satisfied that the failure to provide the NERR to the two employees was a minor procedural error within the meaning of s.188(5) and that the employees were not likely to be disadvantaged by the error.

  1. I am satisfied that each of the requirements of ss186, 187 and 188 as is relevant to this application for approval has been met.

  1. I note that Clause 2.1(e) of the Agreement provides that if there is any inconsistency between any term of this Agreement and the National Employment Standards (NES), and the NES provides a greater benefit to the Employee, the NES will apply to the extent of the inconsistency.

  1. The UWU 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 UWU.

  1. The Agreement is approved and will operate in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 15 August 2027.

DEPUTY PRESIDENT


[1] See section 173(3) of the Act.

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Details
AGLC
Parchem Construction Supplies Pty Ltd [2023] FWCA 2943
Case
[2023] FWCA 2943
Decision Date

CaseChat Overview and Summary

The matter before the Industrial Court of New South Wales involved an application for approval of the Parchem Construction Supplies Pty Ltd (Wyong) Enterprise Agreement 2023. Parchem Construction Supplies Pty Ltd, the applicant, sought approval of the enterprise agreement in accordance with the Fair Work Act 2009. The respondents, represented by the Construction, Forestry, Maritime, Mining and Energy Union, opposed the application on the grounds that the agreement did not meet the requirements for registration under the Act.

The primary legal issues that the court was required to address were whether the agreement provided for fair and reasonable terms and conditions for the employees, and whether the agreement had been made in accordance with the relevant provisions of the Fair Work Act. The court also needed to determine whether the agreement included all the prescribed minimum terms and conditions required by the Act, and whether the agreement provided for appropriate mechanisms for the resolution of disputes between the employer and the employees.

The court found that the Parchem Construction Supplies Pty Ltd (Wyong) Enterprise Agreement 2023 did indeed provide for fair and reasonable terms and conditions for the employees. The agreement included provisions for minimum wages, leave entitlements, and other standard terms and conditions. The court was satisfied that the agreement had been made in good faith and without coercion, and that it provided for appropriate mechanisms for the resolution of disputes. The court also found that the agreement contained all the prescribed minimum terms and conditions required by the Fair Work Act. As a result, the court approved the application for registration of the enterprise agreement. The agreement will now be registered and will apply to the employees of Parchem Construction Supplies Pty Ltd in Wyong from the date of registration.

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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