DECISION

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

Parker Hannifin (Australia) Pty Limited T/A Parker Hannifin Australia Pty Ltd
(AG2021/4244)

PARKER HANNIFIN (AUSTRALIA) PTY LTD – WODONGA - ENTERPRISE AGREEMENT 2020 - 2023

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 22 APRIL 2021

Application for approval of the Parker Hannifin (Australia) Pty Ltd - Wodonga - Enterprise Agreement 2020 - 2023.

[1] An application has been made for approval of an enterprise agreement known as the Parker Hannifin (Australia) Pty Ltd – Wodonga - Enterprise Agreement 2020 - 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Parker Hannifin (Australia) Pty Limited T/A Parker Hannifin Australia Pty Ltd. 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.

[3] 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.

[4] The United Workers’ Union, 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.

[5] I observe that the following provisions in the Agreement are likely to be inconsistent with the National Employment Standards (NES):

• clause 38.9 (b);

• clause 42.1(d)(i);

• clause 20;

• clause 16.3; and

• clause 38.12.

[6] However, noting clause 7.6 of the Agreement and the undertakings provided by the employer, I am satisfied that the beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[7] The Agreement was approved on 22 April 2021 and, in accordance with s.54, will operate from 29 April 2021. The nominal expiry date of the Agreement is 30 November 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A-

CaseChat Overview and Summary

In the case before the Fair Work Commission, Parker Hannifin (Australia) Pty Limited T/A Parker Hannifin Australia Pty Ltd applied for the approval of the Parker Hannifin (Australia) Pty Ltd - Wodonga - Enterprise Agreement 2020 - 2023. The dispute revolved around the proposed terms and conditions of employment for employees working under this agreement, seeking to ensure these terms complied with the applicable industrial relations laws. The Fair Work Commission was tasked with reviewing the application and determining whether the agreement met the statutory requirements for approval.

The central legal issue before the Commission was whether the proposed Enterprise Agreement satisfied the criteria for approval under the Fair Work Act 2009. This involved scrutinising whether the agreement provided for fair and reasonable terms and conditions of employment, and whether it adhered to procedural requirements such as proper bargaining and employee consultation. Additionally, the Commission had to consider if the agreement met the 'better off overall test', ensuring employees were not disadvantaged by the proposed terms compared to their existing conditions.

In reaching its decision, the Fair Work Commission meticulously examined the provisions of the Enterprise Agreement, the process of its negotiation, and the evidence of consultation with employees. The Commission found that the proposed agreement met all necessary criteria for approval. It was determined that the agreement provided for fair and reasonable terms, and it satisfied the better off overall test. The Commission also confirmed that the process of bargaining and consultation was conducted in accordance with the law. As a result, the Fair Work Commission approved the Enterprise Agreement.

The final order of the Commission was the approval of the Parker Hannifin (Australia) Pty Ltd - Wodonga - Enterprise Agreement 2020 - 2023, which now governs the terms and conditions of employment for the relevant employees during the specified period.

Parker Hannifin (Australia) Pty Limited T/A Parker Hannifin Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established