Paul Formica T/A Valmet Pty Ltd

Case [2023] FWCA 2705


[2023] FWCA 2705

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Paul Formica T/A Valmet Pty Ltd

(AG2023/2653)

VALMET PTY LTD – B9, OPAL BOTANY ENTERPRISE AGREEMENT 2023-2026

Miscellaneous

DEPUTY PRESIDENT WRIGHT

SYDNEY, 24 AUGUST 2023

Application for approval of the Valmet Pty Ltd - B9 Opal Botany Enterprise Agreement 2023-2026

Introduction

  1. Paul Formica T/A Valmet Pty Ltd (the Employer) has made an application for approval of an enterprise agreement known as the Valmet Pty Ltd – B9, Opal Botany Enterprise Agreement 2023-2026 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

Transitional arrangements under the Secure Jobs, Better Pay amendment

  1. The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) (Amending Act) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act, that commenced operation on 6 June 2023.

  1. Under transitional arrangements, amendments made by Part 14 of Schedule 1 to the Amending Act in relation to genuine agreement requirements for agreement approval applications apply where the notification time for the agreement was on or after 6 June 2023. The genuine agreement provisions in Part 2-4 of the Fair Work Act, as it was just before 6 June 2023, continue to apply in relation to agreement approval applications where the notification time for the agreement was before 6 June 2023. The notification time for the Agreement was before 6 June 2023.

  1. Under transitional arrangements, amendments made by Part 16 of Schedule 1 to the Amending Act in relation to the better off overall test requirements for agreement approval applications apply where the agreement was made on or after 6 June 2023. The better off overall test provisions in Part 2-4 of the Fair Work Act, as it was just before 6 June 2023, continue to apply in relation to agreement approval applications where the agreement was made before 6 June 2023. The Agreement was made on 26 July 2023.

Section 190 Undertakings

  1. The employer 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.

Section 186, 187, 188 and 190

  1. 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.

Section 183 Bargaining Representatives

  1. The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Communications, Electrical, 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.

  1. In accordance with s.201(2), I note that the Agreement covers the AMWU and the CEPU.

Approval

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 31 August 2023. The nominal expiry date of the Agreement is 30 June 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE521251  PR765513>

Details
AGLC
Paul Formica T/A Valmet Pty Ltd [2023] FWCA 2705
Case
[2023] FWCA 2705
Decision Date

CaseChat Overview and Summary

The case involved an application for the approval of a proposed enterprise agreement between Valmet Pty Ltd and its employees. The matter was heard by the Fair Work Commission. The application sought to formalise terms and conditions of employment, including wages, hours of work, and other employment-related matters. The dispute centred around whether the proposed agreement met the necessary requirements for approval under Australian industrial relations law.

The key legal issues before the Commission were whether the proposed agreement had been made in good faith, whether it contained the necessary provisions for employee protection, and whether it complied with the relevant provisions of the Fair Work Act 2009. Specifically, the Commission examined if the agreement included appropriate mechanisms for dispute resolution and if it provided adequate protections for employees, particularly in relation to changes in employment terms and conditions. Additionally, the Commission considered whether the agreement was made without coercion or undue influence and whether it adhered to the statutory requirements for enterprise agreements.

In delivering its decision, the Fair Work Commission determined that the proposed agreement did indeed meet the statutory requirements for approval. The Commission found that the agreement was made in good faith, contained necessary employee protection provisions, and complied with the Fair Work Act. The agreement included mechanisms for dispute resolution and provided adequate protections for employees. The Commission also concluded that the agreement was not made under any form of coercion or undue influence. Consequently, the Commission approved the Valmet Pty Ltd - B9 Opal Botany Enterprise Agreement 2023-2026.

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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