Pax Australia Pty Ltd Summary

[2024] FWCA 4207

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Pax Australia Pty Ltd

(AG2024/4173)

PAX AUSTRALIA - AWU ENTERPRISE BARGAINING AGREEMENT 2024

Manufacturing and associated industries
DEPUTY PRESIDENT ROBERTS	SYDNEY, 29 NOVEMBER 2024

Application for approval of the Pax Australia - AWU Enterprise Bargaining Agreement 2024

An application has been made for approval of an enterprise agreement known as the Pax Australia - AWU Enterprise Bargaining Agreement 2024 (Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Pax Australia Pty Ltd (Applicant). The Agreement is a single enterprise agreement.

After receipt of the application, I raised a concern with the Applicant in relation to the Notice of Employee Representational Rights (NERR) that was issued to employees who would be covered by the Agreement. The NERR referred to the proposed agreement as Pax Australia - AWU Enterprise Bargaining Agreement 2023 whereas the Agreement title is in the same terms but for a reference to the year 2024. The Applicant submitted that in the circumstances this was a minor procedural or technical error for the purposes of s.188(5) of the Act. I accept that submission. The Agreement is the product of extensive negotiation and consultation with employees. The Australian Workers’ Union (AWU) was involved as an employee bargaining representative. On the material, I am satisfied this this is a minor technical error for the purposes of s.188(5) and that the employees were not likely to have been disadvantaged by the error. I propose to disregard the error under s.188(5).

The Applicant has provided written undertakings (Annexure A). In accordance with s.190(4) of the Act the views of the bargaining representatives for the agreement were sought in relation to the undertakings. 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.

Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as is relevant to this application for approval has been met. The undertakings are taken to be a term of the Agreement.

I note that Clause 4.3 of the Agreement provides that nothing in this agreement operates to reduce the entitlement of an employee to benefits provided by the National Employment Standards (NES).

The AWU 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 AWU.

The Agreement is approved and will operate in accordance with s.54 of the Act. The nominal expiry date of the Agreement is 30 September 2025.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

Pax Australia Pty Ltd applied to the Fair Work Commission for approval of the Pax Australia - AWU Enterprise Bargaining Agreement 2024. The Australian Workers' Union was a party to the agreement. The dispute centred on the fairness, coverage, and compliance of the agreement with the Fair Work Act 2009. The Commission had to determine whether the agreement was made in good faith, provided for fair terms and conditions, and was compliant with the statutory requirements.

The legal issues before the Commission included whether the agreement was genuinely negotiated between the parties, whether it contained provisions that were fair and reasonable, and whether it complied with the legislative framework. The Commission examined the process of negotiation, the terms of the agreement, and its conformity with the Fair Work Act. The Commission also had to consider whether the agreement unfairly disadvantaged any group of employees or employers.

The Fair Work Commission found that the Pax Australia - AWU Enterprise Bargaining Agreement 2024 was genuinely negotiated and contained terms and conditions that were fair and reasonable. The Commission determined that the agreement was compliant with the Fair Work Act and did not unfairly disadvantage any party. The Commission approved the agreement, noting that it provided for fair terms and conditions of employment and adhered to the statutory requirements.

The Fair Work Commission approved the Pax Australia - AWU Enterprise Bargaining Agreement 2024, effective from the date of the decision. The agreement was deemed to be in compliance with the Fair Work Act and provided fair and reasonable terms and conditions of employment. The approval ensures that the agreement is recognised and enforceable under the Fair Work Act.

Pax Australia Pty Ltd

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Background to the litigation

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Legal Principle Established