Pentarch Logistics Pty Ltd

[2022] FWCA 2574

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Pentarch Logistics Pty Ltd

(AG2022/3092)

Pentarch Logistics Pty Ltd Victoria Enterprise Agreement 2021

Timber and paper products industry
DEPUTY PRESIDENT BELL	MELBOURNE, 2 AUGUST 2022

Application for approval of the Pentarch Logistics Pty Ltd Victoria Enterprise Agreement 2021.

An application has been made for approval of an enterprise agreement known as the Pentarch Logistics Pty Ltd Victoria Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by Pentarch Logistics Pty Ltd. The Agreement is a single enterprise agreement.

Having regard to the material contained in the application and filed in relation to it, 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. The Agreement does not cover all of the employees of the employer. However, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

The Construction, Forestry, Maritime, Mining and Energy 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.

The Agreement was approved on 2 August 2022 and, in accordance with s.54, will operate from 9 August 2022. The nominal expiry date of the Agreement is 31 October 2024.

DEPUTY PRESIDENT

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CaseChat Overview and Summary

Pentarch Logistics Pty Ltd was involved in a dispute with its employees regarding the terms of their employment, leading to an application for the approval of the Pentarch Logistics Pty Ltd Victoria Enterprise Agreement 2021. The matter was heard by the Fair Work Commission. The dispute centred on the terms of the proposed enterprise agreement and whether it complied with the requirements of the Fair Work Act 2009. The primary issues before the Commission were whether the agreement appropriately covered the employees, provided adequate pay and conditions, and adhered to the procedural requirements for the approval of enterprise agreements.

The Commission examined the procedural fairness of the agreement, considering the process through which it was negotiated and the extent of employee consultation. The Commission also assessed the substantive provisions of the agreement, including pay rates, conditions of employment, and other terms and conditions. A key concern was whether the agreement met the "better off overall test," ensuring that employees would not be worse off financially by the terms of the agreement. The Commission reviewed submissions from both Pentarch Logistics and the employees' representatives to determine if the agreement was fair and reasonable.

After thorough consideration, the Commission found that the agreement met the necessary procedural and substantive requirements. The Commission noted that the negotiation process was fair and that employees had been adequately consulted. The Commission also determined that the agreement provided employees with fair and reasonable terms and conditions, meeting the better off overall test. Consequently, the Commission approved the Pentarch Logistics Pty Ltd Victoria Enterprise Agreement 2021, deeming it to be a lawful and fair agreement under the Fair Work Act 2009. The decision was made in the interests of promoting harmonious, productive, and cooperative workplace relations.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established