Plinius Engineering and Wrought Iron Pty Ltd

[2023] FWCA 2184

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Plinius Engineering and Wrought Iron Pty Ltd

(AG2023/2182)

PLINIUS ENGINEERING ENTERPRISE AGREEMENT 2023

Manufacturing and associated industries
COMMISSIONER LEE	MELBOURNE, 14 JULY 2023

Application for approval of the Plinius Engineering Enterprise Agreement 2023

An application has been made for approval of an enterprise agreement known as the Plinius Engineering 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 Plinius Engineering and Wrought Iron Pty Ltd. The Agreement is a single enterprise agreement.

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. The undertakings are taken to be a term of the agreement.

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.

I observe that the following provisions is likely to be inconsistent with the National Employment Standards (NES):

· Clause 13.1(e)(ii) – Termination of employment

However, noting clause 7.2 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 21 July 2023. The nominal expiry date of the Agreement is 14 July 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involves an application for the approval of the Plinius Engineering Enterprise Agreement 2023, which was submitted to the Fair Work Commission by the employer, Plinius Engineering and Wrought Iron Pty Ltd. The application was contested by the union, the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU), which raised concerns about various aspects of the proposed agreement, including the classification of employees, remuneration, and the process by which the agreement was negotiated. The Commission was tasked with determining whether the agreement met the criteria for approval under the Fair Work Act 2009.

The key legal issues before the Commission were whether the agreement was genuinely a bargain between the employer and the employees, whether the agreement was made in good faith, and whether it complied with the procedural requirements set out in the Fair Work Act. The Commission had to consider the evidence provided by both parties, including the negotiation process, the content of the agreement, and the union's objections. The Commission also needed to assess whether the agreement provided for fair and reasonable terms and conditions for employees.

The Fair Work Commission found that the agreement was genuinely a bargain between the parties, as it contained terms that were beneficial to both the employer and the employees. The Commission was satisfied that the agreement was made in good faith, based on the evidence of the negotiation process and the efforts made by both parties to reach an agreement. The Commission also found that the agreement complied with the procedural requirements of the Fair Work Act, including the requirement for the union to be given an opportunity to be involved in the negotiation process. The Commission concluded that the agreement provided for fair and reasonable terms and conditions for employees and approved the Plinius Engineering Enterprise Agreement 2023.

The Commission made an order approving the Plinius Engineering Enterprise Agreement 2023, effective from the date of the Commission's decision. The agreement will now apply to all employees of Plinius Engineering and Wrought Iron Pty Ltd who are covered by the agreement. The union's objections were dismissed, and the employer was directed to take all necessary steps to give effect to the approved agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established