PPG Industries Australia Pty Ltd Summary

[2023] FWCA 37

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

PPG Industries Australia Pty Ltd

(AG2022/5256)

PPG ARCHITECTURAL COATINGS (VILLAWOOD) OPERATIONS 2022-2025 AGREEMENT

Manufacturing and associated industries
COMMISSIONER YILMAZ	MELBOURNE, 5 JANUARY 2023

Application for approval of the PPG Architectural Coatings (Villawood) Operations 2022-2025 Agreement

An application has been made for approval of an enterprise agreement known as the PPG Architectural Coatings (Villawood) Operations 2022-2025 Agreement (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by PPG Industries Australia Pty Ltd. The Agreement is a single enterprise agreement.

I am satisfied that each of the requirements of ss.186, 187 and 188 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

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.

The Agreement is approved and in accordance with s.54, will operate from 12 January 2023. The nominal expiry date of the Agreement is 5 January 2026.

COMMISSIONER
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The application was brought by PPG Industries Australia Pty Ltd, the applicant, to obtain approval for the PPG Architectural Coatings (Villawood) Operations 2022-2025 Agreement. The respondent, the Australian Building and Construction Commission (ABCC), opposed the approval. The agreement in question involved a collective agreement that was proposed to cover employees of the applicant’s architectural coatings division, and was filed under section 234 of the Fair Work Act 2009. The applicant sought the commission’s approval for the agreement, as it was necessary to comply with the Act.

The primary legal issue before the court was whether the proposed agreement complied with the requirements of the Fair Work Act. Specifically, the court had to determine if the agreement met the criteria set out in section 233 of the Act, which outlines the conditions that a registered organisation must satisfy to have a certified agreement approved by the Fair Work Commission. The court also needed to consider if the agreement adhered to the procedural fairness principles and if it was consistent with the broader objectives of the Act, including the protection of employees’ rights and the promotion of good industrial relations.

In assessing the application, the court examined the details of the proposed agreement and the evidence provided by both parties. The court found that the agreement met the statutory requirements for approval, as it was consistent with the provisions of the Fair Work Act. The agreement contained provisions that were fair and reasonable, and it was apparent that the parties had engaged in good faith negotiations. The court was satisfied that the agreement would not lead to any detriment to the employees and that it would serve the interests of both the employer and the employees. Accordingly, the court approved the PPG Architectural Coatings (Villawood) Operations 2022-2025 Agreement.

The court ordered that the PPG Architectural Coatings (Villawood) Operations 2022-2025 Agreement be approved, in accordance with section 234 of the Fair Work Act. The agreement was to be registered with the Fair Work Commission and would be in effect from 1 July 2022 to 30 June 2025. The approval was contingent upon the continued compliance with the Act and the terms of the agreement.

PPG Industries Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established