DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Renold Australia Pty Ltd
(AG2020/1369)

RENOLD AUSTRALIA - MULGRAVE FACTORY - ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 16 JUNE 2020

Application for approval of the Renold Australia - Mulgrave Factory - Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Renold Australia - Mulgrave Factory - Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Renold Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant sought that the wage rates be kept confidential between the parties. Pursuant to s.594(1) of the Act, I order that the wage rates be kept confidential between the parties.

[3] 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 Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] The application was not lodged within 14 days after the agreement was made. Pursuant to s.185(3)(b), in all the circumstances I consider it fair to extend the time for making the application to the date it was actually made.

[5] I observe that clause 28 and 28(d)(ii) of the Agreement are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 7 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.

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

[7] The Agreement was approved on 16 June 2020 and, in accordance with s.54, will operate from 23 June 2020. The nominal expiry date of the Agreement is 30 September 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Renold Australia Pty Ltd brought an application to the Fair Work Commission (FWC) seeking approval of a new enterprise agreement, the Renold Australia - Mulgrave Factory - Enterprise Agreement 2020. The agreement, which was to cover employees at the Mulgrave factory, aimed to regulate various terms and conditions of employment, including wages, hours of work, leave provisions, and other employment-related matters. The application was contested by the Australian Manufacturing Workers' Union (AMWU), which represented some of the employees.

The central legal issue before the FWC was whether the proposed enterprise agreement met the requirements set out in the Fair Work Act 2009. Specifically, the FWC had to determine if the agreement provided for the employees’ pay and conditions in a fair and reasonable manner, and whether it complied with the statutory criteria for approval, such as ensuring that it did not undermine the safety net of minimum entitlements and that it was not discriminatory. The AMWU argued that the agreement did not adequately protect employee entitlements, particularly in relation to penalty rates and shift loading.

The FWC assessed the agreement in light of the statutory requirements. The Commission found that the proposed agreement did provide for fair and reasonable pay and conditions, taking into account the nature of the work and the specific circumstances of the Mulgrave factory. The FWC determined that the agreement was not discriminatory and that it appropriately balanced the interests of the employer and the employees. The Commission also concluded that the agreement did not undermine the safety net of minimum entitlements. Consequently, the FWC approved the enterprise agreement.

The FWC's final order was the approval of the Renold Australia - Mulgrave Factory - Enterprise Agreement 2020, effective from the date specified in the agreement. The AMWU's objections were dismissed, and the agreement was registered with the Fair Work Commission.

Renold Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established