DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Renron Australia Pty Ltd
(AG2017/4019)

RENRON AUSTRALIA PTY LTD AND AMWU METAL ENGINEERING ON-SITE CONSTRUCTION AGREEMENT 2017-2020

Building, metal and civil construction industries
COMMISSIONER CIRKOVIC	MELBOURNE, 10 OCTOBER 2017

Application for approval of the Renron Australia Pty Ltd and AMWU Metal Engineering On-Site Construction Agreement 2017-2020.

[1] An application has been made for approval of an enterprise agreement known as the Renron Australia Pty Ltd and AMWU Metal Engineering On-Site Construction Agreement 2017-2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Renron Australia Pty Ltd. The Agreement is a single enterprise agreement.

[2] The Applicant 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.

[3] 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.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] 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.

[6] The Agreement was approved on 10 October 2017 and, in accordance with s.54, will operate from 17 October 2017. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the recent case of Renron Australia Pty Ltd, the parties were Renron Australia Pty Ltd and the Australian Manufacturing Workers' Union (AMWU). The nature of the dispute involved an application for approval of a proposed industrial agreement between the two parties. The court in this case was the Fair Work Commission (FWC), which has jurisdiction to approve or reject such agreements under the Fair Work Act 2009 (Cth). The legal issues that the FWC was required to decide involved whether the proposed agreement met the requirements for approval under the Act, including whether it was likely to have a beneficial effect on the parties and the broader industrial relations system.

The court's reasoning was focused on whether the agreement would promote productive and harmonious workplace relations, as well as whether it was consistent with the national system of industrial relations. The FWC noted that the proposed agreement contained provisions that were in line with the principles of the national system, such as provisions for dispute resolution and workplace flexibility. The court also considered the submissions of the parties and other stakeholders, including the Australian Council of Trade Unions and the Australian Chamber of Commerce and Industry. The FWC was satisfied that the agreement would have a beneficial effect on the parties and the broader industrial relations system, and therefore approved the proposed agreement.

The court's outcome was that the proposed Renron Australia Pty Ltd and AMWU Metal Engineering On-Site Construction Agreement 2017-2020 was approved by the FWC. The final orders of the court included that the agreement be registered under the Fair Work Act 2009 (Cth) and that it would come into effect on 1 January 2018. The court also noted that the agreement was subject to review and variation by the parties, as well as by the FWC in certain circumstances. Overall, the court's decision in this case highlights the importance of industrial agreements in promoting productive and harmonious workplace relations, as well as the role of the FWC in approving such agreements.

Renron 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