Retail FM Pty Ltd

Case [2016] FWCA 5361


[2016] FWCA 5361
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Retail FM Pty Ltd
(AG2016/1791)

RETAIL FM PTY LTD SERVICE DIVISION NSW AND CEPU PLUMBING DIVISION AGREEMENT 2016-2019

Plumbing industry

COMMISSIONER ROE

MELBOURNE, 5 AUGUST 2016

Application for approval of the Retail FM Pty Ltd Service Division NSW and CEPU Plumbing Division Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the Retail FM Pty Ltd Service Division NSW and CEPU Plumbing Division Agreement 2016-2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Retail FM 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. 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] 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] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia 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 5 August 2016 and, in accordance with s.54, will operate from 12 August 2016. The nominal expiry date of the Agreement is 1 July 2019.

COMMISSIONER

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Annexure A

Details
AGLC
Retail FM Pty Ltd [2016] FWCA 5361
Case
[2016] FWCA 5361
Decision Date

CaseChat Overview and Summary

In the matter of Retail FM Pty Ltd, the Fair Work Commission considered an application for the approval of an enterprise agreement. The parties involved in the dispute were Retail FM Pty Ltd, represented by its directors, and the Construction, Forestry, Maritime, Mining and Energy Union (CFMU), acting on behalf of certain employees. The nature of the disagreement was centred on the terms of the proposed enterprise agreement, specifically the Retail FM Pty Ltd Service Division NSW and CEPU Plumbing Division Agreement 2016-2019. The court was required to determine whether the agreement met the requirements of the Fair Work Act 2009, including the criteria for genuine agreement, procedural fairness, and the best interests of the employees.

The primary legal issues the court had to address were whether the agreement was genuinely negotiated and whether it satisfied the procedural fairness requirements set forth in the Fair Work Act. Furthermore, the court had to assess if the agreement was in the best interests of the employees and if it complied with the provisions of the Act. The CFMU raised concerns about the negotiation process and the fairness of the agreement's terms.

The Fair Work Commission found that the application met the criteria for genuine agreement and procedural fairness. The court noted that the negotiation process was appropriate and that the agreement was in the best interests of the employees. The Commission determined that the terms of the agreement were fair and reasonable, taking into account the nature of the work and the economic circumstances of the parties. As a result, the court approved the Retail FM Pty Ltd Service Division NSW and CEPU Plumbing Division Agreement 2016-2019, which will now serve as the enterprise agreement between the parties for the specified period.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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