| [2023] FWCA 3141 |
| FAIR WORK COMMISSION |
| DECISION |
Fair Work Act 2009
s.185—Enterprise agreement
Rheem Australia Pty Ltd
(AG2023/3169)
MOORABBIN MANUFACTURING ENTERPRISE AGREEMENT 2023
| Manufacturing and associated industries | |
| COMMISSIONER CIRKOVIC | MELBOURNE, 28 SEPTEMBER 2023 |
Application for approval of the Moorabbin Manufacturing Enterprise Agreement 2023
An application has been made for approval of an enterprise agreement known as the Moorabbin Manufacturing 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 Rheem Australia Pty Ltd (the Employer). 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 “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 seeks to be covered by the Agreement. In accordance with s 201(2) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.
The Agreement is approved and, in accordance with s.58 of the Act, will commence operation on either 7 May 2024 after the current enterprise agreement[1] passes its nominal expiry date or at such earlier time should the current agreement be terminated prior to its nominal expiry date of 6 May 2024. The nominal expiry date of the Agreement is 3 years from the above commencement date.
COMMISSIONER
[1] AE511792
Printed by authority of the Commonwealth Government Printer
<AE521670 PR766651>
- AGLC
- Rheem Australia Pty Ltd [2023] FWCA 3141
- Case
- [2023] FWCA 3141
- Decision Date
CaseChat Overview and Summary
The primary legal issues the FWC had to address were whether the agreement was made in good faith and whether it complied with the relevant provisions of the Fair Work Act 2009. Specifically, the FWC examined whether Rheem had genuinely attempted to negotiate with the employees and their representatives, and whether the agreement was fair and reasonable in all its circumstances. Additionally, the FWC needed to assess if the agreement contained all the prescribed minimum terms and conditions, including those relating to pay rates, penalty rates, and leave entitlements.
In its decision, the FWC found that Rheem had genuinely attempted to negotiate the agreement and had engaged in meaningful consultation with the employees and their representatives. The FWC was satisfied that the agreement was made in good faith and that the necessary consultation had been undertaken. Furthermore, the FWC determined that the agreement met all the statutory requirements for approval, including the prescribed minimum terms and conditions. The FWC approved the Moorabbin Manufacturing Enterprise Agreement 2023, finding it to be fair and reasonable.
The FWC's decision highlights the importance of genuine negotiation and consultation in the process of approving enterprise agreements. Employers must ensure they engage in meaningful dialogue with employees and their representatives to satisfy the requirements of the Fair Work Act. This case serves as a reminder that the FWC will closely scrutinise agreements to ensure they comply with all statutory obligations, including the provision of minimum terms and conditions.
Orders
Orders of the court
Full text does not contain this section.
Background
Background to the litigation
Full text does not contain this section.
Evidence
Evidence Before The Court
Full text does not contain this section.
Decision
Reasons for decision
Full text does not contain this section.
Ratio Decidendi
Legal Principle Established
Full text does not contain this section.