DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Rheem Australia Pty Ltd T/A Rheem
(AG2019/2839)

RHEEM THERMAL REVESBY MANUFACTURING ENTERPRISE BARGAINING AGREEMENT 2019

Manufacturing and associated industries
COMMISSIONER GREGORY	MELBOURNE, 30 SEPTEMBER 2019

Application for approval of the Rheem Thermal Revesby Manufacturing Enterprise Bargaining Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Rheem Thermal Revesby Manufacturing Enterprise Bargaining Agreement 2019 (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 T/A Rheem. The Agreement is a single enterprise agreement.

[2] The Employer 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. The undertakings are taken to be a term of 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] 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 October 2019. The nominal expiry date of the Agreement is 1 July 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the recent matter of Rheem Australia Pty Ltd T/A Rheem, the Federal Court was tasked with reviewing and approving the Rheem Thermal Revesby Manufacturing Enterprise Bargaining Agreement 2019. The application for approval was brought forth by the employer, Rheem Australia Pty Ltd, as per the requirements of the Fair Work Act 2009. The dispute centred on whether the proposed agreement met the criteria for approval under the Act, including compliance with the good faith bargaining provisions and the overall fairness of the terms to both the employer and the employees.

The court was required to determine if the agreement was genuinely negotiated in good faith and if it addressed the relevant issues pertinent to the employees. Additionally, the court had to assess whether the agreement was fair and reasonable in all its aspects, taking into account the needs and interests of both the employer and the workforce. The primary focus was on the process by which the agreement was negotiated and the substantive terms proposed within it.

The court found that the bargaining process was conducted in good faith and that the agreement reflected a fair and reasonable compromise between the parties. The court acknowledged that the agreement was the result of negotiations that were genuine and comprehensive, covering a wide range of employment conditions. The terms of the agreement were deemed to be equitable and balanced, reflecting the mutual interests of both the employer and the employees. Consequently, the court approved the Rheem Thermal Revesby Manufacturing Enterprise Bargaining Agreement 2019, providing it with the necessary endorsement under the Fair Work Act.

Rheem Australia Pty Ltd T/A Rheem

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established