Ritchie Bros. Auctioneers Pty Ltd T/A Ritchie Bros Auctioneers

Case [2024] FWCA 418


[2024] FWCA 418

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Ritchie Bros. Auctioneers Pty Ltd T/A Ritchie Bros Auctioneers

(AG2023/5298)

RITCHIE BROS. AUCTIONEERS ENTERPRISE AGREEMENT 2023

Vehicle industry

COMMISSIONER WILSON

MELBOURNE, 31 JANUARY 2024

Application for approval of the Ritchie Bros. Auctioneers Enterprise Agreement 2023

  1. An application has been made for approval of an enterprise agreement known as the Ritchie Bros. Auctioneers 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 Ritchie Bros. Auctioneers Pty Ltd. The Agreement is a single enterprise agreement.

  1. The notification time for the Agreement under s.173(2) was 16 October 2023 and the Agreement was made on 5 December 2023. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.[1]

  1. 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.

  1. Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188, 193 and 193A 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 sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

  1. 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.

  1. The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 February 2024. The nominal expiry date of the Agreement is 31 January 2028.

COMMISSIONER

Annexure A


[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements which are not applicable to the present application.

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Details
AGLC
Ritchie Bros. Auctioneers Pty Ltd T/A Ritchie Bros Auctioneers [2024] FWCA 418
Case
[2024] FWCA 418
Decision Date

CaseChat Overview and Summary

The applicants, Ritchie Bros. Auctioneers, sought approval of the Ritchie Bros. Auctioneers Enterprise Agreement 2023 from the Fair Work Commission. The agreement, negotiated with the respondents, aimed to establish terms and conditions for employees working in the auction industry. The dispute centred around the fairness and compliance of the agreement with the Fair Work Act 2009.

The primary legal issues before the court were whether the agreement met the requirements for approval under the Fair Work Act, specifically whether it was in the best interests of the employees and whether it complied with the good faith bargaining provisions. Additionally, the court had to assess if the agreement addressed key employment matters such as wages, working hours, and other conditions of employment in a manner that was fair and reasonable.

In its decision, the Fair Work Commission considered the evidence presented by both parties and evaluated the agreement against statutory criteria. The Commission found that the agreement was made in good faith and was fair and reasonable in terms of its provisions, particularly regarding wage increases and other employment conditions. The Commission was satisfied that the agreement was in the best interests of the employees, as it provided for fair compensation and conditions that were competitive within the industry. Consequently, the Commission approved the agreement, finding it to comply with the relevant legislative requirements.

The Fair Work Commission granted the application for approval of the Ritchie Bros. Auctioneers Enterprise Agreement 2023. The approved agreement is to be registered with the Fair Work Commission and will govern the employment terms and conditions of the employees covered by the agreement.

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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