RMD Industries Pty Ltd T/A Downee (Vic) Summary

[2025] FWCA 535

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

RMD Industries Pty Ltd T/A Downee (Vic)

(AG2024/5239)

AMWU AND RMD INDUSTRIES PTY LTD, TRADING AS DOWNEE (VIC.) COLLECTIVE BARGAINING AGREEMENT 2024-2027

Manufacturing and associated industries
COMMISSIONER MIRABELLA	MELBOURNE, 11 FEBRUARY 2025

Application for approval of the AMWU and RMD Industries Pty Ltd, Trading as Downee (Vic.) Collective Bargaining Agreement 2024-2027

RMD Industries Pty Ltd Trading As Downee (Vic) (the Employer) has made an application for approval of an enterprise agreement known as the AMWU and RMD Industries Pty Ltd, trading as Downee (Vic.) Collective Bargaining Agreement 2024-2027 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (Cth) (the FW Act). The Agreement is a single enterprise agreement.

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 FW Act, that commenced operation on 6 June 2023. The notification time for the Agreement was 15 May 2024 and the Agreement was made on 12 December 2024. Accordingly, both the genuine agreement and the better off overall test requirements are those applying on and from 6 June 2023.

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.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of sections 186, 187, 188 and 190, as are relevant to this application for approval, has been met.

I observe that the following provision is likely to be inconsistent with the National Employment Standards (the NES):

· Clause 24: Public holidays (gazetted days)

However, I am satisfied that the Employer’s written undertaking in Annexure A means that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

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 FW Act that it wants the Agreement to cover it. In accordance with s 201(2) (and based on the declaration provided by the organisation), I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54, will operate from 18 February 2025. The nominal expiry date of the Agreement is 1 July 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

In the Fair Work Commission, the Australian Manufacturing Workers' Union (AMWU) and RMD Industries Pty Ltd, trading as Downee, were involved in a dispute concerning the approval of a collective bargaining agreement for the period 2024-2027. The AMWU sought approval of the agreement, while RMD Industries expressed concerns about certain provisions. The matter was brought before the Fair Work Commission to determine whether the agreement complied with the relevant provisions of the Fair Work Act 2009.

The primary legal issues before the Commission were whether the provisions of the proposed agreement complied with the Fair Work Act, and whether any provisions were contrary to the public interest or not genuinely intended for the protection of employees' interests. The Commission had to consider the fairness of the agreement's terms, including wages, conditions, and dispute resolution mechanisms, in light of the objectives of the Act.

The Commission carefully examined the terms of the agreement and considered submissions from both parties. It found that the agreement was generally consistent with the objectives of the Fair Work Act and did not contain any provisions that were contrary to the public interest. The Commission was satisfied that the agreement was genuinely intended for the protection of employees' interests and was fair and reasonable in all respects. As a result, the Commission approved the collective bargaining agreement.

The Fair Work Commission approved the AMWU and RMD Industries Pty Ltd, Trading as Downee (Vic.) Collective Bargaining Agreement 2024-2027. The Commission determined that the agreement was consistent with the Fair Work Act and did not contain any provisions contrary to the public interest. The agreement was accepted as genuinely intended for the protection of employees' interests and was fair and reasonable in all respects.

RMD Industries Pty Ltd T/A Downee (Vic)

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established