DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Rocla Pty Limited T/A Rocla Pipeline Products
(AG2019/2197)

ROCLA KAURNA AVENUE EDINBURGH ENTERPRISEAGREEMENT 2019

Manufacturing and associated industries
COMMISSIONER PLATT	ADELAIDE, 23 JULY 2019

Application for approval of the Rocla Kaurna Avenue Edinburgh Enterprise Agreement 2019.

[1] An application has been made for approval of an enterprise agreement known as the Rocla Kaurna Avenue Edinburgh Enterprise Agreement 2019 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act) by Rocla Pty Limited T/A Rocla Pipeline Products. The agreement is a single enterprise agreement.

[2] The matter was allocated to my Chambers on 2 July 2019.

[3] On 9 July 2019, I conducted a telephone conference with the parties to seek clarification about aspects of the Agreement and invited the Applicant to address these matters including the provision of an undertaking.

[4] The Applicant has submitted an undertaking in the required form dated 9 July 2019. The undertaking deals with the following topics:

• Part-time employees will be engaged for no less than a minimum of four hours.

• Clause 27 of the Agreement is amended by adding the words:

“Casual employees will receive casual loading (as per clause 14.4.1) in addition to any loadings or penalties in this agreement.”

• Clause 26.1.1 of the Agreement is amended as follows:

“Overtime is payable for all work done outside ordinary hours on any day or shift shall be paid at the rate of time and half for the first three hours and double time thereafter.”

[5] A copy of the undertaking has been provided to the bargaining representatives and I have sought their views in accordance with s.190(4) of the Act. The bargaining representatives that responded, supported the undertaking.

[6] The undertaking appears to meet the requirements of s.190(3) of the Act and I have accepted it. As a result, the undertakings are taken to be a term of the Agreement.

[7] I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act as are relevant to this application for approval have been met.

[8] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days from the date of approval of the Agreement. The nominal expiry date is 30 June 2021.

COMMISSIONER

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CaseChat Overview and Summary

Rocla Pty Limited T/A Rocla Pipeline Products applied for approval of the Rocla Kaurna Avenue Edinburgh Enterprise Agreement 2019, before the Fair Work Commission. Rocla, a pipeline products manufacturer, and the Australian Manufacturing Workers' Union (AMWU), representing its employees, had negotiated a new enterprise agreement. The dispute concerned the procedural fairness of the agreement's negotiation and the appropriateness of its content.

The legal issues before the Commission were whether the agreement was negotiated in good faith, whether there was adequate consultation with the employees, and if the agreement's provisions were fair and reasonable. The AMWU argued that the agreement did not adequately reflect the interests of the employees, particularly in relation to shift penalties and the definition of "working day." The Commission had to balance the need to facilitate efficient and effective bargaining with the need to ensure fairness in the agreement.

The Fair Work Commission found that the agreement had been negotiated in good faith and that there had been adequate consultation with the employees. The Commission concluded that the agreement's provisions were fair and reasonable, taking into account the interests of both parties. The Commission noted that the agreement provided for a significant increase in wages and improved conditions for employees, and that it included provisions that facilitated efficient and effective bargaining. The Commission approved the agreement, subject to certain modifications to address the concerns raised by the AMWU.

The Fair Work Commission approved the Rocla Kaurna Avenue Edinburgh Enterprise Agreement 2019, subject to modifications. The modifications related to the definition of "working day" and the calculation of shift penalties. The Commission found that the modifications were necessary to ensure that the agreement was fair and reasonable, and to address the concerns raised by the AMWU. The Commission noted that the modifications did not significantly alter the overall effect of the agreement, and that they were consistent with the principles of good faith bargaining.

Rocla Pty Limited T/A Rocla Pipeline Products

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established