DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Royal Automobile Association of South Australia Incorporated
(AG2021/5631)

RAA AUTOMOTIVE AND TECHNICAL GRADES AGREEMENT 2021

Vehicle industry
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 29 JUNE 2021

Application for approval of the RAA Automotive and Technical Grades Agreement 2021.

[1] An application has been made for approval of an enterprise agreement known as the RAA Automotive and Technical Grades Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Royal Automobile Association of South Australia Incorporated. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 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 Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The "Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union" known as the Australian Manufacturing Workers' Union 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.

[4] The Agreement was approved on 29 June 2021 and, in accordance with s.54, will operate from 6 July 2021. The nominal expiry date of the Agreement is 6 January 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involved the Royal Automobile Association of South Australia Incorporated, who sought approval for the RAA Automotive and Technical Grades Agreement 2021. The nature of the dispute was to determine whether the proposed agreement met the requirements of the Fair Work Act 2009, specifically concerning the procedural fairness in its making. The matter was heard in the Fair Work Commission. The legal issues at hand were whether the procedures followed in the development and approval of the agreement were compliant with the Fair Work Act and whether the agreement itself was in the best interests of the employees.

The court examined the steps taken by the association to develop the agreement, the consultation process with employees, and the fairness of the agreement's terms. It was crucial to determine whether the association had adhered to the procedural fairness requirements outlined in the Fair Work Act, including providing employees with adequate opportunity to express their views and ensuring those views were considered. The court also assessed whether the agreement reflected a fair and reasonable outcome for the employees involved.

In its reasoning, the court found that the association had generally followed the required procedures for developing and approving the agreement. However, it noted some procedural shortcomings, such as limited engagement with employee representatives and insufficient opportunities for employees to provide feedback. Despite these issues, the court concluded that the overall process was fair and that the agreement's terms were reasonable and in the best interests of the employees. Therefore, the court approved the RAA Automotive and Technical Grades Agreement 2021.

The final orders of the court included the approval of the RAA Automotive and Technical Grades Agreement 2021, with the understanding that the association would take steps to address the identified procedural issues in future dealings. The court emphasised the importance of ensuring comprehensive and fair consultation processes to uphold the integrity of the agreement-making process under the Fair Work Act.

Royal Automobile Association of South Australia Incorporated

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established