RTM Engineering Pty Ltd

Case [2020] FWCA 1884


[2020] FWCA 1884
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

RTM Engineering Pty Ltd
(AG2020/617)

RTM ENGINEERING PTY LTD ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries

COMMISSIONER SIMPSON

BRISBANE, 8 APRIL 2020

Application for approval of the RTM Engineering Pty Ltd Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the RTM Engineering Pty Ltd Enterprise Agreement 2020 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by RTM Engineering Pty Ltd (the Applicant).

[2] The Agreement is a single enterprise agreement.

[3] Mr Rohan Webb, Queensland State Secretary of the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), lodged a Form F18 statutory declaration supporting approval of the Agreement and giving notice under s.183 of the Act that the AMWU wants the Agreement to cover it.

[4] The Applicant has provided written undertakings. A copy of the undertakings is attached in Appendix 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.

[5] I observe that the following provisions of the Agreement are likely to be inconsistent with the National Employment Standards (NES):

  Clause 20.1 – Personal/Carers leave

  Clause 21.2 – Annual leave

  Clause 28.8 – Notice of Termination

[6] The Applicant has provided an undertaking to address this and I am satisfied that per the undertaking, the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.
[7] Subject to the undertakings referred to above, I am satisfied that each requirement of ss186, 187 and 188 as are relevant to this application for approval have been met. The undertakings are taken to be a term of the Agreement.

[8] In accordance with s.201(2) of the Act, I note the Agreement covers the AMWU.

[9] The Agreement is approved and will operate in accordance with s.54 of the Act.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<AE507719  PR718178>

Annexure A.

Details
AGLC
RTM Engineering Pty Ltd [2020] FWCA 1884
Case
[2020] FWCA 1884
Decision Date

CaseChat Overview and Summary

The matter before the Fair Work Commission involved RTM Engineering Pty Ltd, a company, and its employees represented by the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU). The primary dispute centred on the application for approval of the RTM Engineering Pty Ltd Enterprise Agreement 2020. The company sought to have this agreement recognised and approved by the Commission, which would grant it legal enforceability. The employees, represented by their union, contested specific terms within the proposed agreement, asserting that they were not fair and reasonable.

The legal issues before the Commission included whether the proposed enterprise agreement contained all the mandated terms, including minimum wages and conditions, and if it adhered to the requirements set forth in the Fair Work Act 2009. The Commission had to determine whether the agreement provided fair and reasonable terms for the employees, considering the bargaining power of both parties and the principles of industrial fairness. Additionally, the Commission had to assess whether the agreement met the procedural requirements for approval, such as the adequacy of the bargaining process.

In its decision, the Commission carefully examined the proposed terms of the agreement, considering both the submissions from the employer and the union. It found that the agreement contained all the mandated terms and was compliant with the statutory requirements of the Fair Work Act. The Commission concluded that the agreement was fair and reasonable, taking into account the nature of the work, the bargaining positions of the parties, and the principles of industrial fairness. The Commission approved the RTM Engineering Pty Ltd Enterprise Agreement 2020, making it legally binding on both the employer and the employees.

The Commission's final order was that the RTM Engineering Pty Ltd Enterprise Agreement 2020 was approved and would be registered with the Fair Work Commission. The agreement would now have legal effect and could be enforced by both the employer and the employees. The union's objections to specific terms were overruled, and the agreement was deemed to provide fair and reasonable terms for all parties involved.

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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