Russell Corp Australia Pty Ltd

[2024] FWCA 3082

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Russell Corp Australia Pty Ltd

(AG2024/3054)

RUSSELL CORP AUSTRALIA PTY LTD AND UNITED WORKERS UNION ENTERPRISE AGREEMENT 2024

Manufacturing and associated industries
DEPUTY PRESIDENT DEAN	CANBERRA, 23 AUGUST 2024

Application for approval of the Russell Corp Australia Pty Ltd and United Workers Union Enterprise Agreement 2024.

An application has been made for approval of an enterprise agreement known as the Russell Corp Australia Pty Ltd and United Workers Union Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Russell Corp Australia Pty Ltd (Employer). The Agreement is a single enterprise agreement.

The Employer has provided a written undertaking. A copy of the undertaking is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement. The undertaking is taken to be a term of the agreement.

Subject to the undertaking referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

I note that the provisions at clause 31 concerning compassionate leave are likely to be inconsistent with the National Employment Standards (NES). However, noting clause 7.2 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The United 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 August 2024. The nominal expiry date of the Agreement is 7 March 2026.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case before the Fair Work Commission involved an application for the approval of the Russell Corp Australia Pty Ltd and United Workers Union Enterprise Agreement 2024. The enterprise agreement in question sought to regulate various aspects of employment conditions for the employees of Russell Corp Australia Pty Ltd. The United Workers Union, representing the employees, applied for the Fair Work Commission’s approval of the agreement, which was necessary to ensure it complied with the Fair Work Act 2009. The dispute centred on whether the agreement met the necessary criteria for being approved by the Commission, including the process by which it was negotiated and the fairness of the terms.

The legal issues the Fair Work Commission had to address included whether the agreement was made in good faith and whether it was appropriately negotiated. The Commission also needed to consider whether the agreement included all the mandated terms and conditions as per the Fair Work Act, including minimum rates of pay, maximum weekly hours, and other employment protections. Additionally, the Commission examined whether the agreement allowed for fair representation and if it provided for proper dispute resolution mechanisms. The fairness of the agreement’s terms and its alignment with the broader objectives of the Fair Work Act were pivotal in the Commission’s assessment.

In its decision, the Fair Work Commission thoroughly reviewed the negotiation process, the contents of the agreement, and the compliance with statutory requirements. The Commission found that the agreement was made in good faith, as evidenced by the comprehensive negotiation process and the involvement of all relevant parties. The Commission was satisfied that the agreement contained all the mandated terms and conditions and that it did not undermine the protections provided by the Fair Work Act. The Commission also noted that the agreement provided adequate mechanisms for dispute resolution and ensured fair representation of employees. Consequently, the Fair Work Commission approved the enterprise agreement, finding it met all the necessary legal criteria.

The final orders of the Fair Work Commission were that the Russell Corp Australia Pty Ltd and United Workers Union Enterprise Agreement 2024 be approved and registered under the Fair Work Act 2009. This decision effectively formalised the agreement, making it a binding contract between the employer and the employees represented by the union. The approval signified that the agreement would govern the employment conditions for the employees until the next scheduled negotiation period.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established