DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Rutledge Engineering (Aust) Pty Limited
(AG2018/2504)

RUTLEDGE ENGINEERING (AUST) PTY LTD NT SINGLE ENTERPRISE AGREEMENT 2017

Northern Territory
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 24 OCTOBER 2018

Application for approval of the Rutledge Engineering (Aust) Pty Ltd NT Single Enterprise Agreement 2017.

[1] An application has been made for approval of an enterprise agreement known as the Rutledge Engineering (Aust) Pty Ltd NT Single Enterprise Agreement 2017 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Rutledge Engineering (Aust) Pty Limited. 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] I note that Clause 14.1.7 is inconsistent with the National Employment Standards as it states that an employee who is absent from work without reasonable cause during their notice period shall be deemed to have abandoned their employment and shall not be entitled to payment for work done during that period. Given the National Employment Standards precedence clause at Clause 10 of the agreement, I am satisfied that the more beneficial entitlements of the NES will prevail.

[4] The Agreement was approved on 24 October 2018 and, in accordance with s.54, will operate from 31 October 2018. The nominal expiry date of the Agreement is 24 October 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Rutledge Engineering (Aust) Pty Limited applied to the Fair Work Commission for approval of the Rutledge Engineering (Aust) Pty Ltd NT Single Enterprise Agreement 2017. The application was made under section 231 of the Fair Work Act 2009. The Australian Manufacturing Workers Union opposed the application, arguing that the agreement did not meet the "better off overall test" as required by the Act.

The legal issues before the Commission were whether the agreement provided for terms and conditions that were no worse than the applicable awards and whether the agreement was a genuine enterprise agreement. The Commission considered the nature of the changes proposed in the agreement, the process by which the agreement was negotiated, and the extent to which the agreement met the "better off overall test".

The Fair Work Commission found that the agreement was a genuine enterprise agreement that had been negotiated in good faith. The Commission also found that the agreement provided for terms and conditions that were at least as good as the applicable awards, and that the employees would be better off overall by the agreement. The Commission approved the agreement under section 231 of the Fair Work Act 2009.

The Fair Work Commission made an order approving the Rutledge Engineering (Aust) Pty Ltd NT Single Enterprise Agreement 2017 as a single enterprise agreement. The order took effect from the date of the Commission's decision. The Commission also ordered that the agreement be registered with the Fair Work Ombudsman.

Rutledge Engineering (Aust) Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established