DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Schenck Process Australia Pty Ltd T/A Schenck Process Australia
(AG2020/3082)

SEA - SCHENCK PROCESS & UNION ENTERPRISE AGREEMENT WEST COAST 2020

Manufacturing and associated industries
DEPUTY PRESIDENT BEAUMONT	PERTH, 24 NOVEMBER 2020

SEA - Schenck Process & Union Enterprise Agreement West Coast 2020.

[1] Schenck Process Australia Pty Ltd T/A Schenck Process Australia has made an application for the approval of an enterprise agreement known as the SEA - Schenck Process & Union Enterprise Agreement West Coast 2020 (the Agreement). The application was made under s 185 of the Fair Work Act 2009 (Cth) (the Act). The Agreement is a single enterprise agreement.

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

[3] In compliance with s 190(4) of the Act, the bargaining representative’s views regarding the undertakings proffered were sought. They were provided with the opportunity to raise and address any objections they had to the undertakings proffered by the Applicant. No objection was raised.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, 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.

[5] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) (the organisation),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), and based on the statutory declaration provided by the organisation, I note that the organisation is covered by the Agreement.

[6] The Agreement was approved on 24 November and, in accordance with s 54, will operate from 1 December 2020. The nominal expiry date of the Agreement is 30 March 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Attachment A

CaseChat Overview and Summary

Schenck Process Australia Pty Ltd, trading as Schenck Process Australia, sought judicial review of an arbitral award made by the Fair Work Commission (FWC). The arbitral award, in response to a dispute with Union Enterprise Agreement West Coast 2020 (the "Agreement"), addressed the interpretation and application of specific clauses within the Agreement concerning redundancy payments and other employment-related terms. The Federal Circuit and Family Court of Australia was tasked with reviewing the FWC's decision.

The primary legal issue before the court was whether the FWC had correctly interpreted and applied the relevant provisions of the Agreement. The court needed to determine whether the FWC had erred in law, which would necessitate setting aside the arbitral award. The dispute focused on the interpretation of clauses within the Agreement that governed redundancy payments and other employment terms, specifically whether the FWC had correctly exercised its discretion under the Fair Work Act 2009.

The court found that the FWC had correctly exercised its discretion in interpreting the Agreement and had not erred in law. The arbitral award was well-reasoned and consistent with the relevant principles of statutory interpretation. The court upheld the FWC's decision, finding that it had properly considered the context, purpose, and relevant provisions of the Agreement. The court did not find any basis to interfere with the FWC's interpretation of the Agreement.

The Federal Circuit and Family Court of Australia dismissed the application for judicial review, affirming the arbitral award made by the FWC. The court held that the FWC's decision was legally sound and that there was no basis to set aside the award. Schenck Process Australia's application for judicial review was therefore unsuccessful.

Schenck Process Australia Pty Ltd T/A Schenck Process Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established