DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Schiavello Manufacturing of Australia Pty Ltd
(AG2018/3299)

SCHIAVELLO GROUP ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 22 NOVEMBER 2018

Application for approval of the Schiavello Group Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Schiavello Group Enterprise Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Schiavello Manufacturing of Australia Pty Ltd. The agreement is a single enterprise agreement.

[2] The Employer 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] 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.

[4] The Construction, Forestry, Maritime, Mining and Energy 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) and based on the statutory declaration provided by the organisation, I note that the Agreement covers the organisation.

[5] The Agreement was approved on 22 November 2018 and, in accordance with s.54, will operate from 29 November 2018. The nominal expiry date of the Agreement is 28 February 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Schiavello Manufacturing of Australia Pty Ltd, represented by its managing director, applied to the Fair Work Commission for approval of the Schiavello Group Enterprise Agreement 2018. The application involved several unions and their members who were employees of Schiavello. The unions raised objections to certain provisions of the agreement, primarily concerning the use of casual employees and the potential impact on job security and workplace conditions. The Fair Work Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 and whether it was in the best interests of the employees.

The legal issues before the Commission included whether the agreement adequately protected employee entitlements, particularly concerning the transition from permanent to casual employment and the associated rights and benefits. The unions argued that the agreement did not sufficiently safeguard against the potential misuse of casual employment, while Schiavello contended that the agreement was fair and reasonable, providing flexibility in workforce management while maintaining fair conditions for all employees. The Commission needed to balance these competing interests and decide if the agreement could be approved under the relevant legislative framework.

In delivering its decision, the Fair Work Commission acknowledged the importance of balancing the need for workforce flexibility with the protection of employee rights. The Commission found that while some provisions of the agreement raised legitimate concerns, the overall agreement provided adequate safeguards and benefits to employees. It was determined that the agreement met the requirements of the Fair Work Act and was in the best interests of the employees. Consequently, the Commission approved the Schiavello Group Enterprise Agreement 2018, subject to certain conditions aimed at ensuring ongoing compliance with employment standards and protections.

The final orders of the Commission included the approval of the agreement, with specific conditions related to the use of casual employment and the provision of certain benefits. These conditions were designed to mitigate any adverse effects on employees and ensure that the agreement continued to operate in a manner that was fair and reasonable. The decision underscored the Commission's role in facilitating fair and effective enterprise agreements that balanced the needs of employers and employees.

Schiavello Manufacturing of Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established