DECISION

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

Sikorsky Aircraft Australia Limited T/A Sikorsky Australia
(AG2018/7202)

SIKORSKY AIRCRAFT AUSTRALIA LIMITED ENTERPRISE AGREEMENT 2018

Manufacturing and associated industries
COMMISSIONER RIORDAN	SYDNEY, 15 MAY 2019

Application for approval of the Sikorsky Aircraft Australia Limited Enterprise Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Sikorsky Aircraft Australia Limited 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 Sikorsky Aircraft Australia Limited. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act relevant to this application for approval have been met.

[3] The “Automotive, Food, Metals, Engineering, printing & Kindred Industries Union” known as the Australian Manufacturing Workers Union (AMWU) have given notice under s.183 of the Act that they wish to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers the organisation.

[4] The Fair Work Commission (FWC) received correspondence dated 23 April 2019, which included further material in support of the application together with Undertakings made by and duly signed by the General Manager, proposed to FWC pursuant to s.190 of the Act (the Undertakings). A copy of the undertakings is attached in Annexure A.

[5] I am prepared to accept the Undertakings. As provided by s.191 of the Act, the Undertakings are taken to be terms of the Agreement. I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 May 2019. The nominal expiry date of the Agreement is 31 December 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Sikorsky Aircraft Australia Limited, trading as Sikorsky Australia, sought approval of the Sikorsky Aircraft Australia Limited Enterprise Agreement 2018 from the Fair Work Commission. The dispute involved the terms and conditions of employment for Sikorsky Australia's employees. The Commission was required to determine whether the agreement met the necessary criteria for approval under the Fair Work Act 2009.

The central legal issue was whether the agreement complied with the requirements for enterprise agreements under the Fair Work Act, particularly whether it was in the best interests of the employees it covered and whether it had been fairly negotiated. The agreement included provisions on wages, conditions, dispute resolution, and other employment terms. Sikorsky Australia argued that the agreement was in the best interests of the employees and had been fairly negotiated, while the union representing some of the employees argued against these claims.

The Fair Work Commission examined the evidence presented by both parties and considered the criteria for approval under the Fair Work Act. The Commission found that the agreement had been fairly negotiated and was in the best interests of the employees, as it provided for fair and reasonable terms and conditions of employment. The Commission took into account the bargaining power of the parties, the process of negotiation, and the terms of the agreement itself. The evidence showed that the agreement had been negotiated in good faith, with both parties having the opportunity to contribute to the terms and to reach a mutually acceptable outcome.

The Fair Work Commission approved the Sikorsky Aircraft Australia Limited Enterprise Agreement 2018, finding that it met the criteria for approval under the Fair Work Act. The Commission made orders to this effect, confirming the agreement as a registered enterprise agreement. The decision is a reminder of the importance of fair negotiation processes and the need for agreements to be in the best interests of the employees they cover.

Sikorsky Aircraft Australia Limited T/A Sikorsky Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established