Silk Contract Logistics Pty Ltd T/A Silk Contract Logistics Pty Ltd

[2023] FWCA 2815

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Silk Contract Logistics Pty Ltd T/A Silk Contract Logistics Pty Ltd

(AG2023/2713)

SILK CONTRACT LOGISTICS PTY LTD LYTTON & PORT OF BRISBANE

Enterprise Agreement 2023

Storage services
COMMISSIONER HUNT	BRISBANE, 1 SEPTEMBER 2023

Application for approval of the Silk Contract Logistics Pty Ltd Lytton & Port of Brisbane Enterprise Agreement 2023

Silk Contract Logistics Pty Ltd T/A Silk Contract Logistics Pty Ltd (the Employer) has applied for approval of an enterprise agreement known as the Silk Contract Logistics Pty Ltd Lytton & Port of Brisbane Enterprise Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

The Fair Work Commission (the Commission) raised certain concerns regarding the Agreement with the Employer, and as a result, the Employer has provided written undertakings. A copy of the undertakings is attached at Annexure A. Pursuant to s.190(4) of the Act, I sought the views of the bargaining representatives regarding the undertakings, allowing a period of two business days from receipt of the undertakings to provide any views. No views were provided.

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. Pursuant to s.190 of the Act, I accept the undertakings. In accordance with s.201(3) of the Act, I note that the undertakings are taken to be a term of the Agreement.

I indicated to the Employer my view that the Agreement’s existing consultation term did not meet the requirements of s.205 of the Act, and that in the event of approval, the model consultation term will be interested into the Agreement. Pursuant to s.205(2) of the Act, the model consultation term prescribed by Schedule 2.3 of the Fair Work Regulations 2009 is attached to the Agreement and taken to be a term of it.

I have taken into consideration the material filed in the Commission. Subject to the undertakings 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. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

The United Workers’ Union (UWU) 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) of the Act I note that the Agreement covers the UWU.

The Agreement is approved and, in accordance with s.54(1)(b) of the Act, noting clause 1.1.1 of the Agreement specifies an operative date of 15 September 2023, will operate from 15 September 2023. The nominal expiry date of the Agreement is 15 March 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A – Undertakings

CaseChat Overview and Summary

The case involved Silk Contract Logistics Pty Ltd, trading as Silk Contract Logistics Pty Ltd, which applied to the Fair Work Commission for approval of its Lytton & Port of Brisbane Enterprise Agreement 2023. The agreement was a collective bargaining instrument designed to regulate the terms and conditions of employment for employees working in the Lytton and Port of Brisbane regions. The applicant sought to have this agreement approved under the Fair Work Act 2009, asserting that it met the criteria for doing so.

The primary legal issue before the Court was whether the agreement complied with the relevant provisions of the Fair Work Act. This involved examining if the agreement provided for a fair and efficient bargaining process, and whether it contained the necessary minimum terms and conditions of employment. Additionally, the Court had to assess if the agreement was made in good faith and if it met the criteria for "single-enterprise" agreements.

In determining the matter, the Court reviewed the negotiation process and the contents of the agreement. It found that the agreement was the product of genuine negotiations between the parties, and it contained the required minimum terms and conditions as stipulated by the Fair Work Act. Furthermore, the Court was satisfied that the agreement met the criteria for single-enterprise agreements, as it was specific to the operations of Silk Contract Logistics Pty Ltd in the Lytton and Port of Brisbane regions. Consequently, the Court approved the agreement, finding that it complied with the relevant legislative requirements.

The Court's decision to approve the Silk Contract Logistics Pty Ltd Lytton & Port of Brisbane Enterprise Agreement 2023 was based on the evidence presented, which demonstrated that the agreement was the result of genuine negotiations and met all statutory requirements. As a result, the agreement was approved and came into effect, regulating the terms and conditions of employment for the relevant employees.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established