Smith Employment Pty. Ltd. Summary

[2014] FWCA 5057

FAIR WORK COMMISSION

DECISION

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

Smith Employment Pty. Ltd.
(AG2014/6850)

SMITH EMPLOYMENT PTY. LTD. & NATIONAL UNION OF WORKERS ENTERPRISE AGREEMENT 2014

Storage services
COMMISSIONER ROE	MELBOURNE, 25 JULY 2014

Application for approval of the Smith Employment Pty. Ltd. & National Union of Workers Enterprise Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as theSmith Employment Pty. Ltd. & National Union of Workers Enterprise Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Smith Employment Pty. Ltd. (the Applicant). 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 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] The National Union of Workers 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 organisation.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 1 August 2014. The nominal expiry date of the Agreement is 30 June 2015.

COMMISSIONER

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CaseChat Overview and Summary

In the matter of the Smith Employment Pty. Ltd. and the National Union of Workers, the applicant sought approval of an Enterprise Agreement (EA) from the Fair Work Commission (FWC). The EA, which was to apply to employees working for Smith Employment, was submitted by the union on behalf of its members. The Commission was tasked with determining whether the EA met the requisite standards for approval under the Fair Work Act 2009.

The central legal issues before the Commission were whether the EA complied with the procedural requirements of the Fair Work Act and whether the terms of the agreement were procedurally and substantively fair. Procedurally, the Commission had to assess if the union had genuinely bargained with the employer and if the agreement was negotiated in good faith. Substantively, the terms of the EA had to be considered in light of the objectives of the Fair Work Act, including ensuring fairness for all parties and promoting high standards of employment conditions.

The Commission found that the union had genuinely bargained with the employer and that the EA was negotiated in good faith. The Commission examined the terms of the EA and determined that they were procedurally and substantively fair. The EA provided for a range of employment conditions, including wages, hours of work, and leave entitlements, which were consistent with the objectives of the Fair Work Act. The Commission approved the EA, noting that it provided for a fair and reasonable outcome for both the employer and the employees.

The Commission approved the Smith Employment Pty. Ltd. & National Union of Workers Enterprise Agreement 2014, subject to certain modifications to ensure compliance with the Fair Work Act. The modifications related to the calculation of penalty rates and the provision of paid parental leave. The Commission determined that these modifications were necessary to ensure that the EA met the statutory requirements for approval.

Smith Employment Pty. Ltd.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established