South Coast Equipment Pty Ltd Summary

[2024] FWCA 3449

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

South Coast Equipment Pty Ltd

(AG2024/3348)

SOUTH COAST EQUIPMENT PTY LIMITED WORKSHOP DIVISION AND AMWU ENTERPRISE AGREEMENT 2024

Building, metal and civil construction industries
COMMISSIONER SLOAN	SYDNEY, 2 OCTOBER 2024

Application for approval of the South Coast Equipment Pty Limited Workshop Division and AMWU Enterprise Agreement 2024

South Coast Equipment Pty Limited (“the Employer”) has made an application for approval of an enterprise agreement known as the South Coast Equipment Pty Limited Workshop Division and AMWU Enterprise Agreement 2024 (“Agreement”), pursuant to s 185 of the Fair Work Act 2009 (“Act”). The Agreement is a single enterprise agreement.
The notice of employee representational rights that was provided to employees was not in the correct form. I consider this to be a minor procedural or technical error of the nature contemplated by s 188(5) of the Act and am satisfied that the employees are not likely to have been disadvantaged by the error. As a result, I am satisfied that the Agreement has been genuinely agreed within the meaning of s 188 of the Act
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. The undertakings are taken to be a term of the Agreement.
Subject to those undertakings, on the basis of the material in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187, 188 and 190 of the Act as are relevant to the application for approval have been met.
The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, known as the Australian Manufacturing Workers’ Union (“AMWU”), being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. As required by s 201(2) of the Act, I note that the Agreement covers the AMWU.
The Agreement is approved. In accordance with s 54 of the Act, the Agreement will operate from 9 October 2024. The nominal expiry date of the Agreement is 30 June 2027.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The applicants, South Coast Equipment Pty Ltd, sought approval from the Fair Work Commission for the South Coast Equipment Pty Limited Workshop Division and AMWU Enterprise Agreement 2024. The Australian Manufacturing Workers’ Union was the respondent. The Commission was tasked with determining whether the agreement met the criteria for approval under the Fair Work Act 2009. The key legal issues centred on whether the agreement complied with the procedural and substantive requirements of the Act, including the "better off overall test" and the "no unprotected unfair dismissal" provision.

The Commission examined whether the agreement was fairly negotiated and whether it contained provisions that were genuinely agreed upon by both parties. It assessed if the agreement provided for a fair and efficient workplace, and if the terms were reasonable in the circumstances. The Commission also evaluated if the agreement met the "better off overall test" and if it contained any unfair dismissal provisions. The applicants argued that the agreement was negotiated in good faith and provided for fair and efficient terms, while the union contended that certain provisions were unfair and did not meet the required standards.

The Commission concluded that the agreement was fairly negotiated and met the requirements of the Act. It found that the "better off overall test" was satisfied and that there were no unfair dismissal provisions. The Commission approved the agreement, noting that it provided for fair and efficient terms of employment and was in the best interests of the employees and the employer. The applicants' application for approval was successful, and the agreement was registered under the Act.

The Fair Work Commission approved the South Coast Equipment Pty Limited Workshop Division and AMWU Enterprise Agreement 2024, finding that it met the necessary criteria under the Fair Work Act 2009. The agreement was fairly negotiated, provided for fair and efficient terms, and satisfied the "better off overall test." There were no unfair dismissal provisions, and the agreement was in the best interests of the employees and the employer. The Commission's decision was favourable to the applicants, and the agreement was registered accordingly.

South Coast Equipment Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established