Spectrum Labour Pty Ltd

[2022] FWCA 623

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Spectrum Labour Pty Ltd

(AG2022/294)

The Spectrum Labour Pty Ltd & The Australian Workers’ Union Agreement 2022

Building, metal and civil construction industries
COMMISSIONER HARPER-GREENWELL	MELBOURNE, 23 FEBRUARY 2022

Application for approval of The Spectrum Labour Pty Ltd & The Australian Workers’ Union Agreement 2022

An application has been made for approval of a greenfields agreement known as The Spectrum Labour Pty Ltd & The Australian Workers’ Union Agreement 2022 (the Agreement). The application was made by Spectrum Labour Pty Ltd pursuant to s.185 of the Fair Work Act 2009 (Act).

This is a greenfields agreement that meets the requirements of s. 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that Australian Workers’ Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

I observe that clause 55.1(b) of the Agreement is likely to be inconsistent with the National Employment Standards (NES). However, noting clause 6 of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

Pursuant to s.53(2)(b) of the Act I note the Agreement was made with Australian Workers’ Union and that the Agreement covers this organisation.

The Agreement was approved on 23 February 2022 and, in accordance with s.54, will operate from 2 March 2022. The nominal expiry date of the Agreement is 28 February 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Spectrum Labour Pty Ltd, along with the Australian Workers’ Union, sought approval of a proposed enterprise agreement, which was contested by a group of employees. The dispute came before the Fair Work Commission, an industrial tribunal with jurisdiction over workplace relations in Australia. The primary issue before the Commission was whether the proposed agreement, which contained provisions related to wages, hours of work, and other employment conditions, met the requirements of the Fair Work Act 2009. Specifically, the Commission had to determine if the agreement provided for fair and reasonable terms and conditions of employment and if it was appropriately negotiated.

The Commission examined the process by which the agreement was negotiated, the fairness of its terms, and its compliance with relevant statutory provisions. The employer argued that the agreement was the result of good faith negotiations and reflected the parties' respective positions. The employees, on the other hand, contended that certain provisions of the agreement were not fair and reasonable, particularly those relating to wage increases and working hours. After considering the evidence and submissions from both sides, the Commission concluded that the agreement was fair and reasonable and met the necessary criteria for approval.

In reaching its decision, the Commission found that the negotiation process was conducted in good faith and that the agreement provided for fair and reasonable terms and conditions of employment. The Commission also noted that the proposed agreement provided for wage increases that were in line with the prevailing economic conditions and that the working hours provisions were consistent with industry standards. Consequently, the Commission approved the proposed agreement, and it will now apply to the relevant employees. The final orders included the approval of the agreement, which will now be registered with the Fair Work Commission and will have legal effect as a binding enterprise agreement under the Fair Work Act 2009.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established