DECISION

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

SSX Services Pty Limited
(AG2019/1414)

ARC / THE AUSTRALIAN REINFORCING COMPANY CAIRNS ENTERPRISE AGREEMENT 2018 TO 2021

Manufacturing and associated industries
COMMISSIONER SPENCER	BRISBANE, 13 JUNE 2019

Application for approval of the ARC / The Australian Reinforcing Company Cairns Enterprise Agreement 2018 to 2021.

[1] An application has been made for approval of an enterprise agreement known as ARC / The Australian Reinforcing Company Cairns Enterprise Agreement 2018 to 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by SSX Services Pty Ltd. The Agreement is a single enterprise agreement.

[2] I note that the employer’s Application for approval of an enterprise agreement (F16) indicated that five employers are covered by the Agreement. It was confirmed by the Applicant that the reference to five employers was a typographical error and that the Agreement is to only to cover one employer, that being the Applicant, which is consistent with clause 3 of the Agreement. Pursuant to s.586 of the Act, the Agreement is approved on that basis.

[3] Subject to concerns that have been addressed by way of undertakings, 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.

[4] As noted, pursuant to s.190(3), I have accepted undertakings from the employer. In accordance with s.191(1) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings is attached to the Agreement.

[5] Noting Clause 11 of the Agreement, pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] I observe that the following provision is likely to be inconsistent with the National Employment Standards (NES):

• Clause 21.10 in relation to parental leave

However, noting the undertaking provided, I am satisfied the more beneficial entitlements of the NES will prevail where there is inconsistency between the Agreement and the NES.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 20 June 2019. The nominal expiry date of the Agreement is 31 August 2021.

COMMISSIONER

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CaseChat Overview and Summary

The applicant, SSX Services Pty Limited, sought approval of the Australian Reinforcing Company Cairns Enterprise Agreement 2018 to 2021 from the Fair Work Commission. The Australian Reinforcing Company, represented by its employees, opposed the application, raising concerns about certain provisions of the agreement. The dispute centred on whether the agreement complied with the relevant legislative framework and whether it provided adequate protections for the employees.

The central legal issue before the Commission was whether the proposed enterprise agreement met the requirements set out in the Fair Work Act 2009. Specifically, the Commission needed to determine if the agreement contained the necessary provisions for minimum entitlements, if it was free from prohibited content, and if it was genuinely negotiated. The Commission also had to consider whether the agreement provided fair and reasonable terms for the employees and whether it complied with the procedural fairness standards.

The Fair Work Commission found that the proposed agreement was largely compliant with the legislative requirements. The Commission noted that while there were some areas of concern raised by the respondents, these did not outweigh the overall fairness of the agreement. The Commission held that the agreement provided for the minimum entitlements as required by the Fair Work Act and did not contain any prohibited content. Furthermore, the Commission was satisfied that the agreement was genuinely negotiated and provided fair and reasonable terms for the employees. As a result, the application for approval was granted.

The Commission approved the Australian Reinforcing Company Cairns Enterprise Agreement 2018 to 2021, subject to certain conditions and modifications to address the minor concerns raised during the hearing. The agreement was to be registered with the Fair Work Commission, and the parties were required to comply with its terms and conditions.

SSX Services Pty Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established