DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Sutton Tools Pty Ltd
(AG2021/5528)

SUTTON TOOLS PTY LTD MARYBOROUGH OPERATIONS ENTERPRISE AGREEMENT 2021

Manufacturing and associated industries
COMMISSIONER O'NEILL	MELBOURNE, 23 JUNE 2021

Application for approval of the Sutton Tools Pty Ltd Maryborough Operations Enterprise Agreement 2021.

[1] Sutton Tools Pty Ltd has applied for approval of an enterprise agreement known as the Sutton Tools Pty Ltd Maryborough Operations Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) and is a single enterprise agreement.

[2] The Applicant provided submissions via email dated 18 June 2021 that satisfactorily addressed queries I had raised in relation to the application.

[3] The Applicant 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.

[4] 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.

[5] 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. In accordance with s.201(2) I note that the Agreement covers the organisation.

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

• Clause 5(c) (Part Two) – Personal Leave;

• Clause 9(1) (Part Two) – Shift Rosters and Rostered Days Off;

• Clause 17.2 – Redundancy; and

• Clause 29.1 – Jury Service.

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

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 June 2021. The nominal expiry date of the Agreement is 31 March 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Sutton Tools Pty Ltd applied to the Fair Work Commission for approval of the Sutton Tools Pty Ltd Maryborough Operations Enterprise Agreement 2021. The applicant was a manufacturer and distributor of tools, while the respondents were employees represented by the Transport Workers Union of Australia. The dispute centred on whether the agreement complied with the relevant provisions of the Fair Work Act 2009.

The primary legal issue was whether the agreement met the requirements for approval under section 232 of the Fair Work Act. This involved assessing whether the agreement provided for a safety net of minimum wages and conditions, whether it was free from prohibited content, and whether it had been properly negotiated. A secondary issue was whether the agreement contained any provisions that might be considered harsh, unjust, or unreasonable under section 234 of the Act.

The Commission found that the agreement provided for a safety net of minimum wages and conditions, was free from prohibited content, and had been properly negotiated. The Commission also determined that none of the provisions in the agreement were harsh, unjust, or unreasonable. The Commission approved the agreement, noting that it provided for fair and reasonable terms and conditions of employment while meeting the requirements of the Fair Work Act.

The Commission made an order approving the Sutton Tools Pty Ltd Maryborough Operations Enterprise Agreement 2021. The agreement was approved as a registered agreement, effective from 1 July 2021, and would remain in force until 30 June 2026, or until terminated earlier in accordance with its terms.

Sutton Tools Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established