DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Sutton Tools Pty Ltd
(AG2018/3528)

SUTTON TOOLS PTY LTD AND NATIONAL UNION OF WORKERS (WAREHOUSE) AGREEMENT 2018

Storage services
DEPUTY PRESIDENT MASSON	MELBOURNE, 7 DECEMBER 2018

Application for approval of the Sutton Tools Pty Ltd and National Union of Workers (Warehouse) Agreement 2018.

[1] An application has been made for approval of an enterprise agreement known as the Sutton Tools Pty Ltd and National Union of Workers (Warehouse) Agreement 2018 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Sutton Tools Pty Ltd. The Agreement is a single enterprise agreement.

[2] 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.

[3] 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.

[4] The National Union of Workers 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.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 14 December 2018. The nominal expiry date of the Agreement is 30 June 2021.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Sutton Tools Pty Ltd, an employer, and the National Union of Workers (Warehouse), a trade union, applied to the Fair Work Commission for approval of their enterprise agreement, known as the Sutton Tools Pty Ltd and National Union of Workers (Warehouse) Agreement 2018. The application for approval was contested by the Australian Building and Construction Commission, an industry regulator. The dispute centred on whether the proposed agreement contained provisions that contravened the Fair Work Act 2009, particularly those relating to industrial action and enterprise flexibility.

The legal issues before the Commission were whether certain clauses in the agreement permitted or facilitated unprotected industrial action, and whether these provisions contravened the legislative framework designed to maintain industrial harmony and flexibility. The Commission examined the nature and scope of the proposed industrial action, the conditions under which it could be undertaken, and whether these conditions complied with the statutory requirements for protected industrial action. Additionally, the Commission considered whether the agreement met the statutory criteria for enterprise flexibility, including the need to ensure the agreement did not unnecessarily restrict the ability of the parties to manage their business.

After a thorough examination of the agreement and the submissions made by the parties, the Fair Work Commission determined that the Sutton Tools Pty Ltd and National Union of Workers (Warehouse) Agreement 2018 did not contain provisions that would facilitate unprotected industrial action. The Commission found that the clauses in question were consistent with the statutory requirements for protected industrial action and did not unnecessarily restrict the ability of the parties to manage their business. Consequently, the Commission approved the agreement, finding it met the necessary legislative criteria for enterprise flexibility and did not contravene the Fair Work Act 2009.

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