Swanson Industries (Engineering)

[2021] FWCA 6249

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Swanson Industries (Engineering)
(AG2021/7613)

SWANSON INDUSTRIES ENTERPRISE AGREEMENT 2021

Manufacturing and associated industries
COMMISSIONER YILMAZ	MELBOURNE, 12 OCTOBER 2021

Application for approval of the Swanson Industries Enterprise Agreement 2021

[1] An application has been made for approval of an enterprise agreement known as the Swanson Industries Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Swanson Industries (Engineering). The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The being “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.

[4] The Agreement is approved and in accordance with s.54, will operate from 19 October 2021. The nominal expiry date of the Agreement is 30 June 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Swanson Industries, an engineering firm, sought approval of an enterprise agreement proposed for its employees under the Fair Work Act 2009. The application was brought before the Fair Work Commission, where the parties debated the fairness and compliance of the agreement's terms with the statutory requirements. The legal issues that arose from this application involved whether the agreement met the standards of genuine agreement, fairness, and whether it complied with the various provisions of the Act, including those concerning minimum entitlements and the avoidance of discrimination.

The Fair Work Commission examined the process through which the agreement was negotiated, ensuring it was genuinely agreed upon by both parties. The Commission considered whether the agreement provided fair terms and conditions, including whether it met the ‘better off overall test’ and if it complied with minimum wage rates and other entitlements. The Commission also assessed whether the agreement was free from any discriminatory provisions and whether it met the requirements for direct communication and consultation with employees. The court found that the agreement was fairly negotiated and met the requirements for approval under the Act.

The Fair Work Commission approved the Swanson Industries Enterprise Agreement 2021, finding it to be a genuine agreement that provided fair terms and conditions for employees. The Commission held that the agreement met the better-off-overall test, complied with minimum wage rates, and did not include any discriminatory provisions. The court also found that the process of negotiation and communication with employees was appropriate and in line with the Act. This approval ensures that the terms of the agreement will be binding on all parties involved.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established