DECISION

Fair Work Act 2009
s.185—Enterprise agreement

TAD Pty Ltd T/A Tad Industrial Pty Ltd
(AG2016/6298)

TAD PTY LTD AND AWU - ARC MECHANICAL MAINTENANCE ENTERPRISE AGREEMENT 2016

Manufacturing and associated industries
COMMISSIONER ROE	MELBOURNE, 24 NOVEMBER 2016

Application for approval of the TAD Pty Ltd and AWU - ARC Mechanical Maintenance Enterprise Agreement 2016.

[1] An application has been made for approval of an enterprise agreement known as the TAD Pty Ltd and AWU - ARC Mechanical Maintenance Enterprise Agreement 2016 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by TAD Pty Ltd T/A Tad Industrial Pty Ltd. The Agreement is a single enterprise agreement.

[2] 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.

[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. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] The Australian Workers’ Union 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 was approved on 24 November 2016 and, in accordance with s.54, will operate from 1 December 2016. The nominal expiry date of the Agreement is 30 June 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case involved TAD Pty Ltd, trading as Tad Industrial Pty Ltd, and the Australian Workers' Union (AWU). The company sought approval for the TAD Pty Ltd and AWU - ARC Mechanical Maintenance Enterprise Agreement 2016, which was submitted to the Fair Work Commission (FWC). The AWU opposed the application, raising concerns about the agreement's compliance with the Fair Work Act 2009. The central issue was whether the proposed agreement met the requirements of the Act, specifically concerning its fairness, the process by which it was negotiated, and its adherence to the relevant industrial relations principles.

The FWC examined whether the agreement was genuinely negotiated between the employer and the union, and whether it was fair in terms of the terms and conditions it proposed. The Commission assessed the procedural fairness of the negotiation process and whether there was sufficient evidence of genuine agreement between the parties. Additionally, the FWC considered the substantive fairness of the agreement, including whether it provided for adequate remuneration and working conditions, and whether it complied with any applicable awards or other relevant instruments. The AWU argued that the agreement did not sufficiently protect employees' rights and did not reflect a genuine bargain.

After reviewing the evidence and submissions from both parties, the FWC concluded that the agreement was genuinely negotiated and was fair and reasonable. The Commission found that the negotiation process was procedurally sound and that the agreement contained terms that were fair in substance. The FWC approved the application, recognising the agreement as a valid enterprise agreement. The AWU's concerns about the agreement's fairness and negotiation process were not substantiated by the evidence presented. The decision highlighted the importance of thorough negotiation processes and the need for agreements to reflect genuine bargains between employers and unions.

TAD Pty Ltd T/A Tad Industrial 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