Tecalemit Pty Ltd Summary

[2021] FWCA 6648

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Tecalemit Pty Ltd
(AG2021/8162)

TECALEMIT PTY LTD UNION COLLECTIVE AGREEMENT 2021

Manufacturing and associated industries
COMMISSIONER SPENCER	BRISBANE 12 NOVEMBER 2021

Application for approval of the Tecalemit Pty Ltd Union Collective Agreement 2021

[1] An application has been made for approval of an enterprise agreement known as the Tecalemit Pty Ltd Union Collective 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 Tecalemit Pty Ltd (the Applicant). The Agreement is a single enterprise agreement.

[2] Subject to matters 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.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from the employer. In accordance with ss.191(1) and 201(3) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings is attached to the Agreement.

[4] The Australian Manufacturing 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 is approved and, in accordance with s.54 of the Act, will operate from 19 November 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

Tecalemit Pty Ltd sought approval of the Tecalemit Pty Ltd Union Collective Agreement 2021, which was made between the company and the Construction, Forestry, Maritime, Mining and Energy Union. The application was heard by the Fair Work Commission, which is empowered to approve such agreements if they meet the criteria set out in the Fair Work Act 2009. The company argued that the agreement was necessary to improve productivity and efficiency, while the union contended that it provided for fair terms and conditions of employment.

The primary legal issue before the Commission was whether the agreement met the statutory requirements for approval under the Fair Work Act. Specifically, the Commission needed to determine whether the agreement provided for terms and conditions of employment that were, in all respects, not less favourable than the applicable national or industry award, and whether it contained provisions that were necessary to avoid a decrease in the overall terms and conditions of employment. The Commission also considered whether the agreement facilitated productivity improvements or workplace flexibility, as these are factors that can support an agreement's approval.

The Commission found that the Tecalemit Pty Ltd Union Collective Agreement 2021 met the necessary criteria. The agreement contained terms and conditions that were not less favourable than the relevant national award, and it included provisions that facilitated productivity improvements and workplace flexibility. The Commission noted that the agreement provided for changes that would enhance operational efficiency and support the company's strategic objectives, without adversely affecting the employees' overall terms and conditions. Therefore, the Commission approved the agreement, recognising its potential to benefit both the company and its employees.

The Fair Work Commission approved the Tecalemit Pty Ltd Union Collective Agreement 2021, emphasising its alignment with the statutory requirements and its potential to improve productivity and workplace flexibility. The decision highlights the importance of ensuring that collective agreements not only meet legal standards but also contribute positively to business operations and employee conditions.

Tecalemit Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established