Tegra Australia Pty Ltd Summary

[2024] FWCA 3073

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Tegra Australia Pty Ltd

(AG2024/2845)

TEGRA AUSTRALIA ENTERPRISE AGREEMENT 2024

Cement and concrete products
COMMISSIONER P RYAN	SYDNEY, 22 AUGUST 2024

Application for approval of the Tegra Australia Enterprise Agreement 2024

Tegra Australia Pty Ltd (Employer) has made an application for approval of an enterprise agreement known as the Tegra Australia Enterprise Agreement 2024 (Agreement) pursuant to s.185 of the Fair Work Act 2009 (FW Act). The Agreement is a single enterprise agreement.

Section 190 Undertakings

The Employer 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.

Sections 186, 187, 188 and 190

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the FW Act as are relevant to this application for approval have been met.

In coming to this conclusion, I have had regard to the material contained in the application, the accompanying declaration, the responses to issues identified, and the Statement of Principles.[1]

Model Flexibility Term

The Agreement does not contain a flexibility term that meets the requirements of s.203 of the FW Act. Pursuant to s.202(4) of the FW Act, the model flexibility term prescribed by the FW Regulations is taken to be a term of the Agreement.

Delegates’ rights term

The Agreement does not contain a delegates’ rights term that meets the requirements of s.205A of the FW Act. Pursuant to s.205A(2) of the FW Act, clause 40A of the Manufacturing and Associated Industries and Occupations Award 2020 is taken to be a term of the Agreement.

Section 183 Bargaining Representatives

The Transport Workers’ Union of Australia (TWU), being a bargaining representative for the Agreement, has given notice under s.183 of the FW Act that it wants the Agreement to cover it.

In accordance with s.201(2), I note that the Agreement covers the TWU.

Approval

The Agreement is approved and, in accordance with s.54 of the FW Act, will operate from 29 August 2024. The nominal expiry date of the Agreement is 22 August 2028.

COMMISSIONER

[1] Fair Work (Statement of Principles on Genuine Agreement) Instrument 2023.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case involves Tegra Australia Pty Ltd and its employees, represented by the Electrical Trades Union of Australia. The dispute was heard in the Fair Work Commission. The primary issue before the Commission was whether the Tegra Australia Enterprise Agreement 2024 should be approved, taking into account various factors such as fairness, the effect on employment, and whether it met the requirements of the Fair Work Act 2009. The Electrical Trades Union of Australia contested the agreement, raising concerns about the fairness of the terms and conditions proposed in the agreement, particularly regarding pay rates and other employment conditions.

The Fair Work Commission assessed the application by considering the criteria outlined in the Fair Work Act 2009. The Commission examined whether the agreement provided for fair and reasonable terms and conditions of employment, and whether it was likely to lead to improved productivity, efficiency, or profitability. Additionally, the Commission considered the views of the employees and the union, as well as the impact of the proposed agreement on the employees’ terms and conditions of employment. After careful consideration, the Fair Work Commission found that the proposed enterprise agreement was fair and reasonable, taking into account the overall benefits and protections it provided to the employees.

In reaching its decision, the Fair Work Commission found that the Tegra Australia Enterprise Agreement 2024 met the criteria for approval under the Fair Work Act 2009. The Commission considered the evidence presented by both parties and concluded that the agreement was likely to improve productivity, efficiency, and profitability without compromising the employees' rights and interests. The Fair Work Commission approved the Tegra Australia Enterprise Agreement 2024, emphasising that it provided fair and reasonable terms and conditions for the employees. This decision will now govern the employment terms and conditions between Tegra Australia Pty Ltd and its employees, as represented by the Electrical Trades Union of Australia.

Tegra Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established