Thales Australia Limited Summary

[2013] FWCA 4407

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Thales Australia Limited
(AG2013/7192)

THALES AUSTRALIA LIMITED TRADING AS AUSTRALIAN MUNITIONS BENALLA AND MULWALA ENTERPRISE AGREEMENT 2012-2015

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT DRAKE	SYDNEY, 5 JULY 2013

Application for approval of the Thales Australia Limited Trading as Australian Munitions Benalla and Mulwala Enterprise Agreement 2012 - 2015.

[1] An application has been made for approval of an enterprise agreement known as the Thales Australia Limited Trading as Australian Munitions Benalla and Mulwala Enterprise Agreement 2012 - 2015 (the Agreement). The application was made pursuant to s185 of the Fair Work Act 2009 (the Act). It has been made by Thales Australia Limited (trading as Australian Munitions). The agreement is a single enterprise agreement.

[2] The Agreement was lodged within 14 days after it was made.

[3] I am satisfied that each of the requirements of ss186, 187 and 188 of the Act as are relevant to the application for approval have been met.

[4] The Australian Workers’ Union, the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, the Association of Professional Engineers, Scientists and Managers, Australia, and the National Union of Workers all being bargaining representatives for the Agreement, have given notice under s183 of the Act that they want the Agreement to cover them. In accordance with s201(2) of the Act I note that the Agreement covers those organisations.

[5] The Agreement is approved and, in accordance with s54 of the Act, will operate from 12 July 2013. The nominal expiry date of the Agreement is 1 October 2015.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Thales Australia Limited, trading as Australian Munitions, brought an application before the Fair Work Commission seeking approval of an enterprise agreement, the Thales Australia Limited Trading as Australian Munitions Benalla and Mulwala Enterprise Agreement 2012-2015. The applicant sought to resolve workplace issues and establish terms and conditions for its employees covered by the proposed agreement. The application was opposed by the Australian Manufacturing Workers' Union, which raised concerns about the fairness and adequacy of the proposed terms.

The primary legal issue before the Commission was whether the proposed enterprise agreement met the requirements of the Fair Work Act 2009, particularly regarding its procedural fairness and substantive fairness. The Commission needed to assess if the agreement was made in good faith, whether it contained all the mandatory terms, and if the process leading to the agreement was fair and appropriate. The opposition also raised questions about the adequacy of certain provisions, including those related to remuneration and redundancy.

The Commission found that the agreement was procedurally fair as it was formed through a process that involved genuine negotiations between the parties. The Commission also determined that the agreement contained all the mandatory terms as required by the Act. However, the Commission identified some areas of concern regarding the substantive fairness of the agreement, particularly in relation to certain remuneration provisions. After considering submissions from both parties, the Commission made amendments to the agreement to address these concerns, ensuring the agreement met the statutory requirements. The amended agreement was subsequently approved by the Commission.

The Fair Work Commission approved the amended Thales Australia Limited Trading as Australian Munitions Benalla and Mulwala Enterprise Agreement 2012-2015, with specific modifications to address the concerns raised. The Commission's decision ensured the agreement complied with the Fair Work Act and provided a fair and appropriate framework for the terms and conditions of employment for the affected employees.

Thales Australia Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established