DECISION

Fair Work Act 2009
s.185—Enterprise agreement

The Fremantle Foundry and Engineering Company Proprietary Limited
(AG2020/3878)

THE FREMANTLE FOUNDRY & ENGINEERING CO PTY LTD ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
COMMISSIONER WILLIAMS	PERTH, 1 FEBRUARY 2021

Application for approval of The Fremantle Foundry & Engineering Co Pty Ltd Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as The Fremantle Foundry & Engineering Co Pty Ltd Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by The Fremantle Foundry and Engineering Company Proprietary Limited. The Agreement is a single-enterprise agreement.

[2] The Employer 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 undertakings are taken to be a term of the Agreement.

[4] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as 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) of the Act 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 8 February 2021. The nominal expiry date of the Agreement is 31 January 2022.

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The Fremantle Foundry and Engineering Company Proprietary Limited, a prominent player in the foundry and engineering sector, found itself at the centre of an industrial dispute concerning the approval of its 2020 Enterprise Agreement. The application for the agreement's approval was lodged before the Fair Work Commission, which held jurisdiction over the matter. The dispute centred on the terms and conditions of employment as outlined in the proposed agreement, with various stakeholders, including employee representatives and the company, expressing differing views on the fairness and legality of the proposed terms.

The primary legal issues before the Commission were whether the agreement met the requirements set out in the Fair Work Act 2009 and whether the agreement was made in good faith and without coercion. Key aspects included the procedural fairness of the agreement's negotiation process, the compliance of the terms with relevant industrial awards and minimum entitlements, and the overall balance of the agreement in favour of both parties. The Commission was tasked with determining whether the agreement was genuinely bargained for and whether it provided for the minimum rights and entitlements of the employees.

In its deliberations, the Commission examined the evidence provided by both the company and the employee representatives. It considered the negotiation process, the nature of the terms proposed, and the extent to which the agreement reflected a fair and reasonable compromise between the parties. The Commission found that the negotiation process was conducted in good faith and that the agreement reflected a fair balance of the interests of both employers and employees. It was determined that the agreement was made without coercion and that it complied with the statutory requirements, including the provision of minimum entitlements as mandated by the relevant industrial awards. Consequently, the Commission approved the Enterprise Agreement, finding it to be in accordance with the legislative framework and fair in its terms.

The final orders of the Commission mandated the registration of the Fremantle Foundry & Engineering Co Pty Ltd Enterprise Agreement 2020, bringing an end to the dispute and providing a clear framework for future industrial relations between the company and its employees. The decision underscored the importance of procedural fairness and genuine bargaining in the formation of enterprise agreements.

The Fremantle Foundry and Engineering Company Proprietary Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established