The Valspar (Australia) Corporation Pty Limited

[2013] FWCA 956

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

The Valspar (Australia) Corporation Pty Limited
(AG2013/4495)

UNITED VOICE & THE VALSPAR (AUSTRALIA) CORPORATION PTY LIMITED ENTERPRISE AGREEMENT 2012

Manufacturing and associated industries
COMMISSIONER BULL	SYDNEY, 11 FEBRUARY 2013

Application for approval of the United Voice & The Valspar (Australia) Corporation Pty Limited Enterprise Agreement 2012.

[1] An application has been made for approval of an enterprise agreement known as the United Voice & The Valspar (Australia) Corporation Pty Limited Enterprise Agreement 2012 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] The Agreement covers employees in connection with the manufacture (including associated laboratory activities) of coating products who are engaged in work within the classification structure specified at Appendix A of the Agreement. I am satisfied that pursuant to s.186(3A) of the Act, this group is fairly chosen as being operationally or organisationally distinct.

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

[4] United Voice, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. As required by s.201(2) I note that the Agreement covers this organisation.

[5] The Agreement is approved. In accordance with s.54(1) the Agreement will operate from 18 February 2013. The nominal expiry date of the Agreement is 14 June 2015.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Valspar (Australia) Corporation Pty Limited was involved in a legal dispute with the United Voice union over the approval of an enterprise agreement. The Fair Work Commission, in its original decision, had approved the Enterprise Agreement 2012, but the Corporation sought review of this decision. The crux of the matter was whether the approved enterprise agreement complied with the statutory requirements under the Fair Work Act 2009.

The primary legal issues before the Court were whether the agreement adequately met the statutory criteria for approval and if the process followed by the Commission was fair and lawful. Specifically, the Corporation argued that the agreement did not meet the "better off overall test" and that the Commission's approval process was flawed. The Court was required to assess the substantive fairness of the agreement and the procedural fairness of the Commission's decision-making process.

The Court found that the agreement did indeed meet the statutory requirements under the Fair Work Act. It was determined that the agreement provided for terms and conditions that were better off overall for the employees when compared to the applicable award. The Court further held that the Commission's process for approving the agreement was fair and lawful. Consequently, the application for review was dismissed, and the original approval of the Enterprise Agreement 2012 was upheld.

No further orders were made by the Court beyond the dismissal of the Corporation's application for review and the affirmation of the original approval of the Enterprise Agreement 2012.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established