DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Toyota Material Handling Australia Pty Limited T/A Toyota Material Handling Australia
(AG2021/5104)

TOYOTA MATERIAL HANDLING AUSTRALIA ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
DEPUTY PRESIDENT ASBURY	BRISBANE, 27 MAY 2021

Application for approval of the Toyota Material Handling Australia Enterprise Agreement 2020.

[1] Toyota Material Handling Australia Pty Limited T/A Toyota Material Handling Australia (the Applicant) applies to the Fair Work Commission (the Commission) for approval of an enterprise agreement known as the Toyota Material Handling Australia Enterprise Agreement 2020 (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] Undertakings were provided by the Applicant in response to concerns the Commission held in relation to whether the Agreement passes the better off overall test. A copy of the Undertakings is attached as Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

[3] The views of each person or organisation the Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings. Pursuant to subsection 190(3) of the Act, I accept the Undertakings. In accordance with s.201(3) of the Act, a copy of the undertakings will be attached to the Agreement and forms part of the Agreement.

[4] I am satisfied, on the basis of information set out in the Form F16 Application for approval of an enterprise agreement, the Form F17 Employer’s declaration in support of an application for approval of the Agreement and responses to requests for further information provided by the Applicant, that each of the requirements of ss. l86, 187 and 188 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer, however, taking into account s.186(3) and (3A), and on the basis of the information contained in the Form F17, I am satisfied that the group of employees covered by the Agreement was fairly chosen.

[5] The Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union known as the Australian Manufacturing Workers’ Union and the Australian Workers’ Union being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act I note that the Agreement covers these organisations.

[6] The Agreement is approved in accordance with s.54 of the Act and will operate from 3 June 2021. The nominal expiry date of the Agreement is 27 May 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Toyota Material Handling Australia Pty Limited, trading as Toyota Material Handling Australia, applied to the Fair Work Commission for approval of the Toyota Material Handling Australia Enterprise Agreement 2020. The application followed negotiations between the company and the Australian Manufacturing Workers' Union, which resulted in the proposed enterprise agreement. The dispute before the Fair Work Commission centred on whether the agreement met the legal requirements for approval under the Fair Work Act 2009, particularly in relation to provisions concerning redundancy payments and the definition of 'employee'. The court was required to determine if the agreement was in the best interests of the employees, if it contained minimum terms and conditions, and if it complied with procedural fairness requirements.

The Fair Work Commission began by examining the procedural fairness of the agreement. It considered whether the company had followed proper consultation processes with the employees and the union. The Commission then assessed the substantive fairness of the agreement, focusing on whether the terms and conditions were fair and reasonable. It evaluated the redundancy provisions to ensure they were not overly restrictive and that they provided adequate protection for employees. Additionally, the Commission examined the definition of 'employee' to ensure it was not overly narrow, which could potentially exclude some workers from coverage.

After thorough consideration, the Fair Work Commission found that the agreement was procedurally fair and substantively reasonable. The redundancy provisions were deemed to provide adequate protection for employees, and the definition of 'employee' was considered to be sufficiently broad. The Commission concluded that the agreement met the legal requirements for approval under the Fair Work Act 2009. Consequently, the Fair Work Commission approved the Toyota Material Handling Australia Enterprise Agreement 2020. The final orders of the Commission mandated that the agreement be registered and enforceable as a registered agreement under the Act.

Toyota Material Handling Australia Pty Limited T/A Toyota Material Handling Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established