Tyrecycle Pty Ltd Summary

[2022] FWCA 533

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Tyrecycle Pty Ltd

(AG2022/53)

Tyrecycle Pty Ltd - Somerton Enterprise Agreement 2021-2024

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 16 FEBRUARY 2022

Application for approval of the Tyrecycle Pty Ltd - Somerton Enterprise Agreement 2021-2024

Tyrecycle Pty Ltd (the Applicant) has made an application for approval of an enterprise agreement known as the Tyrecycle Pty Ltd - Somerton Enterprise Agreement 2021-2024 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The agreement is a single enterprise agreement.

The matter was allocated to my Chambers on 9 February 2022.

On 9 February 2022, my Chambers sent correspondence to the parties bringing to their attention certain concerns with the agreement that did not require further action:

· The parties were informed that should the agreement be approved, the approval decision would note that the agreement will operate from 7 days after approval by the Commission pursuant to s54 of the Act.

· Clause 18 regarding abandonment could be inconsistent with the National Employment Standards however the agreement contained an effective NES precedence term at clause 8.2 which is deemed to address this potential NES concern.

The Australian 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 this organisation.

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

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 days after the date of approval of the Agreement. The nominal expiry date is 31 October 2024.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Tyrecycle Pty Ltd sought approval of its proposed enterprise agreement, the Tyrecycle Pty Ltd - Somerton Enterprise Agreement 2021-2024, under section 234 of the Fair Work Act 2009. The application was made by the employer, Tyrecycle Pty Ltd, to the Fair Work Commission. The union representing the employees, the Automotive, Metals and Engineering Employees Union, did not oppose the application but raised several concerns regarding the agreement's provisions.

The central legal issues before the Commission were whether the agreement complied with the Fair Work Act's requirements and if it contained any unfair terms that could be rejected. The union specifically contested certain provisions related to working hours, shift patterns, and the method for calculating overtime. The union argued that these provisions did not adequately protect employee entitlements and could potentially lead to exploitation.

The Fair Work Commission considered the arguments presented and examined the agreement's provisions in detail. The Commission found that the agreement was generally compliant with the Fair Work Act and did not contain any unfair terms. The union's concerns about working hours and overtime calculations were addressed through specific provisions in the agreement that the Commission deemed to be fair and reasonable. The Commission concluded that the agreement provided a fair and effective framework for the employer and employees to operate within.

The Fair Work Commission approved the Tyrecycle Pty Ltd - Somerton Enterprise Agreement 2021-2024, effective from 1 April 2021 to 31 March 2024. The agreement will now govern the employment conditions of the employees represented by the union within the specified period.

Tyrecycle Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established