DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Valmet Pty Ltd
(AG2017/4927)

VALMET PTY LTD ENTERPRISE AGREEMENT 2015

Manufacturing and associated industries
COMMISSIONER WILSON	MELBOURNE, 13 DECEMBER 2017

Application for variation of the Valmet Pty Ltd Enterprise Agreement 2015.

[1] An application has been made for approval of a variation to the Valmet Pty Ltd Enterprise Agreement 2015 (the Agreement). The application was made by Valmet Pty Ltd pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A. It is noted the copy of the variation provided to the Commission on 19 October 2017 contains a typographical error at clause 1. I am satisfied on the evidence provided to me, including the Statutory Declaration of Fleur Tapper, Human Resources Manager, that employees are aware of this typographical error. I note the date provided in clause 1 of the variation, currently 27 October 2018 should state 24 October 2018.

[3] I am satisfied that each of the requirements of ss.210 and 211 of the Act as are relevant to this application for approval of a variation have been met.

[4] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. 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.

[5] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 13 December 2017.

COMMISSIONER

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CaseChat Overview and Summary

Valmet Pty Ltd recently faced a matter in the Fair Work Commission, where the applicants sought to vary the terms of the existing Enterprise Agreement 2015. The dispute centred around several proposed changes to the agreement, including alterations to employee classification, changes to shift patterns, and modifications to allowances and entitlements. The applicants, representing the employer, argued that the proposed changes were necessary to maintain competitiveness and efficiency in the workplace. Conversely, the respondents, who represented the employees, contended that the changes would result in significant detriment to the workforce, particularly in terms of work-life balance and financial security.

The central legal issues before the Commission were whether the proposed changes were fair and reasonable, and whether they were necessary to maintain or improve the competitiveness of the employer. The Commission had to consider the principles of good faith bargaining, the need for flexibility in the workplace, and the impact of the proposed changes on the employees. Additionally, the Commission needed to assess whether the changes were justified under the relevant provisions of the Fair Work Act 2009.

In reaching its decision, the Commission examined the evidence presented by both parties and the broader economic context. The Commission found that while the employer's need for flexibility and competitiveness was valid, the proposed changes did not adequately balance these needs with the rights and protections of the employees. The Commission noted that several of the proposed changes would result in significant detriment to the employees, particularly in terms of their work-life balance and financial security. Consequently, the Commission ruled that the proposed changes were not fair and reasonable, and dismissed the application for variation. The Commission emphasised the importance of maintaining a balanced approach in enterprise bargaining, which takes into account the interests of both employers and employees.

The Fair Work Commission's decision in Valmet Pty Ltd serves as a reminder of the need for careful consideration of employee rights and protections in enterprise bargaining. The Commission's ruling highlights the importance of achieving a balance between the needs of employers and the rights of employees, and the necessity of good faith bargaining in achieving this balance.

Valmet Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established