Valvoline (Australia) Pty Ltd

Case [2020] FWCA 2048


[2020] FWCA 2048
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Valvoline (Australia) Pty Ltd
(AG2020/596)

VALVOLINE (AUSTRALIA) PTY LTD & AUSTRALIAN WORKERS' UNION, ENTERPRISE AGREEMENT NEW SOUTH WALES 2019- 2021

Oil and gas industry

COMMISSIONER LEE

MELBOURNE, 21 APRIL 2020

Application for approval of the Valvoline (Australia) Pty Ltd & Australian Workers' Union, Enterprise Agreement New South Wales 2019 - 2021.

[1] An application has been made for approval of an enterprise agreement known as the Valvoline (Australia) Pty Ltd & Australian Workers’ Union, Enterprise Agreement New South Wales 2019 - 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Valvoline (Australia) Pty Ltd. 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. The undertakings are taken to be a term of 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.

[4] 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) I note that the Agreement covers the organisation.

[5] I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

  Clause 13 – Compassionate Leave;

  Clause 17 – Public Holidays;

    ● Clause 26 – Abandonment of Employment.

However, noting clause 2 of the undertaking, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 28 April 2020. The nominal expiry date of the Agreement is 30 September 2021.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

<AE507814  PR718413>

Annexure A

Details
AGLC
Valvoline (Australia) Pty Ltd [2020] FWCA 2048
Case
[2020] FWCA 2048
Decision Date

CaseChat Overview and Summary

Valvoline (Australia) Pty Ltd applied to the Fair Work Commission for approval of an enterprise agreement it had negotiated with the Australian Workers' Union. The agreement pertained to employees in New South Wales, covering the period from 2019 to 2021. The parties sought to establish terms and conditions of employment, including wages, hours of work, and other employment-related matters.

The legal issues before the Commission involved determining whether the proposed agreement met the statutory requirements for approval under the Fair Work Act 2009. Specifically, the Commission had to assess if the agreement was made in good faith and provided for a fair and efficient workplace, amongst other criteria. Additionally, the Commission needed to consider whether the agreement complied with the "better off overall test," which requires that employees be no worse off financially under the new agreement than they would be under the previous agreement or applicable awards.

The Fair Work Commission found that the proposed enterprise agreement was made in good faith and met all the statutory requirements for approval. The Commission concluded that the agreement provided for a fair and efficient workplace and satisfied the better off overall test. Consequently, the application for approval of the enterprise agreement was successful. The Commission certified the agreement, making it a legally binding document between Valvoline (Australia) Pty Ltd and the Australian Workers' Union for the specified period.

Orders

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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