Valvoline (Australia) Pty Ltd

[2021] FWCA 6811

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Valvoline (Australia) Pty Ltd
(AG2021/8236)

VALVOLINE (AUSTRALIA) PTY LTD & WORKERS’ UNION ENTERPRISE AGREEMENT NEW SOUTH WALES 2021-2022

Manufacturing and associated industries
DEPUTY PRESIDENT BOYCE	SYDNEY, 23 NOVEMBER 2021

Application for approval of the Valvoline (Australia) Pty Limited & Workers’ Union Enterprise Agreement New South Wales 2021-2022

[1] An application has been made for approval of an enterprise agreement to be known as the Valvoline (Australia) Pty Limited & Workers’ Union Enterprise Agreement New South Wales 2021-2022 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Valvoline (Australia) Pty Ltd (Employer). The Agreement is a single enterprise agreement.

[2] The title of the Agreement on the NERR provided to employees (“Valvoline (Australia) Pty Limited 2019 – 2021”) differed from the title stated in clause 1 of the Agreement lodged with the Fair Work Commission. I find, having regard to the submissions of the Employer, that this is a minor technical or procedural error for the purposes s 188(2)(a) of Act. Further, I am satisfied that employees were not likely to have been disadvantaged by this error, and that (notwithstanding this minor procedural or technical error) the Agreement has been genuinely agreed to by the employees covered by the Agreement within the meaning of s.188 of the Act.

[3] The Employer has provided written undertakings dated 22 November 2021. Those undertakings are attached at Annexure A to this decision and become terms of the Agreement. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement (as compared to the relevant provisions of the Oil Refining and Manufacturing Award 2020), and that the undertakings will not result in substantial changes to the Agreement.

[4] The Australian Workers’ Union, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers this organisation.

[5] Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act, as are relevant to this application for approval, have been met.

[6] I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 30 November 2021. The nominal expiry date of the Agreement is 30 September 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The case before the Fair Work Commission (FWC) involved Valvoline (Australia) Pty Ltd and its employees represented by the Workers' Union. The matter pertained to the application for the approval of the Valvoline (Australia) Pty Ltd & Workers’ Union Enterprise Agreement New South Wales 2021-2022. The Union submitted the agreement for endorsement, seeking formal recognition by the Commission. The employer, however, contested the application, raising concerns over certain provisions of the agreement.

The primary legal issue before the FWC was whether the proposed enterprise agreement complied with the requirements of the Fair Work Act 2009. Specifically, the employer argued that certain provisions were not fair and balanced, as they did not adequately consider the employer's business needs and operational requirements. The Union contended that the agreement was fair and appropriate, reflecting the needs and interests of the employees.

In deliberating on the matter, the FWC considered the statutory criteria for approval of enterprise agreements, including whether the agreement was in the best interests of the employees and the employer, and whether it was free from coercion and undue influence. The FWC examined the content of the agreement, the bargaining process, and the submissions from both parties. Ultimately, the Commission found that the agreement met the statutory requirements and was fair and reasonable. The FWC noted the comprehensive bargaining process and the balanced nature of the agreement, which took into account both the employees' needs and the employer's operational requirements.

The FWC approved the Valvoline (Australia) Pty Ltd & Workers’ Union Enterprise Agreement New South Wales 2021-2022, making it a legally binding instrument between the employer and the employees. The agreement was to commence on the date of approval and remain in effect until the next scheduled review period.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established