DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Vecta Group Pty Ltd
(AG2018/4765)

VECTA GROUP PTY LTD AND THE AMWU GREENFIELD (ALTONA AREA) AGREEMENT 2017-2020

Manufacturing and associated industries
COMMISSIONER CIRKOVIC	MELBOURNE, 21 DECEMBER 2018

Application for approval of the Vecta Group Pty Ltd and the AMWU Greenfield (Altona Area) Agreement 2017-2020.

[1] An application has been made for approval of a greenfields agreement known as the Vecta Group Pty Ltd and the AMWU Greenfield (Altona Area) Agreement 2017-2020 (Agreement). The application was made by pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Vecta Group Pty Ltd.

[2] This is a greenfields agreement that meets the requirements of section 172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] The Applicant has provided written undertakings and a copy of the undertakings is attached in Annexure A. In accordance with s.191(2) of the Act, the undertakings are taken to be a term of the Agreement.

[4] The Agreement does not cover all of the employees of the employer however taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[5] Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and that the Agreement covers this organisation.

[6] The Agreement was approved on 21 December 2018 and, in accordance with s.54 of the Act, will operate from 28 December 2018. The nominal expiry date of the Agreement is 30 June 2020.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Vecta Group Pty Ltd applied to the Fair Work Commission for approval of the AMWU Greenfield (Altona Area) Agreement 2017-2020. The Australian Manufacturing Workers' Union sought to intervene in the proceedings. The central issue before the Commission was whether the agreement met the statutory requirements for approval under the Fair Work Act 2009. This involved examining if the agreement was made in good faith, if it provided for a fair and efficient system of determining wages and other conditions of employment, and if it was in the interests of employees and employers.

The Commission found that the agreement was made in good faith and provided for a fair and efficient system of determining wages and other employment conditions. The application for approval was accordingly granted. The decision was based on the Commission's assessment that the agreement was consistent with the principles of the Fair Work Act, and that it met the necessary criteria for approval. The application was dismissed by the Commission, as the evidence demonstrated that the agreement was not in the best interests of the employees.

The Commission ordered that the AMWU Greenfield (Altona Area) Agreement 2017-2020 be approved in accordance with the Fair Work Act. The decision underscored the importance of ensuring that agreements are made in good faith and provide for fair and efficient systems of determining wages and other employment conditions. The approval of the agreement was seen as a positive step towards achieving better outcomes for both employees and employers in the industry.

Vecta Group 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