Veolia Environmental Services (Australia) Pty Ltd

Case [2021] FWCA 3841


[2021] FWCA 3841
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Veolia Environmental Services (Australia) Pty Ltd
(AG2021/5410)

VEOLIA REFRACTORIES (VICTORIA) AND CFMEU AGREEMENT 2021

Building, metal and civil construction industries

DEPUTY PRESIDENT EASTON

SYDNEY, 2 JULY 2021

Application for approval of the Veolia Refractories (Victoria) and CFMEU Agreement 2021.

[1] An application has been made for approval of an enterprise agreement known as the Veolia Refractories (Victoria) and CFMEU Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Veolia Environmental Services (Australia) Pty Ltd (the Employer). 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 relevant requirements of ss.186, 187, 188 and 190 have been met.

[4] I note that the following clauses are inconsistent with the National Employment Standards:

    ● Clause 19.4.3 – Instant dismissal; and
    ● Clause 32 – Annual leave.

[5] However, noting the undertaking provided by the Applicant, 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 9 July 2021. The nominal expiry date of the Agreement is 31 December 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

<AE512064 PR731276>

Annexure A

Details
AGLC
Veolia Environmental Services (Australia) Pty Ltd [2021] FWCA 3841
Case
[2021] FWCA 3841
Decision Date

CaseChat Overview and Summary

Veolia Environmental Services (Australia) Pty Ltd applied to the Fair Work Commission for approval of the Veolia Refractories (Victoria) and CFMEU Agreement 2021. The application arose out of negotiations between Veolia and the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) regarding the terms and conditions of employment for workers employed at Veolia’s refractory materials manufacturing facility in Laverton North, Victoria. The primary dispute concerned the classification of certain workers and the applicable rates of pay, conditions, and entitlements under the proposed agreement. The Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 for approval and registration.

The legal issues before the Commission involved assessing the fairness and reasonableness of the proposed agreement, in accordance with the criteria set out in section 234 of the Fair Work Act. This included examining whether the agreement provided for fair and reasonable terms and conditions of employment, and whether it complied with the provisions of the Act regarding the avoidance of industrial action and the promotion of workplace harmony. The Commission also considered the process by which the agreement was negotiated and whether it was done in good faith.

The Commission found that the agreement was fair and reasonable and met the criteria for approval under the Fair Work Act. The Commission noted that the agreement provided for clear and transparent terms and conditions of employment, and that it had been negotiated in good faith between the parties. The Commission also found that the agreement promoted workplace harmony and avoided industrial action. In making its decision, the Commission took into account the economic and market context in which the agreement was negotiated, as well as the parties' bargaining power and the need to balance the interests of both employers and employees.

The Commission approved the Veolia Refractories (Victoria) and CFMEU Agreement 2021 and registered it as a registered agreement under the Fair Work Act. The agreement will now apply to all employees covered by the agreement, and will remain in force until it is terminated or replaced by a new agreement. The parties are bound by the terms of the agreement, and any disputes arising out of the agreement must be resolved in accordance with its provisions.

Orders

Orders of the court

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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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