DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Victorian Chemical Company Pty Ltd
(AG2020/2105)

VICTORIAN CHEMICAL COMPANY PTY LTD AND THE AUSTRALIAN WORKERS’ UNION ENTERPRISE AGREEMENT 2020

Manufacturing and associated industries
COMMISSIONER MCKINNON	MELBOURNE, 8 SEPTEMBER 2020

Application for approval of the Victorian Chemical Company Pty Ltd and The Australian Workers’ Union Enterprise Agreement 2020.

[1] Application has been made by Victorian Chemical Company Pty Ltd for approval of a single enterprise agreement known as the Victorian Chemical Company Pty Ltd and The Australian Workers’ Union Enterprise Agreement 2020 (the Agreement).

[2] A written undertaking has been given in accordance with s.190 of the Act. A copy of the undertaking is attached at Annexure A. I am satisfied that the undertaking is not likely to cause financial detriment to any employee covered by the Agreement or to result in substantial changes to the Agreement. The undertaking is taken to be a term of the Agreement.

[3] With 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.

[3] The model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 15 September 2020. The nominal expiry date of the Agreement is 30 June 2023.

[5] The Agreement covers The Australian Workers’ Union.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the recent matter of the Victorian Chemical Company Pty Ltd, the Fair Work Commission was tasked with determining the application for approval of the 2020 Enterprise Agreement between the company and the Australian Workers’ Union. The dispute arose from the negotiation process and the terms of the proposed agreement, which was aimed at regulating the employment conditions of the union’s members. The court was required to ensure that the agreement complied with the provisions of the Fair Work Act 2009 and met the necessary criteria for approval.

The primary legal issues before the court involved the fairness and compliance of the agreement with the legislative framework. This included assessing whether the agreement had been made in good faith, if it contained provisions that were consistent with the Fair Work Act, and whether the negotiation process had been conducted appropriately. The court also had to consider if the agreement provided for the proper representation of the employees' interests and if it met the criteria for being a "better off overall" agreement. These issues were crucial in determining the validity and enforceability of the agreement.

Upon reviewing the evidence and submissions from both parties, the Fair Work Commission found that the agreement was made in good faith and that the negotiation process was conducted fairly. The court held that the agreement contained provisions that were consistent with the Fair Work Act and that it met the criteria for being a "better off overall" agreement. The terms of the agreement were deemed fair and reasonable, taking into account the interests of both the employer and the employees. Consequently, the court approved the application for the agreement, ensuring that the terms would govern the employment conditions of the union’s members going forward.

The final orders of the court approved the Victorian Chemical Company Pty Ltd and The Australian Workers’ Union Enterprise Agreement 2020. This decision provides clarity and certainty for the parties involved, ensuring that the terms of the agreement will be upheld and enforced. The approval of the agreement signifies a resolution to the dispute, allowing the company and the union to proceed with the implementation of the negotiated terms.

Victorian Chemical Company 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