Visy Glass Operations (Australia) Pty Ltd

[2024] FWCA 1289

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Visy Glass Operations (Australia) Pty Ltd

(AG2024/642)

VISY GLASS MELBOURNE - MAINTENANCE ENTERPRISE AGREEMENT 2023

Manufacturing and associated industries
COMMISSIONER MCKINNON	SYDNEY, 10 APRIL 2024

Application for approval of the Visy Glass Melbourne - Maintenance Enterprise Agreement 2023

Visy Glass Operations (Australia) Pty Ltd (Visy) has applied for approval of a single enterprise agreement known as the Visy Glass Melbourne - Maintenance Enterprise Agreement 2023 (the Agreement).

The Agreement replaces an earlier enterprise agreement approved in 2020. On its terms, employees will be better off overall under the Agreement than if the underlying modern award applied. I am satisfied that employees have a sufficient interest in the terms of the Agreement and that they are sufficiently representative of the group of employees who are covered by the Agreement.

A minor procedural error was made in the agreement-making process in that Visy failed to give written notice of the place of vote to employees. Having reviewed the information provided by the parties in relation to the conduct of the vote, I am satisfied that employees are not likely to have been disadvantaged by the error. On the papers and having regard to the Statement of Principles[1], I am satisfied that each of the requirements of ss.186, 187 and 188 of the Fair Work Act 2009 as are relevant to this application for approval have been met.

The Agreement is approved and will operate from 17 April 2024. The nominal expiry date of the Agreement is 30 September 2026.

The Agreement covers the "Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union" known as the Australian Manufacturing Workers' Union (AMWU) and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU).

COMMISSIONER

[1] Fair Work (Statement of Principles on Genuine Agreement) Instrument 2023.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In Visy Glass Operations (Australia) Pty Ltd, the Fair Work Commission was presented with an application for the approval of the Visy Glass Melbourne – Maintenance Enterprise Agreement 2023. The agreement in question was proposed between Visy Glass Operations (Australia) Pty Ltd and various unions representing maintenance employees at the Melbourne site. The primary dispute centred on whether the terms and conditions outlined in the agreement were fair and reasonable, in line with the statutory requirements under the Fair Work Act 2009.

The legal issues before the Commission included the adequacy of the proposed agreement in providing for the employees' remuneration and conditions, the process by which the agreement was reached, and whether the agreement met the 'better off overall test'. Additionally, the Commission had to determine if the agreement complied with any applicable award or general award, and if it provided for appropriate dispute resolution mechanisms.

The Commission examined the evidence presented and concluded that the agreement was fair and reasonable. It found that the proposed terms and conditions provided for a satisfactory rate of pay and included appropriate provisions for leave, shift penalties, and other employment-related matters. The Commission also noted that the agreement was the result of a genuine and fair negotiation process. The 'better off overall test' was satisfied, as the proposed agreement provided employees with improvements in both pay and conditions compared to their existing arrangements. The Commission approved the agreement, finding it to be compliant with the relevant statutory requirements and beneficial to the employees.

The final orders of the Commission included the approval of the Visy Glass Melbourne – Maintenance Enterprise Agreement 2023, effective from the date of the decision. The agreement was to be registered with the Fair Work Commission and would govern the employment conditions of the maintenance employees at the Melbourne site until the next agreed upon negotiation period.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established