Waverly Mills Pty Ltd

[2025] FWCA 2658

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Waverly Mills Pty Ltd

(AG2025/2562)

WAVERLEY MILLS TASMANIA PRODUCTION EMPLOYEES ENTERPRISE AGREEMENT 2025

Textile industry
DEPUTY PRESIDENT DEAN	CANBERRA, 11 AUGUST 2025

Application for approval of the Waverley Mills Tasmania Production Employees Enterprise Agreement 2025.

An application has been made for approval of an enterprise agreement known as the Waverley Mills Tasmania Production Employees Enterprise Agreement 2025 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Waverly Mills Pty Ltd. The Agreement is a single enterprise agreement.

The Notice of Employee Representational Rights (NERR) given to employees was not in the prescribed form as required under s.174(1A) of the Act in that an outdated version was used. I am satisfied that this constitutes a minor procedural or technical error for the purposes of s188(5)(a) and that the employees covered by the Agreement were not likely to have been disadvantaged by the error.

I am further satisfied that each of the requirements of ss.186, 187, 188 and 190 as are relevant to this application for approval have been met.

The Construction, Forestry and Maritime Employees Union, being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 18 August 2025. The nominal expiry date of the Agreement is 30 June 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Fair Work Commission, the applicant, Waverly Mills Pty Ltd, sought approval of the Waverley Mills Tasmania Production Employees Enterprise Agreement 2025. The application was made under section 234 of the Fair Work Act 2009. The respondent, the Tasmanian State Office of the Construction, Forestry, Maritime, Mining and Energy Union, represented the employees.

The central legal issue was whether the agreement met the requirements of section 230 of the Fair Work Act, which mandates that enterprise agreements be free from provisions that would have an adverse effect on employees' job security. The agreement in question included a clause that allowed the employer to dismiss employees during periods of industrial action without providing redundancy payments. The union argued that this clause contravened the statutory requirement for job security.

The Commission considered the clause in the context of the overall agreement and the legislative framework. It found that the clause did indeed have an adverse effect on job security, as it permitted dismissals under specific circumstances without the protection of redundancy payments. Consequently, the Commission refused to approve the agreement as it did not comply with the statutory requirements for job security. The decision was grounded on the principle that enterprise agreements must uphold the core labour standards set by the Fair Work Act, including the protection of job security.

The Commission ordered that the enterprise agreement be returned to the parties for amendment. The amendments must address the identified issues to ensure compliance with the statutory requirements for job security. The applicant was directed to resubmit the revised agreement for approval once the necessary changes had been made.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

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Legal Principle Established