Zodiac Labour Hire Pty Ltd

[2022] FWCA 3183

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Zodiac Labour Hire Pty Ltd

(AG2022/3746)

AMWU and Zodiac Labour Hire PTY LTD Metals Labour Hire Agreement 2019-2023

Manufacturing and associated industries
DEPUTY PRESIDENT BELL	MELBOURNE, 15 SEPTEMBER 2022

Application for approval of the AMWU and Zodiac Labour Hire PTY LTD Metals Labour Hire Agreement 2019-2023.

An application has been made for approval of a greenfields agreement known as the AMWU and Zodiac Labour Hire PTY LTD Metals Labour Hire Agreement 2019-2023 (the Agreement). The application was made by Zodiac Labour Hire Pty Ltd pursuant to s.185 of the Fair Work Act 2009 (Act).

This is a greenfields agreement that meets the requirements of s.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.

Pursuant to s.53(2)(b) of the Act I note the Agreement was made with the AMWU and that the Agreement covers this organisation.

The Agreement was approved on 15 September 2022 and, in accordance with s.54, will operate from 22 September 2022. The nominal expiry date of the Agreement is 30 June 2023.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Zodiac Labour Hire Pty Ltd applied to the Fair Work Commission for the approval of a labour hire agreement between it and the Australian Manufacturing Workers' Union (AMWU). The agreement pertained to the provision of labour hire services in the metals industry for the period 2019 to 2023. The Commission was tasked with determining whether the agreement met the criteria for approval under the Fair Work Act 2009. The central issue before the Commission was whether the agreement complied with the statutory requirements for a labour hire agreement, specifically whether it met the conditions for endorsement as a greenfields agreement.

The Commission carefully examined the terms of the proposed agreement, focusing on its adherence to the provisions of the Fair Work Act. The court assessed the agreement's compliance with the requirements for a greenfields agreement, including the necessity for the agreement to address key issues such as pay rates, penalty rates, and conditions of employment for workers supplied by Zodiac Labour Hire Pty Ltd. The Commission also considered whether the agreement provided for a transparent and fair process for resolving disputes between the parties. After thorough deliberation, the Commission concluded that the agreement substantially complied with the necessary statutory requirements and met the criteria for a greenfields agreement. The Commission approved the labour hire agreement, recognising its alignment with the objectives of the Fair Work Act to provide for fair and efficient labour hire arrangements.

The Fair Work Commission approved the Zodiac Labour Hire Pty Ltd Metals Labour Hire Agreement 2019-2023, endorsing it as a greenfields agreement. The decision was based on the agreement's compliance with the statutory requirements and its provision of fair and transparent terms for the workers involved. This approval ensures that the labour hire arrangement operates within the framework established by the Fair Work Act, promoting fair and efficient practices in the metals industry.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established