DERWENT INDUSTRIES PTY LTD HOBART DIVISION ENTERPRISE AGREEMENT 2025

Application for approval of the Derwent Industries Pty Ltd Hobart Division Enterprise Agreement 2025

[1] Derwent Industries Pty Ltd (the Employer) has made an application, pursuant to s.185 of the Fair Work Act 2009 (the Act), for approval of a single enterprise agreement known as the Derwent Industries Pty Ltd Hobart Division Enterprise Agreement 2025 (the Agreement).

[2] The Australian Workers' 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.

[3] Under s.205A(2), the workplace delegates' rights term in Clause 40A of the Manufacturing and Associated Industries and Occupations Award 2020 (the Award) is taken to be a term of the Agreement.

[4] The Agreement makes reference to apprentices and trainees but does not include rates of pay for apprentices and trainees, so I was unable to apply the better off overall test (BOOT) to this group of employees. The Employer provided submissions clarifying that Trainee Leading Hands are paid the equivalent of C13. Otherwise, trainees and apprentices are not covered by the Agreement. I accept these submissions, and find (that with the exception of Trainee Leading Hands who are better off under the Agreement) it not reasonably foreseeable that trainees and apprentices will be covered by the Agreement, and therefore I am not required to apply the BOOT to this group of employees.

[5] I raised a BOOT concern that the Agreement was silent on some allowances contained in clause 30 of the Award, and the rates of pay for employees engaged at Level 1 may not be high enough to compensate. The Employer provided submissions that only Foundry Allowance was relevant in relation to Level 1 employees and provided an undertaking increasing the Level 1 rate to address this BOOT concern.

[6] A copy of the undertaking is attached in Annexure A. I am satisfied that the undertaking will not cause financial detriment to any employee covered by the Agreement and that the undertaking will not result in substantial changes to the Agreement. The undertaking is taken to be a term of the agreement.

[7] Subject to 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.

[8] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 7 November 2025. The nominal expiry date of the Agreement is 30 June 2028.

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