DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Adventum Nominees Pty Ltd T/A Gulf Coast Agricultural Company
(AG2021/4709)

GULF COAST AGRICULTURAL COMPANY ENTERPRISE AGREEMENT 2021

Agricultural industry
COMMISSIONER LEE	MELBOURNE, 3 MAY 2021

Application for approval of the Gulf Coast Agricultural Company Enterprise Agreement 2021.

[1] An application has been made for approval of an enterprise agreement known as the Gulf Coast Agricultural Company Enterprise Agreement 2021 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Adventum Nominees Pty Ltd T/A Gulf Coast Agricultural Company. The Agreement is a single enterprise agreement.

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

[3] 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.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] I observe that the following provisions are likely to be inconsistent with the National Employment Standards (NES):

• Clause 14.2.4(b) – Annual Leave;

• Clause 14.3.8 – Personal/Carer’s Leave; and

• Clause 14.4.5 – Compassionate Leave.

However, noting the written undertaking provided by the Employer, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 10 May 2021. The nominal expiry date of the Agreement is 2 May 2025.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Adventum Nominees Pty Ltd, trading as Gulf Coast Agricultural Company, sought approval of the Gulf Coast Agricultural Company Enterprise Agreement 2021. This agreement aimed to regulate the terms and conditions of employment for the company's workers. The application was heard by the Fair Work Commission, which is tasked with the responsibility of approving enterprise agreements under the Fair Work Act 2009. The dispute centred on whether the agreement met the legal criteria for approval, particularly whether it provided a safety net for workers and complied with procedural requirements.

The central legal issues before the Commission were whether the agreement satisfied the statutory prerequisites for approval, including the need to provide a safety net of minimum terms and conditions, and whether the proper procedures for the agreement's creation had been followed. The Commission also had to consider if the agreement met the "better off overall test," which requires that the majority of employees who are covered by the agreement are not worse off than they would be under the applicable award or safety net provisions. Additionally, the Commission needed to examine whether the agreement had been fairly and properly negotiated and whether it complied with the procedural requirements set out in the Fair Work Act.

In its reasoning, the Commission determined that the agreement did provide a safety net of minimum terms and conditions that were not less favourable than those provided by the applicable award. It was satisfied that the agreement had been fairly and properly negotiated and that all procedural requirements had been met. The Commission found that the majority of employees who were covered by the agreement were not worse off overall, thus satisfying the better off overall test. Consequently, the Commission approved the Gulf Coast Agricultural Company Enterprise Agreement 2021, confirming that it met all the necessary legal criteria for approval.

Adventum Nominees Pty Ltd T/A Gulf Coast Agricultural Company

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established