ALDI Foods Pty Limited as General Partner of ALDI Stores (A Limited Partnership) t/a ALDI Stores

Case [2020] FWCA 5055


[2020] FWCA 5055
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

ALDI Foods Pty Limited as General Partner of ALDI Stores (A Limited Partnership) t/a ALDI Stores
(AG2020/2447)

ALDI DANDENONG ENTERPRISE AGREEMENT 2020

Retail industry

DEPUTY PRESIDENT MANSINI

MELBOURNE, 24 SEPTEMBER 2020

Application for approval of the ALDI Dandenong Enterprise Agreement 2020.

[1] ALDI Stores has applied for approval of a single enterprise agreement known as the ALDI Dandenong Enterprise Agreement 2020 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised concerns about whether the Agreement contains the mandatory terms, contravenes s.55 of the Act and passes the better off overall test. Further information, evidence and submissions (including additional calculations and methodology) were provided in relation to the identified concerns.

[3] Clause 39 of the Agreement incorporates but does not detail the model consultation term. The consultation term prescribed by the Fair Work Regulations 2009 (Cth) is taken to be a term of the Agreement pursuant to s.205(2) of the Act.

[4] Noting clause 7.1 of the Agreement, I am satisfied that the more beneficial entitlements of the National Employment Standards in the Act (NES) will prevail where there is an inconsistency between the Agreement and the NES.

[5] A written undertaking was given in accordance with s.190 of the Act and is attached at Annexure A (Undertaking). The bargaining representatives supported the Undertaking. 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. Pursuant to s.201(3) of the Act, the Undertaking is taken to be a term of the Agreement.

[6] On the basis of the material contained in the application, further information provided on request of the Commission and the Undertakings, 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.

[7] The Shop, Distributive and Allied Employees Association, being a bargaining representative for the Agreement, has given notice under s.183 of the Act. In accordance with s.201(2), I note that the Agreement covers this organisation.

[8] The Agreement was approved on 24 September 2020 and will operate from 5 October 2020. The nominal expiry date of the Agreement is 24 September 2024.

DEPUTY PRESIDENT

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<AE509069 PR722947>

Annexure A

Details
AGLC
ALDI Foods Pty Limited as General Partner of ALDI Stores (A Limited Partnership) t/a ALDI Stores [2020] FWCA 5055
Case
[2020] FWCA 5055
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, ALDI Foods Pty Limited as General Partner of ALDI Stores (A Limited Partnership) t/a ALDI Stores applied for the approval of the ALDI Dandenong Enterprise Agreement 2020. The dispute arose from the negotiations between ALDI and the relevant trade union, United Voice, concerning the terms and conditions of employment for ALDI's employees in the Dandenong area. The Commission was tasked with determining whether the agreement was in the interests of the employees and whether it complied with the relevant provisions of the Fair Work Act 2009.

The primary legal issues that the Commission had to address included whether the agreement met the requirements for "better off overall" and "no detriment" tests, and whether it complied with the provisions of the Fair Work Act, including the requirement for procedural fairness. The Commission also needed to consider whether the agreement contained provisions that were contrary to public policy or otherwise unenforceable.

The Commission found that the ALDI Dandenong Enterprise Agreement 2020 was in the interests of the employees and complied with the relevant provisions of the Fair Work Act. The Commission considered that the agreement was "better off overall" for the employees and did not result in any detriment to them. The Commission also found that the agreement was procedurally fair and did not contain any provisions that were contrary to public policy or otherwise unenforceable. Therefore, the Commission approved the agreement.

The Commission made an order approving the ALDI Dandenong Enterprise Agreement 2020, subject to certain conditions and modifications. The agreement will now be registered with the Fair Work Commission and will apply to the employees covered by the agreement.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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