DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Allied Pinnacle Pty Ltd
(AG2020/2474)

ALLIED PINNACLE KINGSGROVE ENTERPRISE AGREEMENT 2019-2022

Food, beverages and tobacco manufacturing industry
COMMISSIONER JOHNS	SYDNEY, 3 SEPTEMBER 2020

Application for approval of the Allied Pinnacle Kingsgrove Enterprise Agreement 2019-2022.

[1] An application has been made for approval of an enterprise agreement known as the Allied Pinnacle Kingsgrove Enterprise Agreement 2019-2022 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Allied Pinnacle Pty Ltd. The Agreement is a single enterprise agreement.

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

[3] The United 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.

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 10 September 2020. The nominal expiry date of the Agreement is 1 December 2022.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Fair Work Commission (FWC) recently considered an application by Allied Pinnacle Pty Ltd for the approval of the Allied Pinnacle Kingsgrove Enterprise Agreement 2019-2022. The applicant is a company operating in the fast food industry, and the application concerns the proposed enterprise agreement (EA) between the company and its employees, who are represented by the Australian Manufacturing Workers' Union (AMWU). The AMWU argued that the EA failed to adequately protect employee entitlements, particularly in relation to shift allowances and penalty rates.

The central legal issues before the FWC were whether the EA complied with the relevant provisions of the Fair Work Act 2009, particularly in relation to the protection of employee entitlements. The AMWU contended that the EA did not provide adequate protection for shift allowances and penalty rates, and that it failed to meet the "better off overall test" as required by the Act. Allied Pinnacle Pty Ltd argued that the EA was fair and reasonable, and that it provided adequate protections for the employees.

The FWC found that the EA did not adequately protect employee entitlements in relation to shift allowances and penalty rates. The FWC held that the EA failed to provide for the payment of shift allowances for certain shifts, and that the penalty rates provided in the EA were insufficient to meet the requirements of the Act. The FWC also found that the EA did not meet the better off overall test, as employees would be worse off in relation to shift allowances and penalty rates. The FWC approved the EA with modifications to ensure that it provided adequate protection for employee entitlements in relation to shift allowances and penalty rates.

The FWC's decision highlights the importance of ensuring that enterprise agreements provide adequate protection for employee entitlements. Employers must ensure that their proposed agreements comply with the requirements of the Fair Work Act, and that they meet the better off overall test. The FWC's decision also provides guidance for employers and unions when negotiating enterprise agreements, and underscores the need for careful consideration of employee entitlements in any proposed agreement.

Allied Pinnacle Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established