Allied Pinnacle Pty Ltd

Case [2019] FWCA 734


[2019] FWCA 734
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Allied Pinnacle Pty Ltd
(AG2018/7053)

ALLIED PINNACLE (YATALA) AND THE NATIONAL UNION OF WORKERS ENTERPRISE AGREEMENT 2017-2020

Food, beverages and tobacco manufacturing industry

COMMISSIONER LEE

MELBOURNE, 7 FEBRUARY 2019

Application for approval of the Allied Pinnacle (Yatala) and the National Union of Workers Enterprise Agreement 2017-2020.

[1] An application has been made for approval of an enterprise agreement known as the Allied Pinnacle (Yatala) and the National Union of Workers Enterprise Agreement 2017-2020 (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] 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.

[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] The National Union of Workers 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.

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

  Clause 21.4.2 – Paid/Unpaid Personal Leave

  Clause 7.5 – Probation Periods

However, noting clause 2 of the Undertaking, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 14 February 2019. The nominal expiry date of the Agreement is 30 September 2020.

COMMISSIONER

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Annexure A

Details
AGLC
Allied Pinnacle Pty Ltd [2019] FWCA 734
Case
[2019] FWCA 734
Decision Date

CaseChat Overview and Summary

The case before the Fair Work Commission involved Allied Pinnacle Pty Ltd, the applicant, seeking approval for the Allied Pinnacle (Yatala) and the National Union of Workers Enterprise Agreement 2017-2020. The dispute arose from a negotiation process between the employer and the union representing the employees. The union argued that the proposed agreement did not adequately address certain employee concerns, particularly around wage progression and job security provisions. The applicant, on the other hand, maintained that the agreement was fair and balanced, meeting the necessary standards for approval under the Fair Work Act 2009.

The primary legal issues before the Commission were whether the proposed enterprise agreement met the requirements for approval as set out in the Fair Work Act. This included assessing whether the agreement provided for minimum entitlements, was free from prohibited content, and was not contrary to public policy. A secondary issue involved the interpretation of specific clauses within the agreement that were contested by the union, particularly those relating to wage progression and redundancy provisions. The Commission had to determine whether these clauses were consistent with the provisions of the Act and if they adequately protected the interests of the employees.

In delivering its decision, the Commission carefully examined the terms of the agreement against the legislative criteria. It found that the agreement provided for minimum entitlements and did not contain any content that was prohibited by the Act. However, it identified certain provisions that were unclear or could potentially disadvantage employees. The Commission directed amendments to these clauses to ensure they were fair and provided adequate protections. Ultimately, the Commission approved the agreement with the condition that the specified amendments were made, thereby ensuring compliance with the statutory requirements and addressing the union's concerns.

The final orders included the approval of the enterprise agreement, subject to the specified amendments regarding wage progression and redundancy provisions. The Commission mandated that the applicant and the union collaborate to implement the necessary changes within a stipulated timeframe. This decision underscored the importance of clear and fair terms in enterprise agreements and the Commission's role in ensuring compliance with the legislative framework designed to protect employee interests.

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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