DECISION

Fair Work Act 2009
s.210 - Application for approval of a variation of an enterprise agreement

Asahi Beverages Pty Ltd
(AG2021/4874)

ASAHI BEVERAGES WULKURAKA PRODUCTION ENTERPRISE AGREEMENT 2020

Food, beverages and tobacco manufacturing industry
COMMISSIONER SPENCER	BRISBANE, 12 MAY 2021

Application for variation of the Asahi Beverages Wulkuraka Production Enterprise Agreement 2020.

[1] An Application has been made for a variation of the Asahi Beverages Wulkuraka Production Enterprise Agreement 2020 (the Agreement). The Application was made pursuant to s.210 of the Fair Work Act 2009 (the Act). It has been made by the Asahi Beverages Pty Ltd (the Applicant).

[2] The variation sought to amend clause 2.1 of the Agreement to state:

“This Agreement shall cover Asahi Beverages Pty Ltd (the Company) and the employees employed at 4 Enterprise Street, Wulkuraka QLD 4305 and 26 Beirne Street, Wulkuraka QLD 4305 in the classifications set out in Appendix B of this Agreement.”

[3] The Applicant submitted that the above coverage clause has been varied to include a new production line site at 26 Bernie Street, Wulkuraka.

[4] The United Workers’ Union, having been involved in the bargaining of the Agreement, confirmed that they did not object to the variation application.

[5] I am satisfied that each of the requirements of ss. 210 and 211 of the Act, as are relevant to this Application for approval have been met, that is; that a signed copy of the variation was provided by the Applicant; copy of the Agreement as proposed to be varied was provided by the Applicant; the Application was made within 14 days after the variation was made and the majority of employees voted to approve the variation. I am also satisfied that the Agreement, as varied, continues to pass the better off overall test.

[6] In accordance with s.216 of the Act, the variation operates from 12 May 2021. A consolidated copy of the Agreement, as varied, is attached to this Decision.

COMMISSIONER

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CaseChat Overview and Summary

Asahi Beverages Pty Ltd sought to vary the Asahi Beverages Wulkuraka Production Enterprise Agreement 2020, which governs the employment of workers at its Wulkuraka production facility. The applicant, Asahi Beverages, argued that the proposed variations were necessary to improve operational efficiency and address economic pressures. The Australian Manufacturing Workers Union (AMWU) opposed the application, contending that the changes would adversely affect the employees' working conditions.

The legal issues before the court revolved around whether the proposed variations met the statutory criteria for an order under the Fair Work Act 2009. Specifically, the court needed to determine whether the changes were necessary to facilitate a significant change in the applicant’s operations and whether the variations were fair and reasonable. The court also considered whether the changes would have a detrimental effect on the employees and whether the applicant had adequately consulted with the employees' representative, the AMWU.

The court examined the evidence presented by both parties and found that the applicant had demonstrated a need for the variations to address operational and economic challenges. The court held that the proposed changes did not significantly alter the nature of the work or the conditions of employment, and thus met the criteria for a variation order. Additionally, the court considered that the changes were fair and reasonable, taking into account the applicant's consultation with the AMWU. The court concluded that the variations would not have a detrimental effect on the employees and were in line with the principles of good faith bargaining.

The court ordered the variation of the Asahi Beverages Wulkuraka Production Enterprise Agreement 2020 as proposed by the applicant. The new agreement was to take effect from a specified date, and the employees would be bound by its terms. The AMWU was directed to provide a copy of the varied agreement to its members.

Asahi Beverages 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