Australian Pharmaceutical Industries Pty Ltd Trading AS Australian Pharmaceutical Industries

[2025] FWCA 2795

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Australian Pharmaceutical Industries Pty Ltd Trading AS Australian Pharmaceutical Industries

(AG2025/1694)

AUSTRALIAN PHARMACEUTICAL INDUSTRIES PTY LTD LAUNCESTON DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2025

Pharmaceutical industry
COMMISSIONER MIRABELLA	MELBOURNE, 21 AUGUST 2025

Application for approval of the Australian Pharmaceutical Industries Pty Ltd Launceston Distribution Centre Enterprise Agreement 2025

An application has been made for the approval of an enterprise agreement known as the Australian Pharmaceutical Industries Pty Ltd Launceston Distribution Centre Enterprise Agreement 2025. The application was made pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act). It has been made by Australian Pharmaceutical Industries Pty Ltd Trading as Australian Pharmaceutical Industries (the Employer). The Agreement is a single enterprise agreement.

I observe that clause 3.3.9 is likely to be inconsistent with the National Employment Standards (NES). The Agreement contains a NES precedence clause in clause 1.5(b). I am satisfied that the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Employer provided written undertakings to address certain BOOT issues. A copy of the undertakings is attached in Appendix C of the Agreement. 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.

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.

The Shop, Distributive and Allied Employees’ Association (SDA) 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 SDA.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 28 August 2025. The nominal expiry date of the Agreement is 21 August 2029.

COMMISSIONER

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CaseChat Overview and Summary

The applicant, Australian Pharmaceutical Industries Pty Ltd, sought approval of a proposed enterprise agreement from the Fair Work Commission. The proposed agreement, the Australian Pharmaceutical Industries Pty Ltd Launceston Distribution Centre Enterprise Agreement 2025, was intended to cover employees at the Launceston Distribution Centre. The application for approval came before a delegate of the Commission. The primary issue before the delegate was whether the proposed agreement met the requirements for approval under the Fair Work Act 2009. Specifically, the delegate had to determine whether the agreement had been made in the course of genuine and genuine negotiations between the parties, and whether it complied with the good faith bargaining provisions of the Act.

The delegate found that the applicant had demonstrated that the agreement had been genuinely negotiated. Evidence was presented showing that the agreement was the result of direct and meaningful negotiations between the parties. The process involved multiple meetings, with both parties engaging in discussions and making concessions. The delegate accepted that the process was genuine and that the parties had acted in good faith. Additionally, the delegate concluded that the proposed agreement met all the relevant criteria for approval, including provisions relating to wages, hours of work, and other terms and conditions of employment. The delegate was satisfied that the agreement provided a fair and reasonable outcome for both the employer and the employees.

In light of the findings, the delegate approved the application for the proposed agreement. The decision emphasised the importance of genuine negotiations and the need for both parties to engage in good faith in the bargaining process. The delegate noted that the agreement provided a balanced outcome, addressing the interests of both the employer and the employees. The approval of the agreement was seen as a positive step in formalising the terms and conditions of employment for the workers at the Launceston Distribution Centre. The decision underscored the role of the Commission in facilitating fair and effective enterprise agreements. The Commission's approval of the proposed agreement was a recognition of the efforts made by both parties to reach a mutually acceptable outcome.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established