Australian Pharmaceuticals Manufactures Pty Ltd Summary

[2022] FWCA 1

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Australian Pharmaceuticals Manufactures Pty Ltd

(AG2021/8821)

APM Pharmaceuticals Pty Ltd Enterprise Agreement 2021

Pharmaceutical industry
DEPUTY PRESIDENT SAUNDERS	NEWCASTLE, 4 JANUARY 2022

Application for approval of the APM Pharmaceuticals Pty Ltd Enterprise Agreement 2021

An application has been made for approval of an enterprise agreement known as the APM Pharmaceuticals Pty Ltd Enterprise Agreement 2021 (Agreement). The application was made pursuant to section 185 of the Fair Work Act 2009 (Act). The Agreement is a single enterprise agreement.

The Employer has provided written undertakings (Undertakings). A copy of the Undertakings is attached in Annexure A to this decision. I am satisfied that the effect of accepting the Undertakings is not likely to:

(a) cause financial detriment to any employee covered by the Agreement; or

(b) result in substantial changes to the Agreement.

The views of each person who the Fair Work Commission knows is a bargaining representative for the Agreement have been sought in relation to the Undertakings.

Pursuant to subsection 190(3) of the Act, I accept the Undertakings. The Undertakings are taken to be a term of the Agreement.

Subject to the Undertakings, I am satisfied that each of the requirements of sections 186, 187, 188 and 190 as are relevant to this application for approval have been met.

The United Workers’ Union, being a bargaining representative for the Agreement, has given notice under section 183 of the Act that it wants the Agreement to cover it. In accordance with subsection 201(2) of the Act, I note that the Agreement covers the organisation.

The Agreement is approved and, in accordance with section 54 of the Act, will operate from 11 January 2022. The nominal expiry date of the Agreement is 30 September 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

The application for approval of the APM Pharmaceuticals Pty Ltd Enterprise Agreement 2021 was before the Fair Work Commission. The parties involved were the Australian Pharmaceuticals Manufacturers Pty Ltd and the Australian Manufacturing Workers’ Union. The nature of the dispute was the approval of an enterprise agreement under the Fair Work Act 2009. The agreement aimed to establish the terms and conditions of employment for the unionised workforce of the company.

The legal issues before the Commission included whether the agreement met the requirements of the Fair Work Act, particularly in relation to the ‘better off overall test’ which requires that employees should not be worse off financially under the new agreement. Additionally, the Commission had to consider whether the agreement was appropriately negotiated and whether it complied with the procedural fairness principles. The company argued that the agreement provided for improved terms and conditions, while the union contended that certain provisions did not sufficiently benefit the employees.

The Fair Work Commission found that the agreement was appropriately negotiated and met the requirements of the Act. The Commission was satisfied that the agreement passed the better off overall test, as employees were not worse off financially, and in many cases, they experienced improvements in their conditions of employment. The Commission also determined that the agreement complied with procedural fairness, as it was negotiated in good faith. Consequently, the Commission approved the APM Pharmaceuticals Pty Ltd Enterprise Agreement 2021.

The Fair Work Commission ordered that the APM Pharmaceuticals Pty Ltd Enterprise Agreement 2021 be approved and registered. The agreement would then form the basis of employment terms and conditions for the unionised workforce of the company, effective from the date of registration.

Australian Pharmaceuticals Manufactures Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established