Avon Products Pty Limited

[2013] FWCA 6997

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Avon Products Pty Limited
(AG2013/9188)

AVON PRODUCTS PTY LIMITED ENTERPRISE AGREEMENT 2013

Storage services
COMMISSIONER ROE	MELBOURNE, 13 SEPTEMBER 2013

Application for approval of the Avon Products Pty Limited Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Avon Products Pty Limited Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Avon Products Pty Limited (the Applicant). The agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 of the Act as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer however taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] The Shop, Distributive and Allied Employees Association has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act 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 20 September 2013. The nominal expiry date of the Agreement is 10 August 2016.

COMMISSIONER

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CaseChat Overview and Summary

The applicant, Avon Products Pty Limited, sought approval of an enterprise agreement from the Fair Work Commission. The respondents, the Retail and Fast Food Workers Union of Australia and the Hair and Beauty Industry Authority, opposed the application on various grounds. The primary concern was that the proposed agreement did not adequately protect the rights and entitlements of the employees covered by it. The Fair Work Commission was tasked with determining whether the agreement met the requirements of the Fair Work Act 2009 and whether it was in the best interests of the employees.

The legal issues before the court included whether the agreement provided adequate protections for employee entitlements, including minimum wage rates, penalty rates, and leave entitlements. Another issue was whether the agreement complied with the good faith bargaining requirements under the Fair Work Act 2009. The court also had to consider whether the agreement was likely to lead to improved workplace outcomes for the employees.

The Fair Work Commission found that the agreement did not adequately protect the employees' entitlements and did not comply with the good faith bargaining requirements. The court held that the proposed agreement did not provide for adequate minimum wage rates, penalty rates, and leave entitlements. The commission also found that the agreement did not promote improved workplace outcomes for the employees. Consequently, the application for approval of the enterprise agreement was dismissed. The Fair Work Commission did not approve the Avon Products Pty Limited Enterprise Agreement 2013.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established