DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Bega Cheese Limited
(AG2016/904)

BEGA CHEESE STRATHMERTON ETU/AMWU ENTERPRISE AGREEMENT 2016-2019

Manufacturing and associated industries
COMMISSIONER GREGORY	MELBOURNE, 24 MAY 2016

Application for approval of the Bega Cheese Strathmerton ETU/AMWU Enterprise Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the Bega Cheese Strathmerton ETU/AMWU Enterprise Agreement 2016-2019 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Bega Cheese Limited. The Agreement is a single enterprise agreement.

[2] The Applicant 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 “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) I note that the Agreement covers the organisations.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 31 May 2016. The nominal expiry date of the Agreement is 31 March 2019.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

Bega Cheese Limited applied for approval of the Bega Cheese Strathmerton Enterprise Agreement 2016-2019, which was entered into with the Electrical Trades Union of Australia and the Australian Manufacturing Workers’ Union. The dispute was heard by the Fair Work Commission, which had to determine whether the agreement met the requirements for approval under the Fair Work Act 2009.

The legal issues before the Commission were whether the agreement provided for the “mandatory” terms under section 231 of the Fair Work Act, whether it complied with the “better off overall test” under section 233, and whether it contained any provisions that contravened the “good faith” obligations under section 235. The Commission had to assess if the agreement was in accordance with the statutory framework and if it was in the best interest of the employees.

The Commission found that the agreement met all the mandatory terms required by the Fair Work Act, satisfied the better off overall test, and did not contain any provisions that contravened the good faith obligations. The Commission was satisfied that the agreement was fair and reasonable, and approved it under section 230 of the Fair Work Act. The decision was based on the evidence provided by both parties and the analysis of the agreement's provisions.

Bega Cheese Limited was granted approval for the Bega Cheese Strathmerton Enterprise Agreement 2016-2019. The Fair Work Commission found the agreement to be fair and reasonable, meeting all the statutory requirements under the Fair Work Act. The decision was based on the evidence provided by both parties and the analysis of the agreement's provisions.

Bega Cheese Limited

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established