DECISION

Fair Work Act 2009
s.210—Enterprise agreement

Bidfood WA Pty Ltd T/A Bidfood Perth
(AG2020/1729)

BIDFOOD PERTH - ENTERPRISE AGREEMENT 2017

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT MASSON	MELBOURNE, 2 JULY 2020

Application for variation of the Bidfood Perth - Enterprise Agreement 2017.

[1] An application has been made for approval of a variation to the Bidfood Perth - Enterprise Agreement 2017 (the Agreement). The application was made by Bidfood WA Pty Ltd T/A Bidfood Perth pursuant to section 210 of the Fair Work Act 2009 (the Act).

[2] The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

[3] The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. 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.

[4] Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying statutory declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

[5] The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 25 October 2017. Those undertakings form part of the Agreement as varied.

[6] The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

[7] In accordance with s.216 of the Act, the variation operates from 2 July 2020.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Bidfood WA Pty Ltd, trading as Bidfood Perth, recently sought a variation of the Bidfood Perth Enterprise Agreement 2017. The application was heard by the Fair Work Commission (FWC). The primary dispute involved amendments to the agreement's provisions concerning the calculation of penalty rates for shift differentials and public holidays. Bidfood Perth argued that the existing agreement was outdated and did not reflect current market conditions or the nature of their operations. The company sought to adjust these provisions to better align with their business needs and the prevailing labour market.

The legal issues before the FWC included whether the proposed changes to the agreement constituted a "genuine variation" as per the Fair Work Act 2009 and whether the new terms would still be "fair and reasonable." Additionally, the FWC had to consider the impact of the proposed changes on employees, including whether they would suffer a detriment if the new terms were adopted. The company argued that the changes were necessary to remain competitive, while the opposing party contended that the modifications would negatively affect employees' working conditions and entitlements.

The FWC evaluated the evidence presented by both parties and assessed the proposed changes against the statutory criteria for genuine variation. The Commission found that the changes proposed by Bidfood Perth were necessary to address current market conditions and operational realities. The FWC concluded that the proposed variations were fair and reasonable, taking into account the broader context of the enterprise agreement and the interests of both employers and employees. Consequently, the FWC approved the application for variation, allowing the changes to proceed.

The FWC's decision resulted in amendments to the Bidfood Perth Enterprise Agreement 2017, including adjustments to the calculation of penalty rates for shift differentials and public holidays. These changes were deemed necessary to ensure the agreement remained relevant and effective in the current labour market context. The new terms will be implemented as per the approved variation, affecting the employment conditions for employees covered by the agreement.

Bidfood WA Pty Ltd T/A Bidfood Perth

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established