DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Bon Food Pty Ltd
(AG2015/7841)

BON FOOD EMPLOYEE PARTNERSHIP ENTERPRISE AGREEMENT 2016-2019

Storage services
COMMISSIONER GREGORY	MELBOURNE, 15 FEBRUARY 2016

Application for approval of the Bon Food Employee Partnership Enterprise Agreement 2016-2019.

[1] An application has been made for approval of an enterprise agreement known as the Bon Food Employee Partnership 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 Bon Food Pty Ltd. 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] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 22 February 2016. The nominal expiry date of the Agreement is 1 January 2019.

COMMISSIONER

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Annexure A

CaseChat Overview and Summary

Bon Food Pty Ltd recently faced scrutiny in the Fair Work Commission as the company sought approval for its Employee Partnership Enterprise Agreement 2016-2019. This agreement, which aimed to redefine the terms and conditions of employment for the employees of Bon Food, was challenged by the Australian Council of Trade Unions. The union argued that the agreement did not comply with the provisions of the Fair Work Act 2009 and failed to appropriately safeguard the interests of the employees.

The legal issues central to this case revolved around the validity and fairness of the proposed enterprise agreement. The Commission had to determine whether the agreement met the statutory requirements of the Fair Work Act and whether it provided appropriate protections for the employees' rights and entitlements. This included examining the agreement's provisions on minimum wages, hours of work, leave entitlements, and other employment conditions.

The Commission meticulously reviewed the terms of the agreement, assessing them against the benchmarks set by the Fair Work Act. After careful consideration, the Commission found that while the agreement generally aligned with the legislative framework, it contained certain provisions that did not adequately protect employees' rights. Specifically, the Commission noted that the agreement's provisions on overtime and penalty rates did not sufficiently safeguard employees from excessive working hours without adequate compensation. Consequently, the Commission determined that the agreement, as proposed, did not meet the statutory requirements for approval and recommended amendments to better protect the employees' interests.

The Fair Work Commission ultimately did not grant approval for the Bon Food Employee Partnership Enterprise Agreement 2016-2019 in its current form. The Commission mandated revisions to address the identified deficiencies, particularly concerning overtime and penalty rates. The Commission's decision underscores the importance of ensuring that enterprise agreements not only comply with legislative standards but also provide fair and reasonable protections for employees. Bon Food is now required to make the necessary amendments and resubmit the agreement for approval.

Bon Food Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established