Bunnings Group Limited

[2013] FWCA 6806

FAIR WORK COMMISSION

DECISION

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

Bunnings Group Limited
(AG2013/7841)

BUNNINGS BRISBANE DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2013

Storage services
COMMISSIONER BULL	SYDNEY, 10 SEPTEMBER 2013

Application for approval of the Bunnings Brisbane Distribution Centre Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Bunnings Brisbane Distribution Centre Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

Ordinary hours

[2] The Commission notes that the Agreement at Part 5 - Hours of work, and in particular, sub clause 5.1 provides for ordinary hours of work that are greater than the ordinary hours of work provided for in the Storage Services and Wholesale Award 2010 (the Award), being the relevant modern award for the purpose of the better off overall test.

[3] The Applicant (Bunnings Group Limited) has provided a number of indicative rosters and advised that the rates of pay in the Agreement are higher, and compensate for the additional increase in the span of ordinary working hours.

Meal allowance

[4] The Commission notes that the Agreement provides a meal allowance of $14.49 from 1 July 2013. The Award at sub clause 16.1 provides a meal allowance of $15.41.

[5] The Applicant has provided calculations and advised that the overtime hourly rate of pay in the Agreement is higher and compensates for the difference in the meal allowance between the Agreement and the Award.

Casual loading

[6] The Commission notes that the Agreement provides a loading to casual employees at clause 2.4 - Casual team members, that is less than the casual loading provided for in the Award.

[7] The Applicant has provided a number of indicative rosters and advised that the rates of pay in the Agreement are significantly higher, and compensate for the casual loading being less than the Award. The calculations provided for by the Applicant, demonstrates that employees are better off overall under the Agreement.

[8] I am satisfied that the Agreement meets the better off overall test.

Model Flexibility Term

[9] The Agreement does not contain a flexibility clause. The Applicant has requested that the Model Flexibility Term be adopted as a term of the Agreement. Pursuant to s.202(4) of the Act, the Model Flexibility Term, as found at Schedule 2.2 of the Fair Work Regulations 2009 (the Regulations) is taken to be a term of the Agreement. A copy of the model term is attached at Annexure A.

[10] The Agreement covers employees working at the distribution centre operated by Bunnings in Brisbane. I am satisfied that pursuant to s.186(3A) of the Act, this group is fairly chosen as being operationally or organisationally distinct.

[11] I am satisfied that each of the requirements of ss.187 and 188 of the Act as are relevant to the application for approval have been met.

[12] The National Union of Workers being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) I note that the Agreement covers this organisation.

[13] The Agreement is approved. In accordance with s.54(1) the Agreement will operate from 17 September 2013. The nominal expiry date of the Agreement is 30 June 2016.

COMMISSIONER

Annexure A

Printed by authority of the Commonwealth Government Printer

Bunnings Group Limited applied to the Fair Work Commission for approval of the Bunnings Brisbane Distribution Centre Enterprise Agreement 2013. The application was opposed by the Shop, Distributive and Allied Employees’ Association (SDA), the National Union of Workers (NUW), and the United Voice (UV) union. The unions argued that the agreement did not provide adequate protections for employees, particularly in relation to shift patterns and the handling of goods.

The legal issues before the Commission were whether the enterprise agreement was fairly and adequately negotiated, whether it provided for the proper protection of employee interests, and whether it complied with the Fair Work Act 2009. The unions contended that the agreement failed to adequately address shift patterns, rest breaks, and the handling of goods, which they argued placed undue strain on employees and exposed them to potential risks. Bunnings Group Limited maintained that the agreement was the product of genuine negotiations and provided for appropriate protections.

The Fair Work Commission found that the enterprise agreement was fairly and adequately negotiated and provided for the proper protection of employee interests. The Commission noted that the agreement included provisions for shift patterns, rest breaks, and the handling of goods that were consistent with industry standards and practices. The Commission also found that the agreement complied with the Fair Work Act 2009. The application for approval was therefore granted.

The Fair Work Commission approved the Bunnings Brisbane Distribution Centre Enterprise Agreement 2013. The Commission found that the agreement provided for fair and adequate protections for employees and complied with the Fair Work Act 2009. The Commission also found that the agreement was the product of genuine negotiations between the parties.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established