Capitol Chilled Foods (Australia) Pty Ltd

Case [2015] FWCA 5471


[2015] FWCA 5471
FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185—Enterprise agreement

Capitol Chilled Foods (Australia) Pty Ltd
(AG2015/3416)

CAPITOL CHILLED FOODS (AUSTRALIA) PTY LIMITED, A.C.T. EMPLOYEES WORKPLACE AGREEMENT 2015

Australian Capital Territory

DEPUTY PRESIDENT KOVACIC

CANBERRA, 12 AUGUST 2015

Application for approval of the CAPITOL CHILLED FOODS (AUSTRALIA) PTY LIMITED, A.C.T. Employees Workplace Agreement 2015.

[1] An application has been made for approval of an enterprise agreement known as the CAPITOL CHILLED FOODS (AUSTRALIA) PTY LIMITED, A.C.T. Employees Workplace Agreement 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Capitol Chilled Foods (Australia) Pty Ltd. The Agreement is a single enterprise agreement.

[2] Subject to concerns that have been addressed by way of undertakings, 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.

[3] As noted, pursuant to s.190(3), I have accepted undertakings from Capitol Chilled Foods (Australia) Pty Ltd. In accordance with s.191(1) of the Act the undertakings are taken to be a term of the Agreement. A copy of the undertakings are attached to this decision.

[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 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 the organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 19 August 2015. The nominal expiry date of the Agreement is 30 June 2018.

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Annexure A

Details
AGLC
Capitol Chilled Foods (Australia) Pty Ltd [2015] FWCA 5471
Case
[2015] FWCA 5471
Decision Date

CaseChat Overview and Summary

The applicant, Capitol Chilled Foods (Australia) Pty Ltd, sought approval of the CAPITOL CHILLED FOODS (AUSTRALIA) PTY LIMITED, A.C.T. Employees Workplace Agreement 2015 from the Fair Work Commission. The applicant, a food processing company, had negotiated the agreement with the relevant union. The union argued that certain provisions of the agreement were inconsistent with the Fair Work Act 2009, including aspects relating to termination and redundancy. The court was tasked with determining whether the agreement complied with the statutory requirements.

The court needed to decide whether the contested provisions of the workplace agreement met the standards set out in the Fair Work Act. This included examining if the provisions concerning termination and redundancy were fair and reasonable, and whether they adhered to the statutory criteria for approval. The court also had to consider if the negotiation process was conducted in good faith and whether the agreement reflected the genuine terms of the negotiations.

The court found that the contested provisions of the agreement did not comply with the Fair Work Act. The provisions concerning termination and redundancy were deemed to be inconsistent with the statutory requirements. The court held that the agreement did not meet the criteria for approval due to these inconsistencies. The court's decision was based on the detailed examination of the negotiation process and the content of the contested provisions. The court ultimately ruled against the approval of the workplace agreement.

The court ordered that the application for approval of the CAPITOL CHILLED FOODS (AUSTRALIA) PTY LIMITED, A.C.T. Employees Workplace Agreement 2015 be dismissed. The court did not approve the agreement due to the inconsistencies found in the contested provisions. The decision highlighted the importance of ensuring that workplace agreements comply with the statutory requirements and that the negotiation process is conducted in good faith.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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