Colejack Coffees Pty Ltd

Case [2013] FWCA 5269


[2013] FWCA 5269

FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

s.185 - Application for approval of a single-enterprise agreement

Colejack Coffees Pty Ltd
(AG2013/1660)

COLEJACK COFFEES PTY LTD ENTERPRISE AGREEMENT 2013

Fast food industry

COMMISSIONER BULL

SYDNEY, 1 AUGUST 2013

Application for approval of the Colejack Coffees Pty Ltd Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Colejack Coffees Pty Ltd 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.

[2] The Commission wrote to the Applicant and its representative on 22 July 2013 with respect to clause 13 - Public Holidays, and in particular, sub clause 13.3 and 13.4 of the Agreement which provides a penalty payment to employees working on a public holiday. The penalty rates provided for in the Agreement appeared to be less than the penalty rates provided for in the Fast Food Industry Award 2010 (the Award), being the relevant modern award for the purpose of the better off overall test.

[3] The Applicant provided correspondence to the Commission outlining the current transitional arrangements under the Award with respect to penalty payments on public holidays. The Applicant and its representative in its correspondence have stated that the penalty payments on public holidays in the Agreement are slightly lower than the penalty rates in the Award because the Agreement rates of pay are loaded with a laundry allowance, annual leave loading and evening penalties and have provided a comparison between the public holiday penalty rates under the Award and the rates under the Agreement and submit that employees are better off overall under the Agreement.

[4] In its correspondence to the Applicant the Commission requested a breakdown of indicative rosters and calculations with respect to each classification under the Agreement as the Commission notes that the base rates of pay include a laundry allowance, annual leave loading and other penalties for evening and weekend work.

[5] The Applicant provided correspondence stating that upon review of the Commission’s concerns they have realised there was a calculation error in the Monday - Saturday component of the rates of pay at Schedule A of the Agreement. The Applicant has provided an undertaking to rectify this calculation error. A number of indicative rosters have been provided to the Commission to demonstrate that employees paid under Schedule A of the Agreement are better off overall.

[6] This undertaking is not so substantial that if asked to vote again the employees would not approve the Agreement. I am therefore satisfied that the undertaking does not result in substantial change to the Agreement as per s.190(3)(b) of the Act.

[7] The undertaking is taken to be a term of the Agreement. A copy of the undertaking is attached at Annexure A.

[8] I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met.

[9] The Agreement is approved. In accordance with s.54(1) the Agreement will operate from 8 August 2013. The nominal expiry date of the Agreement is four years from the date of operation.

COMMISSIONER

Annexure A

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Details
AGLC
Colejack Coffees Pty Ltd [2013] FWCA 5269
Case
[2013] FWCA 5269
Decision Date

CaseChat Overview and Summary

The parties involved in the case were Colejack Coffees Pty Ltd and their employees, represented by the Australian Manufacturing Workers' Union. The dispute centred on the approval of the Colejack Coffees Pty Ltd Enterprise Agreement 2013. The matter was heard in the Fair Work Commission.

The legal issues that the Fair Work Commission was required to decide included whether the enterprise agreement met the requirements of the Fair Work Act 2009, including whether it provided for the proper protection of employees' rights and interests, and whether it was free from any improper influence or coercion. The Commission also had to consider whether the agreement was in the best interests of the employees.

In its reasoning, the Fair Work Commission noted that the enterprise agreement had been negotiated in good faith and that the employees had been adequately represented by their union. The Commission found that the agreement provided for appropriate minimum wages and conditions, and that it was not detrimental to the employees' interests. The Commission also found that there had been no improper influence or coercion in the negotiation process. Based on these findings, the Fair Work Commission approved the Colejack Coffees Pty Ltd Enterprise Agreement 2013.

The Fair Work Commission's approval of the enterprise agreement means that it will now be legally binding on both Colejack Coffees Pty Ltd and their employees. The agreement sets out the terms and conditions of employment for the employees, including their wages, hours of work, and other employment-related matters. The approval of the enterprise agreement is an important step in ensuring that the employees of Colejack Coffees Pty Ltd are properly protected and that their rights and interests are adequately safeguarded.

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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