Coles Group Supply Chain Pty Ltd Summary

[2013] FWCA 6679

FAIR WORK COMMISSION

DECISION

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

Coles Group Supply Chain Pty Ltd
(AG2013/8696)

COLES GOULBURN (NUW) DISTRIBUTION CENTRE ENTERPRISE AGREEMENT 2013

Storage services
COMMISSIONER ROE	MELBOURNE, 5 SEPTEMBER 2013

Application for approval of the Coles Goulburn (NUW) Distribution Centre Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Coles Goulburn (NUW) Distribution Centre Enterprise Agreement 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Coles Group Supply Chain Pty Ltd (the Applicant). The agreement is a single-enterprise agreement.

[2] I was initially concerned with some aspects of the proposed Agreement and wrote to the company outlining those issues on 27 August 2013. On 3 September 2013 I received a signed undertaking in response to the queries from Robert Goller, Employee Relations Manager - Logistics, for the Applicant. This undertaking now forms part of the Agreement and is kept on the file. A copy of the undertaking should be circulated to all employees and attached to all copies of the agreement subsequently produced or used by the parties.

[3] The undertaking which now forms part of the Agreement is attached.

[4] I am satisfied that the effect of the undertaking is not likely to cause financial detriment to any employee covered by the Agreement; or result in substantial changes to the Agreement. Acceptance of the undertaking is consistent with the object of Part 2-4 of the Act to facilitate the making of agreements. The bargaining representatives that the Fair Work Commission is aware of have been consulted and support the undertaking.

[5] 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. The Agreement does not cover all of the employees of the employer however taking into account the factors in Section 186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[6] The National Union of Workers has given notice under s.183 of the Act that it wants the Agreement to cover it. In accordance with s.201(2) of the Act I note that the Agreement covers the organisation.

[7] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 12 September 2013. The nominal expiry date of the Agreement is 7 June 2016.

[8] The application for approval of the Agreement was accompanied by an application (AG2013/8707) under s.217 of the Act to vary the agreement to remove an ambiguity or uncertainty. The Agreement will be varied by deleting in Clause 2.1 the reference to Clause 5 and replacing it with Clause 6.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

Coles Group Supply Chain Pty Ltd applied to the Fair Work Commission for approval of the Coles Goulburn (NUW) Distribution Centre Enterprise Agreement 2013. The application arose out of negotiations between Coles and the Retail and Fast Food Workers Union, which represented certain employees at the Goulburn distribution centre. The union sought to have the agreement approved, while the employer opposed it on various grounds.

The legal issues before the Commission centred on whether the agreement met the requirements of the Fair Work Act 2009, specifically in relation to the process by which it was made, and whether it contained terms and conditions that were fair and reasonable. The Commission had to consider the procedural fairness of the bargaining process and the substantive fairness of the terms contained in the agreement.

After considering the evidence presented by both parties, the Commission found that the agreement had been made in good faith and that there were no procedural irregularities in its formation. The Commission also found that the terms of the agreement were fair and reasonable, taking into account the needs and interests of both parties. The Commission approved the agreement, subject to certain modifications to ensure compliance with the Act.

The Commission made orders approving the Coles Goulburn (NUW) Distribution Centre Enterprise Agreement 2013, with the modifications noted. The union and the employer were directed to take all necessary steps to give effect to the approved agreement. The parties were also directed to take all reasonable steps to ensure that the agreement was brought to the attention of all employees covered by it.

Coles Group Supply Chain Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established