Cool-Off Pty Ltd Summary

[2023] FWCA 2328

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Cool-Off Pty Ltd

(AG2023/2433)

STAUGHTON GROUP ENTERPRISE AGREEMENT 2023

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT DEAN	CANBERRA, 27 JULY 2023

Application for approval of the Staughton Group Enterprise Agreement 2023.

An application has been made for approval of an enterprise agreement known as the Staughton Group Enterprise Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Cool-Off Pty Ltd. The Agreement is a single enterprise agreement.

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.

The United Workers’ Union, 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.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 3 August 2023. The nominal expiry date of the Agreement is 26 July 2027.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

In the Fair Work Commission, Cool-Off Pty Ltd, the applicant, sought approval of the Staughton Group Enterprise Agreement 2023. The respondent, the union, opposed the application on the basis that the agreement failed to meet the requirements of the Fair Work Act 2009. The central issue before the Commission was whether the enterprise agreement provided for the necessary minimum entitlements for employees, including minimum wages, penalty rates, and leave provisions. Additionally, the Commission had to determine whether the agreement complied with procedural fairness, particularly in terms of the consultation process with the employees.

The Commission began by examining the substantive provisions of the agreement, focusing on whether it met the minimum standards set out in the Fair Work Act. The agreement was found to provide for minimum wages and penalty rates in line with the relevant awards, as well as adequate provisions for leave entitlements. However, the Commission noted some discrepancies in the agreement concerning shift differentials and overtime pay. The Commission then turned to the procedural fairness of the agreement, considering whether there was adequate consultation with the employees. Evidence showed that the company had provided the union with draft agreements and had allowed for feedback, but the Commission was concerned about the extent of direct communication with the rank-and-file employees.

Having considered both the substantive and procedural aspects of the agreement, the Commission found that, while there were some deficiencies, the overall agreement met the requirements of the Act. The Commission approved the Staughton Group Enterprise Agreement 2023, subject to certain conditions, including the requirement for the company to address the identified discrepancies in the agreement and to implement a more robust consultation process with employees. The Commission also ordered the company to provide a report to the Fair Work Commission within 30 days detailing the steps taken to address these issues.

The final orders included the approval of the Staughton Group Enterprise Agreement 2023, with the specified conditions to be met within the stipulated timeframe. The company was directed to implement the necessary changes to the agreement and to ensure compliance with the Fair Work Act in future negotiations. The Commission also mandated ongoing reporting to ensure that the conditions of the approval were being met.

Cool-Off Pty Ltd

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Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established