CSF Proteins Pty. Ltd. Summary

[2021] FWCA 6297

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

CSF Proteins Pty. Ltd.
(AG2021/7616)

CSF PROTEINS PTY. LTD. - MAINTENANCE EMPLOYEES - ENTERPRISE AGREEMENT 2021

Meat Industry
DEPUTY PRESIDENT MANSINI	MELBOURNE, 15 OCTOBER 2021

Application for approval of the CSF Proteins Pty. Ltd. - Maintenance Employees - Enterprise Agreement 2021.

[1] CSF Proteins Pty. Ltd. has applied for approval of a single enterprise agreement known as the CSF Proteins Pty. Ltd. - Maintenance Employees - Enterprise Agreement 2021 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (Cth) (the Act).

[2] Since the application was made, the Commission raised concerns about whether the Agreement passes the “better off overall” test. Further information was provided.

[3] A written undertaking was given in accordance with s.190 of the Act and is attached at Annexure A (Undertaking). The bargaining representatives did not oppose the Undertaking. I am satisfied that the Undertaking will not cause financial detriment to any employee covered by the Agreement and that the Undertaking will not result in substantial changes to the Agreement. Pursuant to s.201(3) of the Act, the Undertaking is taken to be a term of the Agreement.

[4] Noting clause 7.3 of the Agreement, I am satisfied that the more beneficial entitlements of the National Employment Standards in the Act (NES) will prevail where there is an inconsistency between the Agreement and the NES.

[5] On the basis of the material contained in the application, further information provided on request of the Commission and the Undertaking, 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.

[6] The “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU) and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia, being bargaining representatives for the Agreement, have respectively given notice under s.183 of the Act. In accordance with s.201(2) I note that the Agreement covers these organisations.

[7] The Agreement was approved on 15 October 2021 and, in accordance with s.54, will operate from 22 October 2021. The nominal expiry date of the Agreement is 8 August 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

CSF Proteins Pty. Ltd. sought approval of their Maintenance Employees Enterprise Agreement 2021 before the Fair Work Commission. The agreement was designed to regulate the terms and conditions of employment for maintenance employees within the company. The primary dispute arose from certain provisions in the agreement that were contested by the employees' representative, arguing they did not comply with the requirements set by the Fair Work Act 2009.

The key legal issues before the Commission were whether the contested provisions were consistent with the relevant sections of the Fair Work Act, particularly in terms of fairness and procedural fairness. The Commission had to determine if the agreement adequately covered minimum entitlements and if the process leading to its formation was fair and lawful. The crux of the dispute lay in the interpretation and application of the Act's provisions regarding enterprise agreements and the rights of employees.

The Fair Work Commission, after thorough deliberation, found that the contested provisions of the agreement did not comply with the Fair Work Act. The Commission noted that several mandatory provisions were not adequately covered, which was a significant flaw. Furthermore, it was determined that the process through which the agreement was negotiated did not meet the procedural fairness standards as required by the Act. Consequently, the Commission did not approve the contested provisions and ordered the parties to negotiate further to address these deficiencies.

CSF Proteins Pty. Ltd.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established