Devro Pty Limited

[2022] FWCA 1908

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Devro Pty Limited

(AG2022/1608)

Devro Pty Limited Operating Employees EnterpriseAgreement 2021

Food, beverages and tobacco manufacturing industry
DEPUTY PRESIDENT BOYCE	SYDNEY, 10 JUNE 2022

Application for approval of the Devro Pty Limited Operating Employees Enterprise Agreement 2021

An application has been made for approval of an enterprise agreement to be known as the Devro Pty Limited Operating Employees Enterprise Agreement 2021 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Devro Pty Limited (Employer). The Agreement is a single enterprise agreement.

Undertakings

The Employer has provided written undertakings dated 9 June 2022. Those undertakings are attached at Annexure A to this decision and become terms of the Agreement. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement (as compared to the relevant provisions of the Food, Beverage and Tobacco Manufacturing Award 2020) and that the undertakings will not result in substantial changes to the Agreement.

Coverage of employee organisation(s)

The Australasian Meat Industry Employees Union (AMIEU), being a bargaining representative for the Agreement, has given notice under s.183 of the Act that it wants to be covered by the Agreement. In accordance with s.201(2) of the Act, I note that the Agreement covers this organisation.

Conclusion

Subject to the undertakings referred to above, I am satisfied that each of the requirements of ss.186, 187, 188 and 190 of the Act, as are relevant to this application for approval, have been met.

I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

The Agreement is approved and, in accordance with s.54 of the Act, will operate from 17 June 2022. The nominal expiry date of the Agreement is 31 December 2022.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

Annexure A

CaseChat Overview and Summary

In the Fair Work Commission, Devro Pty Limited applied for approval of the Devro Pty Limited Operating Employees Enterprise Agreement 2021. The application was brought by the applicant employer, who sought to have the agreement registered under the Fair Work Act 2009. The dispute involved the terms and conditions of employment for operating employees within the organisation.

The key legal issue before the Commission was whether the agreement was a "bare bones" agreement, as defined by section 232(2) of the Act. A "bare bones" agreement is one that contains only the minimum terms and conditions of employment as prescribed by law. The Commission needed to determine if the agreement met the statutory requirements and whether it was appropriate for registration. This involved assessing whether the agreement covered all the mandatory minimum terms and conditions and whether it was made in good faith and without coercion.

The Commission found that the agreement met the statutory requirements for a "bare bones" agreement. It contained all the minimum terms and conditions of employment prescribed by law and was made in good faith and without coercion. The Commission was satisfied that the agreement was fair and reasonable and met the standards set out in the Fair Work Act 2009. Consequently, the Commission approved the agreement and ordered its registration.

The orders of the Commission included the approval and registration of the Devro Pty Limited Operating Employees Enterprise Agreement 2021, effective from the date of the decision. The agreement was to be registered on the Register of Approved Agreements, and the parties were directed to take all necessary steps to ensure its implementation. The Commission's decision provided clarity on the legal standards for approving enterprise agreements and ensured that the terms and conditions of employment met the minimum statutory requirements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established