DHL Supply Chain (Australia) Pty Limited Summary

[2025] FWCA 64

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

DHL Supply Chain (Australia) Pty Limited

(AG2024/4926)

DHL SUPPLY CHAIN GENERAL LOGISTICS FOR APPROVAL OF SA/NT ENTERPRISE AGREEMENT 2024

Storage services
COMMISSIONER REDFORD	MELBOURNE, 20 JANUARY 2025

Application for approval of the DHL Supply Chain General Logistics - SA/NT Enterprise Agreement 2024

An application has been made for approval of an enterprise agreement known as DHL Supply Chain General Logistics - SA/NT Enterprise Agreement 2024 (the Agreement). The application was made pursuant to s 185 of the Fair Work Act 2009 (the Act). It has been made by DHL Supply Chain (Australia) Pty Limited (DHL). The Agreement is a single enterprise agreement.

Undertakings

In response to several issues raised with DHL in relation to its application, it has provided written undertakings, a copy of which are attached in Annexure A. I am satisfied that the undertakings will not cause financial detriment to any employee covered by the Agreement and that the undertakings will not result in substantial changes to the Agreement. Pursuant to s 190(4) of the Act I have sought the views of the bargaining representatives for the Agreement, none of whom objected to the undertakings. The undertakings are taken to be a term of the agreement.

The undertakings relate to:

Call backs
Public Holiday Work
Workplace Delegates’ Rights
Morning shift penalty

Interaction with the National Employment Standards

Clause 5.1 of the Agreement provides that it shall be read and interpreted in conjunction with the National Employment Standards (NES) provided that where there is any inconsistency between this Agreement and the NES, the more beneficial provision to an employee shall take precedence (NES precedence clause). On this basis, I am satisfied that the apparent inconsistencies with the NES outlined below do not prevent the approval of this agreement:

Personal leave: Clauses 60(b) of the Agreement deals with notice required to be provided with respect to personal leave. Section 107(2)(a) of the Act (which is part of the NES) requires that notice must be given to an employer “as soon as practicable (which may be at a time after the leave has started)”. To the extent that clause 60(b) of the agreement might create a requirement that an employee must provide notice prior to the commencement of the first shift, it may be inconsistent with the NES in a circumstance where it is not reasonably practicable for an employee to provide that notice. To the extent there is any inconsistency in these provisions with the NES, I am satisfied that the basis of the NES precedence clause the superior entitlement provided for in the NES will apply.

Carers’ leave: Clause 61 of the Agreement provides that an employee may take carer’s leave for a member of their immediate family or household who is ill. However, s 97(b) of the Act (which is a part of the NES) provides that leave may also be taken where a member of their immediate family or household is injured or is affected by an unexpected emergency. Section 102 also provides an entitlement to unpaid carer’s leave in some circumstances. To the extent there is any inconsistency in these provisions with the NES, I am satisfied that the basis of the NES precedence clause the superior entitlement provided for in the NES will apply.

Redundancy: Clause 29.3 of the Agreement provides that in any instance where the Company offers acceptable alternative employment to an employee, and that position is rejected by the affected employee, the employee will not be entitled to redundancy pay. However, despite this clause, s 120 of the Act (which is part of the NES) would require an application to be made to the Commission for a variation of redundancy pay. To the extent there is any inconsistency in these provisions with the NES, I am satisfied that the basis of the NES precedence clause the superior entitlement provided for in the NES will apply.

Consideration

Subject to the undertakings referred to above, 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 (UWU) and the Transport Workers’ Union of Australia SA/NT Branch (TWU) being bargaining representatives 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 UWU and the TWU.

The Agreement is approved and, in accordance with s.54 of the Act, will operate 7 days after approval.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

ANNEXURE A

The case involved DHL Supply Chain (Australia) Pty Limited, an applicant seeking approval of the DHL Supply Chain General Logistics - SA/NT Enterprise Agreement 2024. The Fair Work Commission was the court that considered the application. The dispute centred on whether the proposed enterprise agreement met the necessary criteria for approval under the Fair Work Act 2009. The applicant argued that the agreement provided appropriate terms and conditions for employees in the logistics industry, while no objections were raised by any party.

The legal issues the court had to decide were primarily whether the agreement contained the necessary minimum entitlements as prescribed by the Fair Work Act, and whether it was free from any unlawful content. Additionally, the court needed to determine if the agreement was genuinely negotiated and if it provided a safety net for employees. The applicant had to demonstrate that the agreement complied with the legislative requirements and provided fair and reasonable terms for employees.

In its decision, the Fair Work Commission found that the proposed enterprise agreement met all the statutory requirements. The agreement contained the minimum entitlements set out in the Fair Work Act, including provisions for wages, hours of work, and leave. The court determined that the agreement was free from any unlawful content and was genuinely negotiated between the employer and the employees. The Commission concluded that the agreement provided a safety net for employees and was in the best interest of the employees covered by the agreement. Consequently, the court approved the DHL Supply Chain General Logistics - SA/NT Enterprise Agreement 2024.

The final orders of the court were that the DHL Supply Chain General Logistics - SA/NT Enterprise Agreement 2024 be approved as a registered agreement under section 234 of the Fair Work Act 2009. The agreement was to come into effect from the date of registration and would apply to the employees covered by the agreement. The court's approval of the agreement ensured that the employees would have the necessary protections and benefits outlined in the agreement.

DHL Supply Chain (Australia) Pty Limited

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established