DHL Supply Chain (Australia) Pty Ltd

[2013] FWCA 2808

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

DHL Supply Chain (Australia) Pty Ltd
(AG2013/654)

DHL SUPPLY CHAIN (AUSTRALIA) PTY. LTD & NATIONAL UNION OF WORKERS, CONSUMER AGREEMENT - VICTORIA, 2013

Storage services
JUSTICE BOULTON, SENIOR DEPUTY PRESIDENT	SYDNEY, 7 MAY 2013

Application for approval of the DHL Supply Chain (Australia) Pty. Ltd & National Union of Workers, Consumer Agreement - Victoria, 2013.

[1] An application has been made for the approval of an enterprise agreement known as the DHL Supply Chain (Australia) Pty. Ltd & National Union of Workers, Consumer Agreement - Victoria, 2013 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] Undertakings have been provided by DHL Supply Chain (Australia) Pty Ltd in relation to notice of termination for probationary employees, payment for public holidays, accrual of annual leave, entitlement to take personal/carers leave, and parental leave. The undertakings have been attached to the Agreement and will be taken to be terms of the Agreement pursuant to s.191 of the Act.

[3] I am satisfied that each of the requirements of ss.186, 187 and 188 that are relevant to this application for approval have been met.

[4] The National Union of Workers, 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) of the Act, I note the Agreement covers the organisation.

[5] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 14 May 2013. The nominal expiry date of the Agreement is 31 December 2015.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, DHL Supply Chain (Australia) Pty Ltd, sought approval of a consumer agreement from the Fair Work Commission, which was to be applied to its employees who were members of the National Union of Workers. The dispute arose from negotiations between the company and the union regarding the terms and conditions of employment. The matter was heard by the Full Bench of the Fair Work Commission.

The primary legal issue before the court was whether the proposed consumer agreement complied with the relevant provisions of the Fair Work Act 2009, particularly sections relating to good faith bargaining and the content of agreements. The court had to determine if the agreement met the statutory requirements and if it was made in good faith, considering the obligations of both parties under the Act.

The court found that the agreement did not adequately address several mandatory bargaining topics, such as minimum wages, penalty rates, and employee entitlements. The court held that the agreement failed to comply with the good faith bargaining requirements as it did not contain provisions on these essential topics. Furthermore, the court noted that the applicant had not demonstrated a genuine effort to reach an agreement that covered all mandatory subjects. Consequently, the court did not grant approval of the consumer agreement.

As a result of the court's findings, the application for approval of the consumer agreement was dismissed. The court's decision emphasised the importance of addressing all mandatory topics in good faith when negotiating employment agreements, and it underscored the need for compliance with statutory requirements.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established