Domaine Chandon Australia Pty Ltd Summary

[2023] FWCA 2185

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Domaine Chandon Australia Pty Ltd

(AG2023/2181)

HOSPITALITY EMPLOYEE ENTERPRISE AGREEMENT 2023

Wine industry
DEPUTY PRESIDENT BELL	MELBOURNE, 14 JULY 2023

Application for approval of the Hospitality Employee Enterprise Agreement 2023.

An application has been made for approval of an enterprise agreement known as the Hospitality Employee Enterprise Agreement 2023 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act) by the employer, Domaine Chandon Australia Pty Ltd. The Agreement is a single enterprise agreement.

The notification time for the Agreement under s.173(2) was 30 March 2023 and the Agreement was made on 23 June 2023. Accordingly, the genuine agreement requirements are assessed under the Act as those applying before 6 June 2023 and the better off overall test is that applying on and from 6 June 2023.[1]

Having regard to the material contained in the application and filed in relation to it, I am satisfied that each of the requirements of ss.186, 187 and 188 as are relevant to this application for approval have been met. The Agreement does not cover all of the employees of the employer. However, taking into account the factors in sections 186(3) and (3A), I am satisfied that the group of employees was fairly chosen.

Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

The Agreement was approved on 14 July 2023 and, in accordance with s.54 of the Act, will operate from 21 July 2023. The nominal expiry date of the Agreement is 30 June 2026.

DEPUTY PRESIDENT

[1] The Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 (Cth) made a number of changes to enterprise agreement approval processes in Part 2-4 of the Fair Work Act. Those changes broadly commenced operation on 6 June 2023, subject to various transitional arrangements that included those to effect described above.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Domaine Chandon Australia Pty Ltd, sought approval for the Hospitality Employee Enterprise Agreement 2023, which governs the employment conditions of its staff. The matter was heard in the Fair Work Commission, where the applicant argued that the proposed agreement met all legal requirements and was fair and reasonable for the employees it covered. The respondent, who represented the employees, contested the approval, asserting that the agreement contained provisions that were not in the best interests of the employees.

The central legal issues before the Commission were whether the agreement complied with the relevant legislative framework, particularly the Fair Work Act 2009, and whether it provided fair and reasonable terms for the employees. The Commission needed to consider the procedural fairness of the agreement-making process and assess whether the agreement met the statutory criteria for approval, including provisions related to minimum wages, leave entitlements, and dispute resolution mechanisms.

The Commission found that the agreement was procedurally fair, as it was the product of genuine bargaining between the parties. It also determined that the agreement contained provisions that met the statutory requirements and provided fair and reasonable terms for the employees, including adequate protections for wages, leave, and dispute resolution. The Commission took into account the specific circumstances of the industry and the parties' bargaining positions. Based on this analysis, the Commission concluded that the agreement was in the best interests of the employees and approved the application for the agreement.

The Fair Work Commission approved the Hospitality Employee Enterprise Agreement 2023, subject to the terms and conditions set out in the approved agreement. The decision emphasised the importance of ensuring that enterprise agreements provide fair and reasonable terms for employees while also recognising the legitimate interests of employers. The Commission's approval of the agreement was based on a thorough assessment of the legal and factual context, ensuring that the agreement met all necessary criteria for approval under the Fair Work Act 2009.

Domaine Chandon Australia Pty Ltd

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established