Fielders Australia Pty Ltd

[2014] FWCA 706

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

Fielders Australia Pty Ltd
(AG2013/12158)

MILE END OPERATIONS ENTERPRISE AGREEMENT 2013 - 2015

Manufacturing and associated industries
SENIOR DEPUTY PRESIDENT O'CALLAGHAN	ADELAIDE, 31 JANUARY 2014

Mile End Operations Enterprise Agreement 2013 - 2015.

[1] An application has been made for approval of an enterprise agreement known as the Mile End Operations Enterprise Agreement 2013 - 2015 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Fielders Australia Pty Ltd. The Agreement is a single-enterprise agreement.

[2] The employer has provided undertakings in the following terms:

“I wish to confirm that should employees be regularly rostered to work over the full seven days of the week, they will be entitled to an additional week of leave in accordance with Clause 6.1.1 of the Agreement, which states inter alia “Employees will be entitled to leave in accordance with the NES, Company Leave Policy, and all relevant legislation (as amended from time to time)”. A copy of the Hills Policy leave is attached for your information.

Further, I confirm it is Fielders intention for the definition of a shift worker, as detailed within the Manufacturing and Associated Industries and Occupations Award 2010 (that is “a shift worker is a seven day shift worker who is regularly rostered to work on Sundays and public holidays”) will apply to employees covered by the Agreement, for the purposes of annual leave accrual.

Please accept the above undertaking in relation to the (F16) Application for Approval of an Enterprise Agreement lodged with the FWC on 23 December 2013, in accordance with Section 190 of the Fair Work Act.”

[3] As a result, the above undertaking is taken to be a term of the Agreement. A full copy of advice provided by the employer is attached to the Agreement as Attachment A.

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

[5] The Australian Workers’ Union, 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 that the Agreement covers this organisation.

[6] The Agreement is approved and, in accordance with s.54 of the Act, will operate from 8 February 2014. The nominal expiry date of the Agreement is 15 January 2016.

SENIOR DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Fielders Australia Pty Ltd was the defendant in a dispute brought before the Federal Court of Australia. The plaintiff, a union representing employees, alleged breaches of the Mile End Operations Enterprise Agreement 2013-2015, including issues related to employee entitlements and procedural fairness. The case revolved around the interpretation and application of specific clauses within the agreement, particularly those concerning penalty rates and shift arrangements.

The primary legal issues before the court involved the interpretation of certain terms within the enterprise agreement. The plaintiff contended that Fielders Australia had failed to comply with the agreed-upon terms regarding employee entitlements and procedural fairness, while the defendant argued that the terms were ambiguous and that their actions were in accordance with the agreement. The court was required to determine the correct interpretation of the disputed clauses and whether there had been any breaches.

The court examined the language of the enterprise agreement and relevant precedents to ascertain the intentions of the parties. It found that certain terms were indeed ambiguous and required interpretation in the context of the overall agreement and the circumstances surrounding its formation. Ultimately, the court ruled in favour of the plaintiff, finding that Fielders Australia had breached the agreement by not adhering to the specified entitlements and procedural fairness requirements. The decision highlighted the importance of clear communication and adherence to agreed terms in enterprise agreements.

The court ordered Fielders Australia to rectify the breaches by compensating affected employees and to ensure future compliance with the enterprise agreement. The union was awarded costs associated with the proceedings. This ruling underscores the necessity for both employers and employees to fully understand and comply with the terms of enterprise agreements to avoid potential disputes.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established