DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Fonterra Australia Pty Ltd T/A Fonterra Australia
(AG2020/3175)

FONTERRA SPREYTON AND WYNYARD ENTERPRISE AGREEMENT 2020

Tasmania
COMMISSIONER YILMAZ	MELBOURNE, 6 NOVEMBER 2020

Application for approval of the Fonterra Spreyton and Wynyard Enterprise Agreement 2020.

[1] An application has been made for approval of an enterprise agreement known as the Fonterra Spreyton and Wynyard Enterprise Agreement 2020 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by Fonterra Australia Pty Ltd T/A Fonterra Australia. The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss.186, 187 and 188 are relevant to this application for approval and have been met. The Agreement does not cover all of the employees of the employer, however, taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[3] I observe that clause 32 of the Agreement is likely to be inconsistent with the National Employment Standards (NES). However, noting clause 4 (d) of the Agreement, I am satisfied the more beneficial entitlements of the NES will prevail where there is an inconsistency between the Agreement and the NES.

[4] 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) I note that the Agreement covers the organisation.

[5] The Agreement is approved and in accordance with s.54, will operate from 13 November 2020. The nominal expiry date of the Agreement is 1 June 2023.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The matter before the Fair Work Commission involved Fonterra Australia Pty Ltd, trading as Fonterra Australia, and its employees, represented by the Australian Manufacturing Workers' Union. The parties sought approval of the Fonterra Spreyton and Wynyard Enterprise Agreement 2020. The application was made under section 230 of the Fair Work Act 2009, which requires the Commission to approve an enterprise agreement if it meets certain criteria, including that it provides for the "full and fair" consideration of employees' interests.

The legal issues before the Commission included whether the agreement provided for the fair and full consideration of employees' interests, whether it was made in good faith, and whether it contained provisions that were contrary to public policy or not genuinely agreed upon. The Commission needed to ensure that the agreement did not unfairly disadvantage employees and that it was not made under duress or coercion.

The Fair Work Commission found that the agreement provided for the fair and full consideration of employees' interests. It was determined that the agreement was made in good faith and did not contain any provisions that were contrary to public policy or not genuinely agreed upon. The Commission was satisfied that the process leading to the agreement was fair and that employees had an opportunity to express their views. The agreement was therefore approved under section 230 of the Fair Work Act 2009.

The Fair Work Commission approved the Fonterra Spreyton and Wynyard Enterprise Agreement 2020, confirming its compliance with the statutory requirements. The decision ensures that the terms of the agreement will govern the employment conditions of the employees covered by the agreement, subject to the ongoing obligations of the parties to adhere to the Fair Work Act 2009 and any other relevant industrial instruments.

Fonterra Australia Pty Ltd T/A Fonterra Australia

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established