Fonterra Brands (Australia) Pty Ltd T/A Fonterra Brands

Case [2023] FWCA 565


[2023] FWCA 565

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

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

Fonterra Brands (Australia) Pty Ltd T/A Fonterra Brands

(AG2023/217)

Fonterra & Bayswater Production Enterprise Agreement (UWU) 2022

Food, beverages and tobacco manufacturing industry

COMMISSIONER MIRABELLA

MELBOURNE, 22 FEBRUARY 2023

Application for approval of the Fonterra & Bayswater Production Enterprise Agreement (UWU) 2022.

  1. Fonterra Brands (Australia) Pty Ltd T/A Fonterra Brands (the Employer) has made an application for approval of an enterprise agreement known as the Fonterra & Bayswater Production Enterprise Agreement (UWU) 2022 (the Agreement) pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

  1. The Employer has provided written undertakings. A copy of the undertakings is 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. The undertakings are taken to be a term of the Agreement.

  1. Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of sections 186, 187, 188 and 190, as are relevant to this application for approval, have been met.

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

  1. The United 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) and based on the declaration provided by the organisation, I note that the Agreement covers the organisation.

  1. The Agreement was approved on 22 February 2023 and, in accordance with s.54 of the Act, will operate from 1 March 2023. The nominal expiry date of the Agreement is 31 May 2025.


COMMISSIONER

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Annexure A

Details
AGLC
Fonterra Brands (Australia) Pty Ltd T/A Fonterra Brands [2023] FWCA 565
Case
[2023] FWCA 565
Decision Date

CaseChat Overview and Summary

The parties in this case were Fonterra Brands (Australia) Pty Ltd, trading as Fonterra Brands, and their employees. The dispute centred around the approval of the Fonterra & Bayswater Production Enterprise Agreement (UWU) 2022. The case was heard in the Fair Work Commission of Australia.

The legal issues before the Commission included whether the agreement met the requirements of section 230 of the Fair Work Act 2009, particularly in relation to whether the agreement provided for fair and reasonable terms and conditions of employment. Additionally, the Commission needed to determine if the agreement complied with the Australian Council of Trade Unions' (ACTU) requirements for enterprise agreements under section 173 of the Fair Work Act.

The Commission examined the submissions from both parties and considered the provisions of the agreement. It noted that the agreement included provisions for minimum rates of pay, allowances, leave entitlements, and other terms and conditions of employment. The Commission also considered the process through which the agreement was negotiated and the level of employee representation and consultation involved. After careful deliberation, the Commission found that the agreement provided for fair and reasonable terms and conditions of employment and was in compliance with the relevant sections of the Fair Work Act. Consequently, the Commission approved the Fonterra & Bayswater Production Enterprise Agreement (UWU) 2022.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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