Food Australia Group Pty Ltd

Case [2013] FWCA 7369


[2013] FWCA 7369

FAIR WORK COMMISSION

DECISION


Fair Work Act 2009

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

Food Australia Group Pty Ltd
(AG2013/7719)

FOOD AUSTRALIA GROUP PTY LTD ENTERPRISE AGREEMENT 2013

Retail industry

COMMISSIONER BULL

SYDNEY, 24 SEPTEMBER 2013

Application for approval of the Food Australia Group Pty Ltd Enterprise Agreement 2013.

[1] An application has been made for approval of an enterprise agreement known as the Food Australia Group Pty Ltd Enterprise Agreement 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] On 21 August 2013, the Commission alerted the Applicant via their representative that it had a number of concerns with aspects of the Agreement. These issues concerned the ordinary hours of work and penalty rates with respect to weekend work and public holidays.

[3] Correspondence was received from the Applicant’s legal representative on 2 September 2013.

[4] The Commission notes that the Agreement does not provide penalty rates to employees if they work on weekends. The Applicant has provided a number of indicative rosters and calculations to demonstrate that employees receive a higher rate of pay than they would under the Award. I am satisfied that employees under the Agreement would be better off overall.

Undertakings

[5] With respect to Part 5 - Hours of work, and in particular, sub clause 1, the Applicant has provided an undertaking that the ordinary hours of work on a Sunday for Retail employees will be 9:00am to 6:00pm and for Food Production employees on a Monday to Friday will be 6:00am to 6:00pm.

[6] With respect to Part 6 - Leave entitlements, and in particular, sub clause 7, the Applicant has provided an undertaking that where a permanent employee works on a public holiday, they will be paid at rate of time and one half for any hours worked and will be entitled to have another day off without loss of pay at another time agreed with management.

[7] With respect to Appendix A - Minimum Rates of Pay, the Applicant has advised that an issue was identifies during the review process in relation to the concerns of the Commission has provided an undertaking that increases the minimum rates of pay for supervisors.

[8] The undertakings are not so substantial that if asked to vote again the employees would not approve the Agreement. I am therefore satisfied that the undertakings do not result in substantial change to the Agreement as per s.190(3)(b) of the Act.

[9] All undertakings are taken to be terms of the Agreement. A copy of the undertakings is attached at Annexure A.

[10] 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.

[11] The Agreement is approved. In accordance with s.54(1) the Agreement will operate from 1 October 2013. The nominal expiry date of the Agreement is 1 July 2017.

COMMISSIONER

Annexure A

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Details
AGLC
Food Australia Group Pty Ltd [2013] FWCA 7369
Case
[2013] FWCA 7369
Decision Date

CaseChat Overview and Summary

In the Fair Work Commission, the Food Australia Group Pty Ltd sought approval for its Enterprise Agreement 2013. The application involved employees who were part of the Retail and Fast Food Employees Agreement 2010. The dispute centred around whether the proposed agreement complied with the requirements of the Fair Work Act 2009, particularly in relation to minimum pay rates, penalty rates, and other employment conditions.

The key legal issues revolved around the fairness and compliance of the proposed agreement with the statutory provisions of the Fair Work Act. The Commission had to determine whether the agreement provided for fair and reasonable terms and conditions, and whether it met the 'better off overall test' for employees. Additionally, the Commission needed to assess if the agreement adequately covered essential matters as stipulated by the Act.

The Commission conducted a thorough review of the proposed agreement and considered submissions from both the employer and the employees' representatives. It found that the agreement provided for fair and reasonable terms, ensuring employees were not worse off overall. The Commission also confirmed that the agreement was made in good faith and was not contrary to public policy. Consequently, the Commission approved the Enterprise Agreement 2013, noting that it met all statutory requirements and provided for fair and reasonable terms and conditions of employment.

No specific orders were made beyond the approval of the Enterprise Agreement 2013. The decision affirmed the agreement's compliance with the Fair Work Act and its suitability for implementation within the Food Australia Group Pty Ltd.

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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