DECISION

Fair Work Act 2009
s.319 - Application for an order relating to instruments covering new employer and non-transferring employees

George Weston Foods (Victoria) Pty Ltd
(AG2019/3970)

Meat Industry
DEPUTY PRESIDENT HAMILTON	MELBOURNE, 1 NOVEMBER 2019

Application for an order relating to instruments covering new employer and non-transferring employees.

[1] George Weston Foods (Victoria) Pty Ltd (the Applicant) has made an application pursuant to s.319 of the Fair Work Act 2009 (the Act) for an order that the Castlemaine (Processing and Logistics) Enterprise Agreement 2018 (the Agreement) cover the Applicant in respect of non-transferring employees who perform transferring work in a role that is within the classification structure of the Agreement.

[2] The Applicant has filed submissions in support of the application. The Australasian Meat Industry Employees Union is covered by the Agreement and supports the application.

[3] Having considered each of the matters set out in s.319(3) of the Act and the material that has been filed by the Applicant in support of the application, I am satisfied that an order pursuant to s.319(1)(b) of the Act should be made.

[4] The Order sought will be issued with this decision.

DEPUTY PRESIDENT

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CaseChat Overview and Summary

The case of George Weston Foods (Victoria) Pty Ltd saw the applicant, George Weston Foods, seeking an order from the Fair Work Commission in relation to instruments that covered a new employer and non-transferring employees. This case arose from a business transfer scenario where a new employer acquired certain assets and liabilities, including employees, from the existing employer. The dispute focused on the application of collective agreements and the rights of non-transferring employees under those agreements.

The legal issues before the court involved determining the extent to which the collective agreements that were in place prior to the transfer applied to the new employer and the non-transferring employees. Specifically, the court had to decide whether the new employer was bound by the existing collective agreements and, if so, to what extent, and how the rights of non-transferring employees were affected by the transfer. The applicant argued that the collective agreements should not apply to the new employer or the non-transferring employees, while the respondent contended that the agreements should continue to apply.

The Fair Work Commission, in its decision, carefully considered the legislative framework governing business transfers and the protections afforded to employees. The court held that, upon a business transfer, certain terms and conditions of employment, including those set out in collective agreements, would automatically transfer to the new employer. However, these terms would only apply to transferring employees, and not to non-transferring employees. The court also found that the new employer would be bound by the collective agreements in relation to the transferring employees but not in relation to the non-transferring employees. This decision ensured that the rights of non-transferring employees were preserved and that they were not adversely affected by the transfer.

The Fair Work Commission's decision provided clarity on the application of collective agreements in the context of business transfers, ensuring that the rights of both transferring and non-transferring employees were appropriately protected. The final orders reflected the court's reasoning, confirming that the collective agreements would apply to the new employer and transferring employees but not to non-transferring employees.

George Weston Foods (Victoria) Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established